Applied Digital (NASDAQ:APLD) Shares Gap Up - What's Next?

Applied Digital Co. (NASDAQ:APLD - Get Free Report) shares gapped up before the market opened on Thursday . The stock had previously closed at $6.78, but opened at $7.10. Applied Digital shares last traded at $7.04, with a volume of 9,950,091 shares changing hands.

Wall Street Analyst Weigh In

Several brokerages have recently commented on APLD. HC Wainwright cut their price objective on Applied Digital from $12.00 to $7.00 and set a "buy" rating for the company in a report on Tuesday, April 15th. Citizens Jmp raised shares of Applied Digital to a "strong-buy" rating and set a $12.00 price target for the company in a research note on Thursday. Northland Securities increased their price target on shares of Applied Digital from $12.00 to $20.00 and gave the stock an "outperform" rating in a report on Tuesday, February 4th. JMP Securities began coverage on shares of Applied Digital in a report on Thursday. They set a "market outperform" rating and a $12.00 price objective for the company. Finally, Compass Point started coverage on shares of Applied Digital in a research report on Tuesday, January 28th. They issued a "buy" rating and a $10.00 target price for the company. Ten research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, Applied Digital has a consensus rating of "Buy" and an average price target of $10.91.

Applied Digital Stock Performance

The company has a market cap of $1.65 billion, a P/E ratio of -4.25 and a beta of 5.98. The company's fifty day moving average is $5.56 and its 200 day moving average is $7.41. The company has a current ratio of 0.77, a quick ratio of 0.77 and a debt-to-equity ratio of 1.22.

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 net margin of 127.86% and a negative return on equity of 117.67%. During the same period last year, the business posted ($0.24) earnings per share. As a group, equities analysts predict that Applied Digital Co. will post -0.96 earnings per share for the current fiscal year.

Insider Buying and Selling

In other Applied Digital news, Director Rachel H. Lee sold 24,212 shares of the business's stock in a transaction that occurred on Wednesday, May 21st. The stock was sold at an average price of $7.00, for a total value of $169,484.00. Following the completion of the sale, the director now owns 83,613 shares in the company, valued at approximately $585,291. The trade was 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 this hyperlink. 11.81% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Institutional investors and hedge funds have recently made changes to their positions in the company. Hood River Capital Management LLC raised its holdings in Applied Digital by 10.7% during the 4th quarter. Hood River Capital Management LLC now owns 15,147,422 shares of the company's stock valued at $115,726,000 after buying an additional 1,464,854 shares during the last quarter. Vanguard Group Inc. increased its position in shares of Applied Digital by 5.7% in the first quarter. Vanguard Group Inc. now owns 13,491,013 shares of the company's stock valued at $75,819,000 after acquiring an additional 730,978 shares during the period. Geode Capital Management LLC raised its stake in shares of Applied Digital by 54.4% during the fourth quarter. Geode Capital Management LLC now owns 4,726,495 shares of the company's stock valued at $36,117,000 after acquiring an additional 1,665,335 shares during the last quarter. Van ECK Associates Corp raised its position in Applied Digital by 113.8% during the 4th quarter. Van ECK Associates Corp now owns 4,404,313 shares of the company's stock valued at $33,649,000 after purchasing an additional 2,344,572 shares during the last quarter. Finally, Situational Awareness LP bought a new position in shares of Applied Digital during the first quarter valued at approximately $22,680,000. Institutional investors own 65.67% of the company's stock.

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.