Applied Digital (NASDAQ:APLD) Stock Price Expected to Rise, Citizens Jmp Analyst Says

Key Points

• Citizens JMP raised its price target on Applied Digital from $40 to $60 and kept an Outperform rating, implying about 28% upside from the prior close.
• Applied Digital shares jumped 18.3% to $46.77, reflecting heavy investor interest after recent positive developments in the stock.
• The company recently reported revenue growth of 139.3% year over year to $108.55 million, but it still posted a quarterly loss and missed EPS estimates.

Applied Digital (NASDAQ:APLD - Get Free Report) had its target price upped by investment analysts at Citizens Jmp from $40.00 to $60.00 in a note issued to investors on Thursday,Benzinga reports. The brokerage currently has a "market outperform" rating on the stock. Citizens Jmp's price target indicates a potential upside of 28.30% from the stock's previous close.

Other equities analysts have also issued research reports about the stock. Wall Street Zen lowered shares of Applied Digital from a "hold" rating to a "sell" rating in a report on Saturday, April 11th. Northland Securities set a $56.00 target price on Applied Digital in a report on Wednesday, January 28th. Lake Street Capital reissued a "buy" rating and issued a $70.00 target price on shares of Applied Digital in a research note on Thursday. Zacks Research upgraded Applied Digital from a "strong sell" rating to a "hold" rating in a report on Thursday, May 7th. Finally, Needham & Company LLC lifted their price objective on Applied Digital to $66.00 and gave the company a "buy" rating in a report on Thursday. Two equities research analysts have rated the stock with a Strong Buy rating, eleven have issued a Buy rating, one has issued a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat.com, Applied Digital has a consensus rating of "Moderate Buy" and a consensus price target of $51.33.

Applied Digital Trading Up 18.3%

Shares of APLD stock traded up $7.25 on Thursday, reaching $46.77. The company had a trading volume of 18,467,172 shares, compared to its average volume of 26,066,996. The stock has a market cap of $13.36 billion, a PE ratio of -63.27 and a beta of 5.69. The company has a 50-day moving average of $31.63 and a 200-day moving average of $30.67. The company has a current ratio of 2.38, a quick ratio of 2.38 and a debt-to-equity ratio of 1.65. Applied Digital has a 12 month low of $6.68 and a 12 month high of $47.79.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its quarterly earnings data on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing the consensus estimate of ($0.13) by ($0.23). Applied Digital had a negative return on equity of 15.91% and a negative net margin of 52.84%.The firm had revenue of $108.55 million for the quarter, compared to the consensus estimate of $78.47 million. During the same period in the previous year, the business earned ($0.08) EPS. The firm's revenue was up 139.3% compared to the same quarter last year. On average, equities analysts forecast that Applied Digital will post -0.61 earnings per share for the current year.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, Director Douglas S. Miller sold 10,000 shares of Applied Digital stock in a transaction dated Monday, April 27th. The stock was sold at an average price of $34.98, for a total value of $349,800.00. Following the sale, the director owned 184,859 shares of the company's stock, valued at $6,466,367.82. This trade represents a 5.13% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Richard N. Nottenburg sold 12,500 shares of the business's stock in a transaction dated Thursday, April 30th. The shares were sold at an average price of $34.59, for a total value of $432,375.00. Following the completion of the sale, the director owned 208,378 shares in the company, valued at approximately $7,207,795.02. This trade represents a 5.66% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders sold a total of 35,000 shares of company stock worth $1,182,175 over the last ninety days. 9.50% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of hedge funds have recently modified their holdings of APLD. Vanguard Group Inc. lifted its position in shares of Applied Digital by 36.4% in the fourth quarter. Vanguard Group Inc. now owns 24,168,082 shares of the company's stock worth $592,601,000 after purchasing an additional 6,445,908 shares in the last quarter. Value Aligned Research Advisors LLC acquired a new stake in Applied Digital in the 4th quarter valued at $138,380,000. Situational Awareness LP lifted its position in Applied Digital by 87.0% during the 4th quarter. Situational Awareness LP now owns 11,339,060 shares of the company's stock worth $278,034,000 after buying an additional 5,274,905 shares in the last quarter. BNP Paribas Financial Markets boosted its stake in shares of Applied Digital by 24,356.8% during the 2nd quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company's stock worth $52,561,000 after buying an additional 5,198,223 shares during the last quarter. Finally, Marex Group plc grew its holdings in shares of Applied Digital by 38,484.6% in the 4th quarter. Marex Group plc now owns 3,904,759 shares of the company's stock valued at $95,745,000 after acquiring an additional 3,894,639 shares in the last quarter. 65.67% of the stock is currently owned by institutional investors.

Key Applied Digital News

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Applied Digital announced a long-term, high-investment-grade hyperscaler lease for its Polaris Forge 3 campus, a deal valued at about $7.5 billion and tied to 300 MW of capacity. The agreement pushed total contracted baseline revenue to roughly $31 billion, or as much as $73 billion if renewal options are exercised, strengthening visibility into future cash flows. Article Title
• Positive Sentiment: Needham raised its price target on Applied Digital to $66 and reiterated a buy rating, adding to bullish sentiment around the stock after the lease announcement. Article Title
• Positive Sentiment: Commentary from several outlets highlighted Applied Digital’s surge as part of a broader move in AI infrastructure and data center names, with investors viewing the company as a key beneficiary of rising AI compute demand. Article Title
• Neutral Sentiment: Market coverage also noted Applied Digital among the day’s biggest stock movers, reflecting heightened trading interest and volatility following the contract news. Article Title

Applied Digital Company Profile

Applied Digital NASDAQ: APLD is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital's modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.

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