Applied Digital (NASDAQ:APLD) Stock Price Down 3.5% – Here’s What Happened

Applied Digital Corporation (NASDAQ:APLD)’s share price dropped 3.5% on Monday . The stock traded as low as $36.10 and last traded at $37.77. 19,876,933 shares changed hands during mid-day trading, a decline of 21% from the average daily volume of 25,320,521 shares. The stock had previously closed at $39.16.

Wall Street Analysts Forecast Growth

Several equities analysts have recently commented on APLD shares. Citigroup restated a “market outperform” rating on shares of Applied Digital in a report on Tuesday, June 9th. Roth Mkm restated a “buy” rating and issued a $65.00 target price on shares of Applied Digital in a research note on Thursday, April 23rd. Lake Street Capital increased their price objective on Applied Digital from $70.00 to $90.00 and gave the stock a “buy” rating in a report on Tuesday, June 9th. Wall Street Zen lowered shares of Applied Digital from a “hold” rating to a “sell” rating in a research report on Saturday, April 11th. Finally, B. Riley Financial reiterated a “buy” rating and issued a $66.00 target price (up from $53.00) on shares of Applied Digital in a research note on Wednesday, May 27th. Three investment analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have issued a Sell rating to the company. Based on data from MarketBeat.com, Applied Digital has a consensus rating of “Moderate Buy” and a consensus target price of $70.56.

Applied Digital Stock Performance

The firm’s 50 day moving average price is $41.71 and its 200-day moving average price is $34.01. The firm has a market cap of $10.15 billion, a price-to-earnings ratio of -48.00 and a beta of 5.69. The company has a debt-to-equity ratio of 1.65, a current ratio of 2.38 and a quick ratio of 2.38.

Applied Digital (NASDAQ:APLD) last issued its quarterly earnings results 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 during the quarter, compared to the consensus estimate of $78.47 million. During the same period last year, the company earned ($0.08) earnings per share. Applied Digital’s revenue for the quarter was up 139.3% on a year-over-year basis. On average, analysts anticipate that Applied Digital Corporation will post -0.68 earnings per share for the current year.

Insider Activity

In other news, 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 transaction of $432,375.00. Following the completion of the sale, the director 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 ownership of the stock. The transaction was disclosed in a filing with the SEC, which is accessible through this link. Also, Director Douglas S. Miller sold 10,000 shares of the business’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 value of $349,800.00. Following the completion of the transaction, the director directly owned 184,859 shares in the company, valued at $6,466,367.82. The trade was a 5.13% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last quarter, insiders have sold 35,000 shares of company stock worth $1,182,175. 9.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently made changes to their positions in the business. AQR Capital Management LLC lifted its holdings in Applied Digital by 84.8% during the 1st quarter. AQR Capital Management LLC now owns 18,945 shares of the company’s stock worth $106,000 after buying an additional 8,692 shares in the last quarter. NewEdge Advisors LLC lifted its stake in shares of Applied Digital by 239.1% in the 1st quarter. NewEdge Advisors LLC now owns 33,267 shares of the company’s stock valued at $187,000 after purchasing an additional 23,457 shares during the period. Geneos Wealth Management Inc. grew its stake in shares of Applied Digital by 113.3% during the first quarter. Geneos Wealth Management Inc. now owns 6,667 shares of the company’s stock worth $37,000 after purchasing an additional 3,542 shares during the period. Strs Ohio bought a new stake in Applied Digital in the first quarter valued at about $71,000. Finally, Cetera Investment Advisers increased its holdings in Applied Digital by 61.0% in the second quarter. Cetera Investment Advisers now owns 61,656 shares of the company’s stock valued at $621,000 after purchasing an additional 23,360 shares during the last quarter. 65.67% of the stock is owned by institutional investors.

About Applied Digital

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.