Applied Digital (NASDAQ:APLD) Stock Price Down 7.1% - Here's What Happened

Shares of Applied Digital Co. (NASDAQ:APLD - Get Free Report) dropped 7.1% on Friday . The company traded as low as $11.41 and last traded at $11.62. Approximately 28,040,517 shares traded hands during trading, a decline of 29% from the average daily volume of 39,301,164 shares. The stock had previously closed at $12.51.

Analysts Set New Price Targets

Several analysts have recently commented on APLD shares. Needham & Company LLC restated a "buy" rating and set a $10.00 target price on shares of Applied Digital in a report on Monday, June 2nd. Roth Capital reissued a "buy" rating on shares of Applied Digital in a report on Monday, June 2nd. Citizens Jmp raised shares of Applied Digital to a "strong-buy" rating and set a $12.00 target price for the company in a research note on Thursday, May 22nd. B. Riley raised their price target on shares of Applied Digital from $8.00 to $15.00 and gave the company a "buy" rating in a report on Wednesday, June 4th. Finally, Cantor Fitzgerald reduced their price objective on Applied Digital from $14.00 to $7.00 and set an "overweight" rating on the stock in a report on Tuesday, April 15th. One research analyst has rated the stock with a hold rating, eleven have assigned a buy rating and one has given a strong buy rating to the company. According to MarketBeat, Applied Digital presently has a consensus rating of "Buy" and an average target price of $12.73.

Applied Digital Trading Up 3.3%

The business has a 50 day simple moving average of $6.83 and a 200-day simple moving average of $7.61. The company has a debt-to-equity ratio of 1.22, a current ratio of 0.77 and a quick ratio of 0.77. The stock has a market capitalization of $2.60 billion, a price-to-earnings ratio of -6.68 and a beta of 6.08.

Applied Digital (NASDAQ:APLD - Get Free Report) last announced its quarterly earnings data on Monday, April 14th. The company reported ($0.16) earnings per share (EPS) for the quarter, missing analysts' consensus estimates of ($0.11) by ($0.05). The company had revenue of $52.92 million for the quarter, compared to the consensus estimate of $62.91 million. Applied Digital had a negative return on equity of 117.67% and a negative net margin of 127.86%. During the same quarter in the prior year, the company earned ($0.24) EPS. As a group, equities analysts expect that Applied Digital Co. will post -0.96 earnings per share for the current year.

Insider Transactions at Applied Digital

In other news, Director Rachel H. Lee sold 24,212 shares of Applied Digital stock in a transaction dated Wednesday, May 21st. The stock was sold at an average price of $7.00, for a total transaction of $169,484.00. Following the sale, the director now directly owns 83,613 shares of the company's stock, valued at approximately $585,291. This trade represents a 22.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through the SEC website. Insiders own 11.81% of the company's stock.

Institutional Investors Weigh In On Applied Digital

Several institutional investors and hedge funds have recently made changes to their positions in APLD. Situational Awareness LP acquired a new stake in Applied Digital in the 1st quarter valued at $22,680,000. Vanguard Group Inc. raised its holdings in shares of Applied Digital by 39.1% in the 4th quarter. Vanguard Group Inc. now owns 12,760,035 shares of the company's stock worth $97,487,000 after purchasing an additional 3,587,619 shares during the period. Tidal Investments LLC lifted its position in shares of Applied Digital by 14,635.7% during the 4th quarter. Tidal Investments LLC now owns 1,697,850 shares of the company's stock valued at $12,972,000 after buying an additional 1,686,328 shares during the last quarter. American Century Companies Inc. bought a new position in Applied Digital during the fourth quarter worth about $12,843,000. Finally, Geode Capital Management LLC grew its stake in Applied Digital by 54.4% in the 4th quarter. Geode Capital Management LLC now owns 4,726,495 shares of the company's stock valued at $36,117,000 after buying an additional 1,665,335 shares in the last quarter. Institutional investors 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.