Critical Analysis: Allbirds (NASDAQ:BIRD) & Applied Digital (NASDAQ:APLD)

Allbirds (NASDAQ:BIRD – Get Free Report) and Applied Digital (NASDAQ:APLD – Get Free Report) are both technology companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, valuation, risk, earnings, institutional ownership and dividends.

Valuation & Earnings

This table compares Allbirds and Applied Digital”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Allbirds $152.47 million 0.11 -$77.28 million ($8.99) -0.22
Applied Digital $611.31 million 8.81 -$244.00 million ($1.64) -10.87

Allbirds has higher earnings, but lower revenue than Applied Digital. Applied Digital is trading at a lower price-to-earnings ratio than Allbirds, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Allbirds and Applied Digital’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Allbirds -72.82% -231.86% -81.53%
Applied Digital -51.28% -27.21% -5.23%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Allbirds and Applied Digital, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Allbirds 1 1 0 0 1.50
Applied Digital 2 2 12 3 2.84

Applied Digital has a consensus price target of $57.75, indicating a potential upside of 224.07%. Given Applied Digital’s stronger consensus rating and higher probable upside, analysts plainly believe Applied Digital is more favorable than Allbirds.

Volatility and Risk

Allbirds has a beta of 2.63, indicating that its stock price is 163% more volatile than the S&P 500. Comparatively, Applied Digital has a beta of 5.59, indicating that its stock price is 459% more volatile than the S&P 500.

Insider & Institutional Ownership

44.1% of Allbirds shares are held by institutional investors. Comparatively, 65.7% of Applied Digital shares are held by institutional investors. 18.8% of Allbirds shares are held by company insiders. Comparatively, 9.5% of Applied Digital shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Applied Digital beats Allbirds on 12 of the 15 factors compared between the two stocks.

About Allbirds

(Get Free Report)

Allbirds, Inc. manufactures and sells footwear and apparel products for men and women in the United States and internationally. The company offers a range of lifestyle and performance shoes; and apparel, including classic tees and sweats, socks, and underwear. It sells its products through its retail stores, as well as online. The company was formerly known as Bozz, Inc. and changed its name to Allbirds, Inc. in December 2015. Allbirds, Inc. was incorporated in 2015 and is headquartered in San Francisco, California.

About Applied Digital

(Get Free Report)

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. The company was formerly known as Applied Blockchain, Inc. and changed its name to Applied Digital Corporation in November 2022. Applied Digital Corporation is based in Dallas, Texas.

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