Applied Digital (NASDAQ:APLD) Trading Down 7.2% – Should You Sell?

Applied Digital Co. (NASDAQ:APLD)’s share price was down 7.2% during mid-day trading on Friday . The company traded as low as $5.55 and last traded at $5.66. Approximately 10,584,400 shares were traded during mid-day trading, a decline of 60% from the average daily volume of 26,285,844 shares. The stock had previously closed at $6.10.

Analysts Set New Price Targets

A number of analysts have weighed in on APLD shares. HC Wainwright raised their price objective on shares of Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research note on Wednesday, January 15th. Northland Securities raised their price target on shares of Applied Digital from $12.00 to $20.00 and gave the company an “outperform” rating in a research report on Tuesday, February 4th. Cantor Fitzgerald lowered their price objective on Applied Digital from $15.00 to $14.00 and set an “overweight” rating on the stock in a research report on Wednesday, January 15th. Compass Point began coverage on Applied Digital in a report on Tuesday, January 28th. They issued a “buy” rating and a $10.00 target price for the company. Finally, Needham & Company LLC reaffirmed a “buy” rating and set a $11.00 price target on shares of Applied Digital in a report on Monday, February 24th. Nine equities research analysts have rated the stock with a buy rating, Based on data from MarketBeat, Applied Digital presently has an average rating of “Buy” and a consensus price target of $12.11.

Applied Digital Stock Down 7.5 %

The company has a fifty day moving average of $7.82 and a 200 day moving average of $7.99. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22. The company has a market cap of $1.26 billion, a P/E ratio of -3.26 and a beta of 4.69.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings results on Tuesday, January 14th. The company reported ($0.06) earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of ($0.14) by $0.08. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. The business had revenue of $63.87 million during the quarter, compared to the consensus estimate of $62.41 million. During the same period in the previous year, the company posted ($0.05) EPS. The business’s quarterly revenue was up 51.3% compared to the same quarter last year. On average, research analysts anticipate that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, Director Richard N. Nottenburg sold 20,000 shares of the business’s stock in a transaction dated Friday, January 17th. The stock was sold at an average price of $8.85, for a total transaction of $177,000.00. Following the completion of the sale, the director now owns 342,923 shares of the company’s stock, valued at approximately $3,034,868.55. The trade was a 5.51 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through the SEC website. 11.81% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors have recently made changes to their positions in the stock. Wilmington Savings Fund Society FSB grew its stake in shares of Applied Digital by 100.0% during the 4th quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company’s stock valued at $31,000 after acquiring an additional 2,000 shares during the period. R Squared Ltd bought a new position in shares of Applied Digital in the fourth quarter worth approximately $36,000. US Bancorp DE purchased a new stake in shares of Applied Digital in the fourth quarter worth $37,000. Jones Financial Companies Lllp purchased a new stake in shares of Applied Digital in the fourth quarter worth $39,000. Finally, Spire Wealth Management bought a new stake in shares of Applied Digital during the 4th quarter valued at $43,000. Institutional investors own 65.67% of the company’s stock.

About Applied Digital

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.