Applied Digital (NASDAQ:APLD) Stock Price Up 5.1% - Time to Buy?

Key Points

• Applied Digital's stock (NASDAQ: APLD) increased by 5.1%, closing at $16.57, with trading volume significantly lower than average.
• Several analysts have recently upgraded their ratings on Applied Digital, with a consensus "Buy" rating and an average price target of $15.18.
• For the last quarter, Applied Digital reported a revenue of $38.01 million, which was below analysts' expectations, but up 41.3% year-over-year.

Applied Digital Corporation (NASDAQ:APLD - Get Free Report) rose 5.1% during trading on Friday . The company traded as high as $16.65 and last traded at $16.57. Approximately 11,983,952 shares changed hands during trading, a decline of 68% from the average daily volume of 37,760,582 shares. The stock had previously closed at $15.77.

Analyst Upgrades and Downgrades

APLD has been the subject of a number of research reports. JMP Securities increased their target price on Applied Digital from $12.00 to $18.00 and gave the company a "market outperform" rating in a research report on Tuesday, June 3rd. Compass Point upgraded Applied Digital from a "neutral" rating to a "buy" rating and set a $13.00 price target for the company in a research report on Friday, July 25th. Lake Street Capital raised their price target on Applied Digital from $14.00 to $18.00 and gave the stock a "buy" rating in a research report on Thursday, July 31st. Citizens Jmp upgraded Applied Digital to a "strong-buy" rating and set a $12.00 price target for the company in a research report on Thursday, May 22nd. Finally, Roth Capital restated a "buy" rating on shares of Applied Digital in a research report on Monday, June 2nd. One equities research analyst has rated the stock with a Strong Buy rating and twelve have given a Buy rating to the company's stock. Based on data from MarketBeat, the company presently has an average rating of "Buy" and an average target price of $15.64.

Applied Digital Stock Up 3.3%

The firm has a 50-day moving average price of $12.01 and a two-hundred day moving average price of $8.83. The company has a debt-to-equity ratio of 1.36, a quick ratio of 0.77 and a current ratio of 0.77.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported ($0.12) earnings per share for the quarter, hitting the consensus estimate of ($0.12). Applied Digital had a negative return on equity of 50.03% and a negative net margin of 107.22%.The business had revenue of $38.01 million during the quarter, compared to the consensus estimate of $42.86 million. During the same period last year, the company earned ($0.14) earnings per share. The business's revenue for the quarter was up 41.3% compared to the same quarter last year. On average, sell-side analysts anticipate that Applied Digital Corporation will post -0.96 earnings per share for the current year.

Insider Activity at Applied Digital

In other news, Director Richard N. Nottenburg sold 11,250 shares of the firm's stock in a transaction on Friday, August 8th. The stock was sold at an average price of $14.22, for a total transaction of $159,975.00. Following the transaction, the director owned 317,987 shares in the company, valued at approximately $4,521,775.14. This trade represents a 3.42% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which is accessible through this link. Corporate insiders own 11.81% of the company's stock.

Hedge Funds Weigh In On Applied Digital

Institutional investors have recently made changes to their positions in the company. Atlantic Union Bankshares Corp purchased a new position in shares of Applied Digital during the second quarter valued at $25,000. Northwestern Mutual Wealth Management Co. purchased a new position in shares of Applied Digital during the second quarter valued at $26,000. PNC Financial Services Group Inc. purchased a new position in shares of Applied Digital during the first quarter valued at $28,000. Geneos Wealth Management Inc. increased its stake 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 valued at $37,000 after buying an additional 3,542 shares during the period. Finally, Ameriflex Group Inc. purchased a new position in Applied Digital in the second quarter valued at about $42,000. 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.