Applied Digital (NASDAQ:APLD) Trading Down 1.9% - Time to Sell?

Key Points

• Applied Digital's stock traded down 1.9% to $10.55, with trading volume significantly lower than average.
• Wall Street analysts have a consensus buy rating on the stock, with a target price averaging $12.73, reflecting optimism about future growth.
• Recent insider trading activity included a director selling shares, indicating potential changes in ownership dynamics, with corporate insiders holding 11.81% of the company's stock.

Applied Digital Corporation (NASDAQ:APLD - Get Free Report)'s stock price traded down 1.9% during trading on Monday . The company traded as low as $10.40 and last traded at $10.55. 6,384,519 shares were traded during trading, a decline of 83% from the average session volume of 37,941,594 shares. The stock had previously closed at $10.75.

Wall Street Analysts Forecast Growth

APLD has been the topic of several recent research reports. Citizens Jmp upgraded shares of Applied Digital to a "strong-buy" rating and set a $12.00 price target on the stock in a research note on Thursday, May 22nd. B. Riley lifted their price target on shares of Applied Digital from $8.00 to $15.00 and gave the company a "buy" rating in a research note on Wednesday, June 4th. Needham & Company LLC reiterated a "buy" rating and issued a $10.00 price target on shares of Applied Digital in a research note on Monday, June 2nd. Roth Capital reiterated a "buy" rating on shares of Applied Digital in a research note on Monday, June 2nd. Finally, Citigroup reiterated an "outperform" rating on shares of Applied Digital in a research note on Tuesday, June 3rd. Twelve investment analysts have rated the stock with a buy rating and one has given a strong buy rating to the company. Based on data from MarketBeat, Applied Digital presently has a consensus rating of "Buy" and a consensus target price of $12.73.

Applied Digital Stock Performance

The company has a current ratio of 0.70, a quick ratio of 0.70 and a debt-to-equity ratio of 1.56. The stock's 50-day moving average is $10.06 and its 200-day moving average is $7.90. The firm has a market capitalization of $2.39 billion, a price-to-earnings ratio of -7.77 and a beta of 6.04.

Insider Activity at Applied Digital

In other Applied Digital news, Director Rachel H. Lee sold 24,212 shares of the firm's stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $7.00, for a total value of $169,484.00. Following the transaction, the director directly owned 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 transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Corporate insiders own 11.81% of the company's stock.

Institutional Trading of Applied Digital

A number of large investors have recently added to or reduced their stakes in the stock. Vanguard Personalized Indexing Management LLC bought a new stake in Applied Digital during the second quarter valued at approximately $102,000. Sovereign Financial Group Inc. purchased a new position in shares of Applied Digital in the second quarter worth $194,000. SLT Holdings LLC purchased a new position in shares of Applied Digital in the second quarter worth $176,000. Blair William & Co. IL increased its stake in shares of Applied Digital by 42.6% in the second quarter. Blair William & Co. IL now owns 138,163 shares of the company's stock worth $1,391,000 after buying an additional 41,253 shares during the period. Finally, Clear Creek Financial Management LLC increased its position in Applied Digital by 56.1% during the 2nd quarter. Clear Creek Financial Management LLC now owns 78,383 shares of the company's stock valued at $789,000 after purchasing an additional 28,177 shares during the period. Hedge funds and other 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.

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