Applied Digital (NASDAQ:APLD) Trading Down 9.3% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD)’s stock price traded down 9.3% during mid-day trading on Thursday . The company traded as low as $25.30 and last traded at $25.72. 18,975,629 shares changed hands during trading, a decline of 31% from the average session volume of 27,447,840 shares. The stock had previously closed at $28.37.

Analyst Upgrades and Downgrades

APLD has been the subject of several research analyst reports. Lake Street Capital reissued a “buy” rating and issued a $45.00 price objective on shares of Applied Digital in a report on Tuesday, December 30th. Texas Capital upgraded shares of Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 20th. Needham & Company LLC reiterated a “buy” rating and set a $41.00 price target on shares of Applied Digital in a research note on Thursday, January 8th. B. Riley Financial lifted their price objective on shares of Applied Digital to $53.00 and gave the company a “buy” rating in a research note on Friday, January 9th. Finally, Arete Research started coverage on shares of Applied Digital in a report on Wednesday, January 7th. They issued a “buy” rating for the company. Two analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has issued a Sell rating to the stock. According to MarketBeat.com, Applied Digital presently has a consensus rating of “Buy” and a consensus target price of $37.00.

Applied Digital Stock Performance

The company has a quick ratio of 4.82, a current ratio of 4.82 and a debt-to-equity ratio of 1.79. The stock has a fifty day moving average price of $31.79 and a 200-day moving average price of $29.02. The firm has a market cap of $7.19 billion, a price-to-earnings ratio of -47.63 and a beta of 7.20.

Insider Activity

In other Applied Digital news, CEO Wes Cummins sold 165,000 shares of Applied Digital stock in a transaction that occurred on Friday, January 16th. The stock was sold at an average price of $36.42, for a total value of $6,009,300.00. Following the sale, the chief executive officer owned 4,176,329 shares of the company’s stock, valued at approximately $152,101,902.18. The trade was a 3.80% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction that occurred on Monday, January 12th. The stock was sold at an average price of $38.54, for a total value of $385,400.00. Following the transaction, the director directly owned 200,859 shares of the company’s stock, valued at approximately $7,741,105.86. This trade represents a 4.74% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last ninety days, insiders sold 244,593 shares of company stock valued at $9,003,278. Company insiders own 9.50% of the company’s stock.

Institutional Investors Weigh In On Applied Digital

A number of hedge funds and other institutional investors have recently modified their holdings of APLD. Noble Wealth Management PBC acquired a new stake in shares of Applied Digital in the 4th quarter worth approximately $25,000. Albion Financial Group UT purchased a new position in shares of Applied Digital in the fourth quarter valued at $25,000. Activest Wealth Management acquired a new position in shares of Applied Digital during the 4th quarter worth $25,000. Ameriflex Group Inc. purchased a new stake in shares of Applied Digital in the 4th quarter worth about $25,000. Finally, McMillan Office Inc. purchased a new stake in shares of Applied Digital in the 4th quarter worth about $25,000. 65.67% of the stock is currently owned by institutional investors and hedge funds.

Applied Digital Company Profile

Applied Digital (NASDAQ: APLD) is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital’s modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.