Applied Digital (NASDAQ:APLD) Trading 3% Higher - Time to Buy?

Applied Digital Co. (NASDAQ:APLD - Get Free Report) shares were up 3% during mid-day trading on Monday . The stock traded as high as $8.09 and last traded at $8.02. Approximately 5,187,631 shares changed hands during mid-day trading, a decline of 78% from the average daily volume of 23,464,121 shares. The stock had previously closed at $7.79.

Analysts Set New Price Targets

A number of research analysts have commented on the company. Compass Point initiated coverage on Applied Digital in a report on Tuesday, January 28th. They issued a "buy" rating and a $10.00 price objective on the stock. HC Wainwright raised their price target on shares of Applied Digital from $10.00 to $12.00 and gave the stock a "buy" rating in a research report on Wednesday, January 15th. Cantor Fitzgerald cut their price objective on shares of Applied Digital from $15.00 to $14.00 and set an "overweight" rating for the company in a report on Wednesday, January 15th. Northland Securities raised their target price on shares of Applied Digital from $12.00 to $20.00 and gave the stock an "outperform" rating in a report on Tuesday, February 4th. Finally, Needham & Company LLC reiterated a "buy" rating and issued a $11.00 price target on shares of Applied Digital in a research note on Wednesday, January 15th. Nine equities research analysts have rated the stock with a buy rating, Based on data from MarketBeat.com, the company presently has an average rating of "Buy" and a consensus target price of $12.11.

Applied Digital Trading Up 4.6 %

The firm's 50-day simple moving average is $8.47 and its 200 day simple moving average is $7.24. The company has a debt-to-equity ratio of 1.22, a current ratio of 0.77 and a quick ratio of 0.77. The firm has a market capitalization of $1.76 billion, a price-to-earnings ratio of -4.57 and a beta of 4.77.

Applied Digital (NASDAQ:APLD - Get Free Report) last posted its quarterly earnings results on Tuesday, January 14th. The company reported ($0.06) EPS for the quarter, topping analysts' consensus estimates of ($0.14) by $0.08. The company had revenue of $63.87 million during the quarter, compared to analysts' expectations of $62.41 million. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. Applied Digital's revenue was up 51.3% on a year-over-year basis. During the same quarter in the previous year, the firm earned ($0.05) EPS. Equities analysts expect that Applied Digital Co. will post -0.96 earnings per share for the current year.

Insider Activity

In other Applied Digital news, CEO Wes Cummins sold 200,000 shares of the firm's stock in a transaction that occurred on Wednesday, November 27th. The shares were sold at an average price of $9.20, for a total value of $1,840,000.00. Following the sale, the chief executive officer now owns 3,875,955 shares in the company, valued at $35,658,786. This trade represents a 4.91 % decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is available at this link. Also, Director Richard N. Nottenburg sold 50,000 shares of the company's stock in a transaction on Wednesday, November 27th. The stock was sold at an average price of $9.20, for a total transaction of $460,000.00. Following the transaction, the director now owns 334,317 shares of the company's stock, valued at $3,075,716.40. This trade represents a 13.01 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last three months, insiders have sold 270,000 shares of company stock worth $2,477,000. Corporate insiders own 11.81% of the company's stock.

Institutional Trading of Applied Digital

A number of hedge funds have recently made changes to their positions in APLD. Wilmington Savings Fund Society FSB raised its position in Applied Digital by 100.0% during the 4th quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company's stock worth $31,000 after purchasing an additional 2,000 shares during the last quarter. R Squared Ltd bought a new position in shares of Applied Digital during the fourth quarter worth about $36,000. US Bancorp DE acquired a new position in shares of Applied Digital in the fourth quarter worth approximately $37,000. Jones Financial Companies Lllp bought a new stake in Applied Digital in the fourth quarter valued at approximately $39,000. Finally, Spire Wealth Management acquired a new stake in Applied Digital during the 4th quarter valued at approximately $43,000. 65.67% of the stock is owned by institutional investors and hedge funds.

Applied Digital Company Profile

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services.