Avantax Advisory Services Inc. Makes New Investment in Applied Digital Corporation (NASDAQ:APLD)

Key Points

• Avantax Advisory Services Inc. has purchased a new stake in Applied Digital Corporation, acquiring 23,281 shares valued at approximately $131,000.
• Insider trading activity revealed Director Rachel H. Lee sold 24,212 shares at an average price of $7.00, reducing her position by 22.45%.
• Applied Digital's recent earnings report showed a negative earnings per share of ($0.12), meeting analysts' expectations but falling short of projected revenues of $42.86 million.

Avantax Advisory Services Inc. acquired a new position in Applied Digital Corporation (NASDAQ:APLD - Free Report) in the first quarter, according to its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund acquired 23,281 shares of the company's stock, valued at approximately $131,000.

Other institutional investors and hedge funds have also recently bought and sold shares of the company. CWM LLC raised 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 acquiring an additional 5,116 shares during the last quarter. GAMMA Investing LLC raised its stake in shares of Applied Digital by 1,237.4% in the 1st quarter. GAMMA Investing LLC now owns 9,576 shares of the company's stock valued at $540,000 after purchasing an additional 8,860 shares during the period. NewEdge Advisors LLC grew its holdings in shares of Applied Digital by 143.1% during the fourth quarter. NewEdge Advisors LLC now owns 9,810 shares of the company's stock worth $75,000 after buying an additional 5,775 shares in the last quarter. Envestnet Asset Management Inc. bought a new stake in Applied Digital in the 4th quarter valued at approximately $83,000. Finally, Lbmc Investment Advisors LLC acquired a new position in Applied Digital during the 1st quarter worth approximately $67,000. Institutional investors own 65.67% of the company's stock.

Insider Buying and Selling at Applied Digital

In related news, Director Rachel H. Lee sold 24,212 shares of the firm's stock in a transaction that occurred 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 sale, the director directly owned 83,613 shares of the company's stock, valued at $585,291. This trade represents a 22.45% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. Also, Director Richard N. Nottenburg sold 11,250 shares of the firm's stock in a transaction dated Friday, August 8th. The shares were sold at an average price of $14.22, for a total value of $159,975.00. Following the sale, the director owned 317,987 shares in the company, valued at $4,521,775.14. The trade was a 3.42% decrease in their position. The disclosure for this sale can be found here. Corporate insiders own 11.81% of the company's stock.

Applied Digital Stock Performance

NASDAQ:APLD traded down $0.27 during trading on Wednesday, reaching $14.70. The company's stock had a trading volume of 18,108,634 shares, compared to its average volume of 38,126,285. Applied Digital Corporation has a 12 month low of $3.01 and a 12 month high of $15.85. The firm has a market cap of $3.84 billion, a price-to-earnings ratio of -13.49 and a beta of 6.17. The firm has a 50 day moving average of $11.38 and a 200-day moving average of $8.26. 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 posted its quarterly earnings results on Wednesday, July 30th. The company reported ($0.12) earnings per share for the quarter, hitting the consensus estimate of ($0.12). The company had revenue of $38.01 million during the quarter, compared to the consensus estimate of $42.86 million. Applied Digital had a negative return on equity of 50.03% and a negative net margin of 107.22%. The firm's quarterly revenue was up 41.3% compared to the same quarter last year. During the same quarter in the prior year, the company earned ($0.14) EPS. Research analysts expect that Applied Digital Corporation will post -0.96 EPS for the current fiscal year.

Analysts Set New Price Targets

APLD has been the subject of several analyst reports. Compass Point raised shares of Applied Digital from a "neutral" rating to a "buy" rating and set a $13.00 target price for the company in a research note on Friday, July 25th. Cantor Fitzgerald lowered their price objective on Applied Digital from $14.00 to $7.00 and set an "overweight" rating on the stock in a research report on Tuesday, April 15th. Citigroup reissued an "outperform" rating on shares of Applied Digital in a report on Tuesday, June 3rd. B. Riley increased their price target on Applied Digital from $8.00 to $15.00 and gave the stock a "buy" rating in a research report on Wednesday, June 4th. Finally, Citizens Jmp upgraded Applied Digital to a "strong-buy" rating and set a $12.00 price target on the stock in a research report on Thursday, May 22nd. Twelve analysts have rated the stock with a buy rating and one has assigned a strong buy rating to the stock. According to MarketBeat.com, Applied Digital presently has an average rating of "Buy" and a consensus price target of $14.18.

Applied Digital Profile

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.