Applied Digital (NASDAQ:APLD) Trading Down 1.8% - Time to Sell?

Key Points

• Applied Digital's stock price decreased by 1.8% on Friday, trading as low as $10.93, with the last trading price at $11.00.
• Analysts remain positive, with several upgrades raising the price target to as high as $15.00, reflecting an average price target of $12.73 among 12 buy ratings.
• The company has a market cap of $2.47 billion and reported a negative P/E ratio of -8.02, indicating potential financial challenges.
• Institutional investors control 65.67% of Applied Digital's stock, indicating strong interest from larger financial entities.

Applied Digital Corporation (NASDAQ:APLD - Get Free Report)'s share price was down 1.8% on Friday . The company traded as low as $10.93 and last traded at $11.00. Approximately 7,386,026 shares changed hands during trading, a decline of 81% from the average daily volume of 38,096,660 shares. The stock had previously closed at $11.20.

Analyst Upgrades and Downgrades

A number of research analysts have weighed in on APLD shares. B. Riley boosted their target price 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. Compass Point raised shares of Applied Digital from a "neutral" rating to a "buy" rating and set a $13.00 price objective for the company in a research report on Friday. Roth Capital reaffirmed a "buy" rating on shares of Applied Digital in a research report on Monday, June 2nd. Craig Hallum upped 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, June 3rd. Finally, Cantor Fitzgerald lowered their target price 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. Twelve equities research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the stock has an average rating of "Buy" and a consensus target price of $12.73.

Applied Digital Price Performance

The company has a debt-to-equity ratio of 1.56, a current ratio of 0.70 and a quick ratio of 0.70. The stock has a market capitalization of $2.42 billion, a P/E ratio of -7.85 and a beta of 6.04. The company's 50 day simple moving average is $10.06 and its two-hundred day simple moving average is $7.91.

Insiders Place Their Bets

In other Applied Digital news, Director Rachel H. Lee sold 24,212 shares of the company's stock in a transaction dated 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 directly owned 83,613 shares of the company's stock, valued at approximately $585,291. This represents a 22.45% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this link. Corporate insiders own 11.81% of the company's stock.

Institutional Trading of Applied Digital

Large investors have recently added to or reduced their stakes in the company. PNC Financial Services Group Inc. acquired a new position in shares of Applied Digital during the first quarter worth approximately $28,000. Geneos Wealth Management Inc. lifted its position in shares of Applied Digital by 113.3% during the first 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 in the last quarter. Ameriflex Group Inc. acquired a new position in shares of Applied Digital during the second quarter worth approximately $42,000. CWM LLC lifted its position in shares of Applied Digital by 116.5% during the first quarter. CWM LLC now owns 9,506 shares of the company's stock worth $53,000 after purchasing an additional 5,116 shares in the last quarter. Finally, Semus Wealth Partners LLC acquired a new position in shares of Applied Digital during the first quarter worth approximately $56,000. 65.67% of the stock is owned by institutional investors.

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.