Applied Digital (NASDAQ:APLD) Stock Price Up 14.3% – Should You Buy?

Applied Digital Corporation (NASDAQ:APLD)’s stock price traded up 14.3% on Tuesday . The stock traded as high as $42.10 and last traded at $41.35. 47,150,272 shares were traded during trading, an increase of 8% from the average session volume of 43,755,281 shares. The stock had previously closed at $36.18.

Analysts Set New Price Targets

APLD has been the topic of several recent analyst reports. Roth Mkm lifted their price target on Applied Digital to $58.00 and gave the stock a “buy” rating in a research report on Thursday, January 8th. Weiss Ratings restated a “sell (d-)” rating on shares of Applied Digital in a research note on Wednesday, October 8th. B. Riley upped their target price on shares of Applied Digital to $53.00 and gave the company a “buy” rating in a research note on Friday, January 9th. Wall Street Zen raised shares of Applied Digital from a “sell” rating to a “hold” rating in a report on Saturday, January 10th. Finally, Freedom Capital upgraded shares of Applied Digital to a “strong-buy” rating in a research report on Tuesday, January 6th. Three research analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock has an average rating of “Buy” and an average price target of $33.27.

Applied Digital Stock Up 14.3%

The firm has a market capitalization of $11.56 billion, a price-to-earnings ratio of -76.57 and a beta of 6.89. The business has a 50 day moving average of $29.03 and a 200 day moving average of $23.95. The company has a debt-to-equity ratio of 1.79, a current ratio of 4.82 and a quick ratio of 4.82.

Applied Digital (NASDAQ:APLD) last posted its quarterly earnings results on Wednesday, January 7th. The company reported ($0.11) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.09) by ($0.02). The business had revenue of $126.59 million for the quarter, compared to analyst estimates of $82.22 million. Applied Digital had a negative return on equity of 13.53% and a negative net margin of 43.49%.The firm’s quarterly revenue was up 250.1% on a year-over-year basis. During the same quarter in the prior year, the firm earned ($0.06) EPS. On average, equities analysts anticipate that Applied Digital Corporation will post -0.96 EPS for the current year.

Insiders Place Their Bets

In related news, Director Ella G. Benson sold 42,569 shares of the stock in a transaction dated Wednesday, October 29th. The shares were sold at an average price of $35.30, for a total value of $1,502,685.70. Following the completion of the transaction, the director owned 69,256 shares of the company’s stock, valued at $2,444,736.80. This represents a 38.07% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, Director Chuck Hastings sold 25,000 shares of Applied Digital stock in a transaction that occurred on Friday, October 31st. The shares were sold at an average price of $34.27, for a total value of $856,750.00. Following the sale, the director directly owned 426,612 shares in the company, valued at $14,619,993.24. The trade was a 5.54% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Insiders have sold a total of 330,550 shares of company stock valued at $11,884,152 over the last 90 days. Company insiders own 9.50% of the company’s stock.

Institutional Trading of Applied Digital

A number of large investors have recently bought and sold shares of APLD. Hood River Capital Management LLC lifted its holdings in shares of Applied Digital by 2.8% during the second quarter. Hood River Capital Management LLC now owns 21,859,031 shares of the company’s stock valued at $220,120,000 after acquiring an additional 592,314 shares during the period. Vanguard Group Inc. grew its holdings in shares of Applied Digital by 23.2% in the 3rd quarter. Vanguard Group Inc. now owns 17,722,174 shares of the company’s stock worth $406,547,000 after purchasing an additional 3,339,062 shares during the last quarter. Situational Awareness LP increased its position in shares of Applied Digital by 63.3% during the 2nd quarter. Situational Awareness LP now owns 6,591,800 shares of the company’s stock worth $66,379,000 after purchasing an additional 2,556,200 shares in the last quarter. BNP Paribas Financial Markets lifted its holdings in Applied Digital by 24,356.8% during the 2nd quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company’s stock valued at $52,561,000 after purchasing an additional 5,198,223 shares during the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. lifted its holdings in Applied Digital by 20.2% during the 3rd quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 3,199,135 shares of the company’s stock valued at $73,388,000 after purchasing an additional 537,839 shares during the last quarter. 65.67% of the stock is currently 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.