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

Applied Digital Co. (NASDAQ:APLD)’s share price gapped down before the market opened on Thursday . The stock had previously closed at $7.69, but opened at $7.29. Applied Digital shares last traded at $7.16, with a volume of 2,649,227 shares.

Wall Street Analyst Weigh In

APLD has been the subject of several analyst reports. Cantor Fitzgerald cut their price target on Applied Digital from $15.00 to $14.00 and set an “overweight” rating for the company in a research note on Wednesday, January 15th. Compass Point initiated coverage on Applied Digital in a research note on Tuesday, January 28th. They set a “buy” rating and a $10.00 price target for the company. HC Wainwright upped their price target on Applied Digital from $10.00 to $12.00 and gave the stock a “buy” rating in a research note on Wednesday, January 15th. Needham & Company LLC restated a “buy” rating and set a $11.00 price target on shares of Applied Digital in a research note on Monday, February 24th. Finally, Northland Securities upped their price target on Applied Digital from $12.00 to $20.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 4th. Nine analysts have rated the stock with a buy rating, Based on data from MarketBeat, the stock presently has a consensus rating of “Buy” and a consensus target price of $12.11.

Applied Digital Price Performance

The company has a 50-day simple moving average of $8.26 and a 200-day simple moving average of $7.73. The stock has a market cap of $1.62 billion, a PE ratio of -4.20 and a beta of 4.69. The company has a debt-to-equity ratio of 1.22, a current ratio of 0.77 and a quick ratio of 0.77.

Applied Digital (NASDAQ:APLD) last released its quarterly earnings data on Tuesday, January 14th. The company reported ($0.06) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.14) by $0.08. The firm had revenue of $63.87 million during the quarter, compared to analysts’ expectations of $62.41 million. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. Applied Digital’s revenue was up 51.3% compared to the same quarter last year. During the same quarter in the prior year, the business posted ($0.05) earnings per share. Sell-side analysts anticipate that Applied Digital Co. will post -0.96 EPS for the current fiscal year.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, Director Richard N. Nottenburg sold 20,000 shares of the company’s stock in a transaction on Friday, January 17th. The stock was sold at an average price of $8.85, for a total value of $177,000.00. Following the sale, the director now owns 342,923 shares of the company’s stock, valued at approximately $3,034,868.55. This represents a 5.51 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. 11.81% of the stock is owned by corporate insiders.

Institutional Trading of Applied Digital

Several large investors have recently bought and sold shares of APLD. Vontobel Holding Ltd. boosted its stake in shares of Applied Digital by 9.8% during the fourth quarter. Vontobel Holding Ltd. now owns 16,735 shares of the company’s stock valued at $128,000 after acquiring an additional 1,500 shares during the last quarter. Nisa Investment Advisors LLC boosted its stake in shares of Applied Digital by 16.8% during the fourth quarter. Nisa Investment Advisors LLC now owns 11,774 shares of the company’s stock valued at $90,000 after acquiring an additional 1,692 shares during the last quarter. Wilmington Savings Fund Society FSB boosted its stake in shares of Applied Digital by 100.0% during the fourth quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company’s stock valued at $31,000 after acquiring an additional 2,000 shares during the last quarter. Wellington Management Group LLP boosted its stake in shares of Applied Digital by 8.8% during the third quarter. Wellington Management Group LLP now owns 37,411 shares of the company’s stock valued at $309,000 after acquiring an additional 3,040 shares during the last quarter. Finally, Amalgamated Bank boosted its stake in shares of Applied Digital by 113.3% during the fourth quarter. Amalgamated Bank now owns 6,538 shares of the company’s stock valued at $50,000 after acquiring an additional 3,473 shares during the last quarter. Institutional investors and hedge funds own 65.67% of the company’s stock.

About Applied Digital

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.