Applied Digital (NASDAQ:APLD) Stock Price Up 20.5% – Here’s Why

Applied Digital Corporation (NASDAQ:APLD)’s stock price was up 20.5% on Thursday . The stock traded as high as $28.56 and last traded at $27.97. Approximately 25,632,796 shares changed hands during trading, an increase of 4% from the average daily volume of 24,576,574 shares. The stock had previously closed at $23.22.

More Applied Digital News

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: B. Riley named Applied Digital one of its top high-performance computing (HPC) picks, suggesting the recent sector selloff may have created an attractive entry point for companies positioned to benefit from AI data-center demand. B. Riley names Core Scientific and Applied Digital top HPC picks after sector selloff
• Positive Sentiment: Northland Securities maintained an Outperform rating and an $82 price target. Its FY2027 forecast calls for a narrower $0.44-per-share loss, compared with a projected $1.10 loss for the current year, implying improving profitability over time.
• Positive Sentiment: Recent coverage highlighted revenue growth of more than 400% year over year and Applied Digital’s expanding role as an AI data-center real estate owner, supporting the long-term growth narrative. As Revenue Surges 400%, Is Applied Digital Stock a Buy?
• Positive Sentiment: Lucid Capital assigned Applied Digital a Buy rating, while Needham reaffirmed its Buy rating, adding to the favorable sell-side view. Applied Digital Receives a Buy from Lucid Capital Needham Reaffirms Buy Rating
• Neutral Sentiment: Northland expects Applied Digital to remain unprofitable through each quarter of FY2027, forecasting quarterly losses of $0.06 to $0.14 per share. The estimates are a forward-looking signal rather than a change in rating.
• Negative Sentiment: Investor sentiment remains pressured by the AI-infrastructure selloff and Applied Digital’s continuing losses. Its latest quarter missed the EPS consensus estimate despite strong revenue, underscoring execution and profitability risks.

Analyst Ratings Changes

APLD has been the subject of a number of research analyst reports. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a report on Tuesday, July 21st. Lake Street Capital boosted their price objective on shares of Applied Digital from $70.00 to $90.00 and gave the company a “buy” rating in a report on Tuesday, June 9th. Citigroup reissued a “market outperform” rating on shares of Applied Digital in a research report on Tuesday, June 9th. Northland Securities set a $82.00 target price on Applied Digital and gave the stock an “outperform” rating in a research note on Wednesday, June 17th. Finally, Compass Point reaffirmed a “buy” rating and set a $70.00 price target on shares of Applied Digital in a research report on Friday, May 22nd. Three investment analysts have rated the stock with a Strong Buy rating, twelve have issued a Buy rating, one has assigned a Hold rating and one has assigned a Sell rating to the stock. According to data from MarketBeat, Applied Digital has a consensus rating of “Buy” and an average price target of $67.15.

Applied Digital Stock Down 2.1%

The company has a current ratio of 4.01, a quick ratio of 2.38 and a debt-to-equity ratio of 2.88. The company has a market capitalization of $7.98 billion, a PE ratio of -30.78 and a beta of 5.67. The business’s 50-day simple moving average is $37.24 and its 200-day simple moving average is $34.34.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings data on Monday, July 27th. The company reported ($0.39) EPS for the quarter, missing the consensus estimate of ($0.09) by ($0.30). The business had revenue of $240.35 million for the quarter, compared to analyst estimates of $96.85 million. Applied Digital had a negative net margin of 37.78% and a negative return on equity of 16.42%. The business’s revenue was up 406.3% on a year-over-year basis. During the same quarter in the previous year, the firm posted ($0.24) earnings per share. As a group, equities research analysts anticipate that Applied Digital Corporation will post -0.88 EPS for the current fiscal year.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently added to or reduced their stakes in APLD. Newbridge Financial Services Group Inc. grew its position in Applied Digital by 8.6% during the 4th quarter. Newbridge Financial Services Group Inc. now owns 3,800 shares of the company’s stock worth $93,000 after purchasing an additional 300 shares during the period. Concurrent Investment Advisors LLC raised its stake in shares of Applied Digital by 1.5% during the 4th quarter. Concurrent Investment Advisors LLC now owns 21,332 shares of the company’s stock valued at $523,000 after buying an additional 318 shares during the last quarter. Brookstone Capital Management lifted its holdings in shares of Applied Digital by 3.6% in the 4th quarter. Brookstone Capital Management now owns 9,275 shares of the company’s stock valued at $227,000 after buying an additional 321 shares during the period. Independent Advisor Alliance lifted its holdings in shares of Applied Digital by 4.6% in the 4th quarter. Independent Advisor Alliance now owns 9,215 shares of the company’s stock valued at $226,000 after buying an additional 407 shares during the period. Finally, GAMMA Investing LLC boosted its stake in shares of Applied Digital by 28.5% in the second quarter. GAMMA Investing LLC now owns 2,092 shares of the company’s stock worth $78,000 after buying an additional 464 shares during the last quarter. 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.