Applied Digital Corporation (NASDAQ:APLD) Given Consensus Recommendation of "Buy" by Analysts

Key Points

• Applied Digital Corporation (NASDAQ:APLD) has received a consensus recommendation of "Buy" from thirteen analysts, with an average 12-month price target of $15.64.
• The company's stock recently opened at $23.45 and has experienced a year-high of $25.61 and a year-low of $3.31.
• In its latest quarterly earnings report, Applied Digital posted a revenue of $38.01 million, reflecting a 41.3% increase compared to the same quarter last year but fell short of analyst expectations.

Applied Digital Corporation (NASDAQ:APLD - Get Free Report) has been given a consensus rating of "Buy" by the thirteen analysts that are currently covering the stock, Marketbeat.com reports. Twelve analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the company. The average 12-month price target among analysts that have covered the stock in the last year is $15.6364.

Several equities research analysts have recently issued reports on the stock. Needham & Company LLC increased their price objective on shares of Applied Digital from $12.00 to $16.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. HC Wainwright increased their price objective on shares of Applied Digital from $15.00 to $20.00 and gave the stock a "buy" rating in a research report on Monday, August 25th. Compass Point assumed coverage on shares of Applied Digital in a research report on Monday, September 15th. They issued a "buy" rating for the company. B. Riley increased their price objective on shares of Applied Digital from $8.00 to $15.00 and gave the stock a "buy" rating in a research report on Wednesday, June 4th. Finally, Citigroup reissued an "outperform" rating on shares of Applied Digital in a research report on Tuesday, June 3rd.

Applied Digital Stock Performance

Shares of APLD stock opened at $23.45 on Thursday. Applied Digital has a one year low of $3.31 and a one year high of $25.61. The company has a debt-to-equity ratio of 1.36, a quick ratio of 0.77 and a current ratio of 0.77. The company has a 50 day moving average price of $15.34 and a 200 day moving average price of $10.22. The firm has a market capitalization of $6.32 billion, a price-to-earnings ratio of -21.51 and a beta of 6.64.

Applied Digital (NASDAQ:APLD - Get Free Report) last issued its quarterly earnings results on Wednesday, July 30th. The company reported ($0.12) EPS for the quarter, hitting the consensus estimate of ($0.12). Applied Digital had a negative net margin of 107.22% and a negative return on equity of 50.03%. The firm had revenue of $38.01 million during the quarter, compared to analyst estimates of $42.86 million. During the same quarter in the prior year, the business posted ($0.14) earnings per share. Applied Digital's revenue for the quarter was up 41.3% compared to the same quarter last year. Sell-side analysts anticipate that Applied Digital will post -0.96 EPS for the current year.

Insider Transactions at Applied Digital

In related news, Director Richard N. Nottenburg sold 20,000 shares of the firm's stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total transaction of $305,200.00. Following the completion of the sale, the director directly owned 297,987 shares of the company's stock, valued at approximately $4,547,281.62. This trade represents a 6.29% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Wes Cummins sold 400,000 shares of the firm's stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total transaction of $6,104,000.00. Following the sale, the chief executive officer directly owned 2,659,379 shares of the company's stock, valued at approximately $40,582,123.54. The trade was a 13.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 506,250 shares of company stock valued at $7,713,675 over the last 90 days. Corporate insiders own 11.81% of the company's stock.

Institutional Investors Weigh In On Applied Digital

Large investors have recently added to or reduced their stakes in the company. Teacher Retirement System of Texas acquired a new stake in Applied Digital during the 1st quarter valued at $139,000. Exchange Traded Concepts LLC grew its holdings in Applied Digital by 4.0% during the 1st quarter. Exchange Traded Concepts LLC now owns 1,042,035 shares of the company's stock valued at $5,856,000 after purchasing an additional 39,945 shares in the last quarter. Register Financial Advisors LLC grew its holdings in Applied Digital by 26.2% during the 1st quarter. Register Financial Advisors LLC now owns 254,200 shares of the company's stock valued at $1,429,000 after purchasing an additional 52,700 shares in the last quarter. Scientech Research LLC acquired a new stake in Applied Digital during the 1st quarter valued at $806,000. Finally, Lake Hills Wealth Management LLC acquired a new stake in Applied Digital during the 2nd quarter valued at $184,000. 65.67% of the stock is owned by institutional investors and hedge funds.

Applied Digital Company Profile

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.

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