Applied Digital (NASDAQ:APLD) Trading 1.4% Higher – Still a Buy?

Applied Digital Corporation (NASDAQ:APLD) shares shot up 1.4% during mid-day trading on Monday . The stock traded as high as $49.96 and last traded at $47.94. 17,363,541 shares changed hands during trading, a decline of 33% from the average session volume of 26,088,061 shares. The stock had previously closed at $47.28.

Wall Street Analysts Forecast Growth

Several research firms recently issued reports on APLD. Citizens Jmp raised their price target on Applied Digital from $40.00 to $60.00 and gave the stock a “market outperform” rating in a research report on Thursday, May 21st. Lucid Cap Mkts upgraded Applied Digital to a “strong-buy” rating in a report on Wednesday, May 27th. Needham & Company LLC increased their price objective on Applied Digital from $51.00 to $66.00 and gave the stock a “buy” rating in a report on Thursday, May 21st. B. Riley Financial reiterated a “buy” rating and issued a $66.00 price objective (up from $53.00) on shares of Applied Digital in a report on Wednesday, May 27th. Finally, Citigroup reiterated an “outperform” rating on shares of Applied Digital in a report on Thursday, May 21st. Three equities research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating, one has given a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, the stock has an average rating of “Buy” and a consensus price target of $59.11.

Applied Digital Trading Up 1.4%

The company has a debt-to-equity ratio of 1.65, a quick ratio of 2.38 and a current ratio of 2.38. The company has a market cap of $13.70 billion, a P/E ratio of -64.78 and a beta of 5.69. The stock has a 50-day moving average of $34.40 and a two-hundred day moving average of $31.42.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings data on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.23). Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The company had revenue of $108.55 million for the quarter, compared to the consensus estimate of $78.47 million. During the same period last year, the business earned ($0.08) EPS. The firm’s quarterly revenue was up 139.3% on a year-over-year basis. On average, equities research analysts predict that Applied Digital Corporation will post -0.68 earnings per share for the current year.

Insider Buying and Selling

In related news, Director Douglas S. Miller sold 10,000 shares of the firm’s stock in a transaction that occurred on Monday, April 27th. The stock was sold at an average price of $34.98, for a total transaction of $349,800.00. Following the completion of the transaction, the director owned 184,859 shares of the company’s stock, valued at $6,466,367.82. This trade represents a 5.13% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, Director Richard N. Nottenburg sold 12,500 shares of the firm’s stock in a transaction that occurred on Thursday, April 30th. The shares were sold at an average price of $34.59, for a total value of $432,375.00. Following the transaction, the director directly owned 208,378 shares of the company’s stock, valued at approximately $7,207,795.02. This trade represents a 5.66% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last ninety days, insiders have sold 35,000 shares of company stock valued at $1,182,175. 9.50% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Vestor Capital LLC bought a new stake in shares of Applied Digital in the 1st quarter worth $98,000. Western Wealth Management LLC bought a new stake in shares of Applied Digital in the 1st quarter worth $87,000. Janus Henderson Group PLC increased its holdings in shares of Applied Digital by 318.5% in the 1st quarter. Janus Henderson Group PLC now owns 785,152 shares of the company’s stock worth $18,638,000 after purchasing an additional 597,548 shares in the last quarter. Amundi increased its holdings in shares of Applied Digital by 61.8% in the 1st quarter. Amundi now owns 31,327 shares of the company’s stock worth $744,000 after purchasing an additional 11,968 shares in the last quarter. Finally, Situational Awareness LP increased its holdings in shares of Applied Digital by 18.9% in the 1st quarter. Situational Awareness LP now owns 13,478,438 shares of the company’s stock worth $319,978,000 after purchasing an additional 2,139,378 shares in the last quarter. Institutional investors 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.