Applied Digital (NASDAQ:APLD) Shares Down 6.9% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD)’s share price traded down 6.9% during trading on Wednesday . The company traded as low as $26.86 and last traded at $26.87. 12,713,028 shares changed hands during trading, a decline of 46% from the average daily volume of 23,580,053 shares. The stock had previously closed at $28.85.

Wall Street Analyst Weigh In

A number of analysts have recently issued reports on the company. Weiss Ratings reaffirmed a “sell (d-)” rating on shares of Applied Digital in a research note on Tuesday, July 21st. Lucid Cap Mkts raised Applied Digital to a “strong-buy” rating in a research note on Wednesday, May 27th. B. Riley Financial restated a “buy” rating and issued a $75.00 price objective (up from $66.00) on shares of Applied Digital in a report on Monday, August 3rd. Zacks Research raised shares of Applied Digital from a “strong sell” rating to a “hold” rating in a research note on Monday, July 27th. Finally, Northland Securities set a $82.00 target price on shares of Applied Digital and gave the stock an “outperform” rating in a report on Wednesday, June 17th. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating, two have given a Hold rating and one has given a Sell rating to the company’s stock. According to data from MarketBeat, Applied Digital presently has a consensus rating of “Moderate Buy” and an average price target of $68.15.

Applied Digital Price Performance

The company has a debt-to-equity ratio of 2.88, a quick ratio of 4.01 and a current ratio of 4.01. The stock’s 50 day simple moving average is $32.04 and its two-hundred day simple moving average is $33.48. The firm has a market capitalization of $7.83 billion, a PE ratio of -30.19 and a beta of 5.75.

Applied Digital (NASDAQ:APLD) last issued its earnings results on Monday, July 27th. The company reported ($0.39) earnings per share for the quarter, missing the consensus estimate of ($0.09) by ($0.30). Applied Digital had a negative return on equity of 16.42% and a negative net margin of 37.78%.The company had revenue of $240.35 million for the quarter, compared to analyst estimates of $96.85 million. During the same quarter in the prior year, the firm earned ($0.24) earnings per share. The company’s revenue for the quarter was up 406.3% on a year-over-year basis. On average, sell-side analysts forecast that Applied Digital Corporation will post -1.09 EPS for the current year.

Insider Transactions at Applied Digital

In other Applied Digital news, Director Richard N. Nottenburg sold 75,000 shares of the company’s stock in a transaction on Tuesday, August 4th. The stock was sold at an average price of $31.15, for a total value of $2,336,250.00. Following the completion of the sale, the director directly owned 133,378 shares in the company, valued at $4,154,724.70. This represents a 35.99% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. 9.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently modified their holdings of the company. Activest Wealth Management acquired a new position in Applied Digital in the 4th quarter valued at about $25,000. Ameriflex Group Inc. acquired a new position in Applied Digital in the fourth quarter valued at approximately $25,000. McMillan Office Inc. acquired a new position in Applied Digital in the fourth quarter valued at approximately $25,000. Larson Financial Group LLC grew its position in Applied Digital by 56,450.0% in the third quarter. Larson Financial Group LLC now owns 1,131 shares of the company’s stock worth $26,000 after acquiring an additional 1,129 shares during the period. Finally, Northwestern Mutual Wealth Management Co. purchased a new position in Applied Digital in the second quarter worth approximately $26,000. Institutional investors and hedge funds own 65.67% of the company’s stock.

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.