Applied Digital (NASDAQ:APLD) Trading 41.3% Higher - Here's Why

Applied Digital Co. (NASDAQ:APLD - Get Free Report)'s stock price traded up 41.3% during mid-day trading on Monday . The company traded as high as $9.97 and last traded at $9.65. 112,083,797 shares traded hands during mid-day trading, an increase of 260% from the average session volume of 31,152,561 shares. The stock had previously closed at $6.83.

Wall Street Analysts Forecast Growth

Several analysts have recently issued reports on APLD shares. JMP Securities upped their price objective on Applied Digital from $12.00 to $18.00 and gave the stock a "market outperform" rating in a report on Tuesday. Cantor Fitzgerald decreased their price target on shares of Applied Digital from $14.00 to $7.00 and set an "overweight" rating on the stock in a research note on Tuesday, April 15th. Craig Hallum increased their price objective on shares of Applied Digital from $10.00 to $12.00 and gave the company a "buy" rating in a research report on Tuesday. Northland Securities boosted their target price 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. Finally, HC Wainwright upped their target price on shares of Applied Digital from $7.00 to $12.00 and gave the company a "buy" rating in a research report on Tuesday. Ten equities research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company's stock. Based on data from MarketBeat, Applied Digital has a consensus rating of "Buy" and a consensus price target of $11.91.

Applied Digital Stock Up 1.1%

The stock has a market capitalization of $2.30 billion, a PE ratio of -5.92 and a beta of 6.09. The company has a debt-to-equity ratio of 1.22, a quick ratio of 0.77 and a current ratio of 0.77. The business has a 50 day moving average of $5.70 and a two-hundred day moving average of $7.44.

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

Insider Activity at Applied Digital

In other news, Director Rachel H. Lee sold 24,212 shares of the business's stock in a transaction on Wednesday, May 21st. The shares were 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 $585,291. The trade was a 22.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 11.81% of the stock is currently owned by corporate insiders.

Institutional Trading of Applied Digital

A number of institutional investors and hedge funds have recently added to or reduced their stakes in APLD. PNC Financial Services Group Inc. acquired a new stake in Applied Digital during the 1st quarter valued at approximately $28,000. Wilmington Savings Fund Society FSB raised its holdings in shares of Applied Digital by 100.0% during the fourth quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company's stock worth $31,000 after purchasing an additional 2,000 shares during the last quarter. R Squared Ltd acquired a new position in Applied Digital during the fourth quarter valued at $36,000. US Bancorp DE purchased a new stake in Applied Digital in the fourth quarter valued at $37,000. Finally, Geneos Wealth Management Inc. grew its position in Applied Digital by 113.3% during the 1st quarter. Geneos Wealth Management Inc. now owns 6,667 shares of the company's stock worth $37,000 after purchasing an additional 3,542 shares during the period. Institutional investors and hedge funds 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.