Applied Digital (NASDAQ:APLD) Shares Down 7.5% – Time to Sell?

Applied Digital Corporation (NASDAQ:APLD)’s share price traded down 7.5% during trading on Wednesday . The stock traded as low as $40.41 and last traded at $41.89. Approximately 15,354,649 shares traded hands during mid-day trading, a decline of 39% from the average daily volume of 25,275,705 shares. The stock had previously closed at $45.27.

Wall Street Analysts Forecast Growth

Several brokerages have recently weighed in on APLD. Weiss Ratings restated a “sell (d-)” rating on shares of Applied Digital in a research report on Friday, April 24th. Lucid Cap Mkts raised shares of Applied Digital to a “strong-buy” rating in a research report on Wednesday, May 27th. Citizens Jmp lifted their price target on shares of Applied Digital from $40.00 to $60.00 and gave the stock a “market outperform” rating in a research note on Thursday, May 21st. B. Riley Financial reissued a “buy” rating and issued a $66.00 price target (up from $53.00) on shares of Applied Digital in a research report on Wednesday, May 27th. Finally, Craig Hallum upped their price objective on shares of Applied Digital from $75.00 to $79.00 and gave the company a “buy” rating in a research note on Tuesday, June 9th. Three investment analysts have rated the stock with a Strong Buy rating, eleven have assigned a Buy rating and two have issued a Sell rating to the company. According to MarketBeat, the company has an average rating of “Moderate Buy” and a consensus target price of $70.56.

Applied Digital Trading Down 7.5%

The company has a debt-to-equity ratio of 1.65, a current ratio of 2.38 and a quick ratio of 2.38. The firm has a market capitalization of $11.97 billion, a PE ratio of -56.61 and a beta of 5.69. The business’s 50-day moving average price is $40.80 and its 200-day moving average price is $33.74.

Applied Digital (NASDAQ:APLD) last announced its earnings results on Wednesday, April 8th. The company reported ($0.36) EPS 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 business had revenue of $108.55 million during the quarter, compared to analyst estimates of $78.47 million. During the same period in the previous year, the firm earned ($0.08) earnings per share. The business’s revenue was up 139.3% compared to the same quarter last year. As a group, analysts expect that Applied Digital Corporation will post -0.68 earnings per share for the current fiscal year.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, Director Richard N. Nottenburg sold 12,500 shares of Applied Digital stock in a transaction 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 in the company, valued at approximately $7,207,795.02. The trade was a 5.66% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which can be accessed through this hyperlink. Also, Director Douglas S. Miller sold 10,000 shares of Applied Digital stock in a transaction on Monday, April 27th. The shares were 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 in the company, valued at approximately $6,466,367.82. This represents a 5.13% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 35,000 shares of company stock worth $1,182,175 over the last three months. 9.50% of the stock is currently owned by insiders.

Institutional Trading of Applied Digital

Institutional investors and hedge funds have recently added to or reduced their stakes in the stock. Noble Wealth Management PBC purchased a new stake in shares of Applied Digital in the fourth quarter valued at approximately $25,000. Albion Financial Group UT purchased a new position in Applied Digital in the fourth quarter worth $25,000. Activest Wealth Management purchased a new position in Applied Digital in the fourth quarter worth $25,000. Ameriflex Group Inc. acquired a new stake in Applied Digital in the fourth quarter valued at $25,000. Finally, McMillan Office Inc. acquired a new stake in Applied Digital in the fourth quarter valued at $25,000. 65.67% of the stock is owned by hedge funds and other institutional investors.

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.