Applied Digital Corporation (NASDAQ:APLD) Stock Has Consensus Price Target of $59.75

Shares of Applied Digital Corporation (NASDAQ:APLD) have been given an average recommendation of “Moderate Buy” by the nineteen brokerages that are covering the stock, Marketbeat reports. Two analysts have rated the stock with a sell recommendation, two have given a hold recommendation, twelve have given a buy recommendation and three have given a strong buy recommendation to the company. The average 1-year price target among brokers that have updated their coverage on the stock in the last year is $57.75.

A number of research firms have recently commented on APLD. Citigroup reissued a “market outperform” rating on shares of Applied Digital in a research note on Thursday, October 8th. Rothschild & Co Redburn set a $22.00 price objective on shares of Applied Digital and gave the stock a “neutral” rating in a research note on Monday, September 21st. Morgan Stanley set a $41.00 price objective on shares of Applied Digital and gave the company an “equal weight” rating in a report on Friday, October 9th. B. Riley Financial cut their price objective on shares of Applied Digital from $75.00 to $51.00 and set a “buy” rating on the stock in a research report on Friday. Finally, Wells Fargo & Company reiterated an “overweight” rating and issued a $55.00 price target (up from $50.00) on shares of Applied Digital in a research note on Thursday, October 8th.

Applied Digital Stock Performance

Shares of APLD stock opened at $17.82 on Friday. The company has a debt-to-equity ratio of 3.90, a quick ratio of 2.56 and a current ratio of 2.56. Applied Digital has a fifty-two week low of $17.19 and a fifty-two week high of $50.72. The stock has a market capitalization of $5.39 billion, a P/E ratio of -10.87 and a beta of 5.59. The company has a 50 day moving average price of $24.06 and a 200 day moving average price of $31.35.

Applied Digital (NASDAQ:APLD) last announced its earnings results on Wednesday, October 7th. The company reported ($0.01) earnings per share for the quarter, beating the consensus estimate of ($0.30) by $0.29. Applied Digital had a negative return on equity of 27.21% and a negative net margin of 51.28%. The company had revenue of $300.39 million for the quarter, compared to the consensus estimate of $116.29 million. During the same period last year, the business posted ($0.03) EPS. The company’s revenue was up 367.8% on a year-over-year basis. Equities research analysts predict that Applied Digital will post -2.17 EPS for the current fiscal year.

Insider Transactions at Applied Digital

In other Applied Digital news, CEO Wes Cummins acquired 55,803 shares of the company’s stock in a transaction dated Friday, October 16th. The stock was purchased at an average price of $18.04 per share, with a total value of $1,006,686.12. Following the completion of the purchase, the chief executive officer directly owned 5,874,453 shares in the company, valued at approximately $105,975,132.12. The trade was a 0.96% increase in their position. The acquisition was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, Director Richard N. Nottenburg sold 75,000 shares of the 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 owned 133,378 shares in the company, valued at approximately $4,154,724.70. The trade was a 35.99% decrease in their position. The disclosure for this sale is available in the SEC filing. Corporate insiders own 9.50% of the company’s stock.

Institutional Trading of Applied Digital

Institutional investors and hedge funds have recently bought and sold shares of the stock. Whitaker Myers Wealth Managers LTD. acquired a new stake in Applied Digital in the second quarter valued at $1,841,000. Cambridge Investment Research Advisors Inc. lifted its stake in Applied Digital by 39.6% in the second quarter. Cambridge Investment Research Advisors Inc. now owns 146,633 shares of the company’s stock valued at $5,469,000 after buying an additional 41,562 shares during the last quarter. Dimensional Fund Advisors LP acquired a new position in shares of Applied Digital during the first quarter valued at approximately $1,970,000. Situational Awareness LP lifted its holdings in shares of Applied Digital by 14.1% during the second quarter. Situational Awareness LP now owns 15,384,616 shares of the company’s stock valued at $574,000 after purchasing an additional 1,906,178 shares during the last quarter. Finally, Engineers Gate Manager LP purchased a new position in Applied Digital during the second quarter valued at approximately $4,350,000. 65.67% of the stock is currently owned by hedge funds and other institutional investors.

Key Headlines Impacting Applied Digital

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

• Positive Sentiment: Insiders reportedly purchased approximately $7 million of Applied Digital shares during the selloff, signaling that company executives view the decline as an attractive entry point. Applied Digital insiders buy roughly $7M in shares as stock slides
• Positive Sentiment: Applied Digital agreed with Soluna Holdings to develop a jointly owned 50-megawatt critical IT data center in Texas. The project is intended to serve artificial-intelligence and high-performance-computing demand, supporting the company’s growth narrative. Applied Digital shares and Soluna data center agreement
• Positive Sentiment: Some analysts and financial publications continue to identify APLD as a potential rebound candidate because of accelerating data-center demand, backlog growth, and AI monetization. The reported analyst consensus target is $59.75, while B. Riley still rates the stock “Buy” with a $51 target. Applied Digital consensus target price B. Riley lowered Applied Digital price target
• Neutral Sentiment: Coverage comparing Applied Digital with IREN highlights that both companies face investor concerns about risk, making the sector’s recent weakness broader than a single company-specific issue. Should investors buy IREN instead of Applied Digital
• Negative Sentiment: B. Riley reduced its APLD price target from $75 to $51. Although the firm retained a Buy rating and still sees significant upside, the cut reflects a more cautious outlook and may reinforce near-term investor concerns. B. Riley Applied Digital stock recommendation

About Applied Digital

Applied Digital Corporation (NASDAQ: APLD) develops and operates digital infrastructure designed to support high-performance computing and artificial intelligence applications. The company provides data-center capacity, hosting services and related infrastructure for customers that require substantial computing power and energy resources.

Its business includes high-performance computing data centers and cloud services intended to support artificial intelligence, machine learning, cryptocurrency mining and other compute-intensive workloads.