Chung Wu Investment Group LLC Buys Shares of 10,120 Applied Digital Corporation $APLD

Key Points

• Chung Wu Investment Group LLC purchased 10,120 shares of Applied Digital Corporation, valued at approximately $102,000, indicating growing institutional interest in the company.
• Several analysts have recently upgraded their price targets for Applied Digital, with HC Wainwright raising theirs from $15.00 to $20.00, reflecting a positive outlook on the company's performance.
• Applied Digital reported a revenue increase of 41.3% compared to the same quarter last year, although it still met the earnings per share estimate of ($0.12) for the recent quarter.

Chung Wu Investment Group LLC purchased a new position in Applied Digital Corporation (NASDAQ:APLD - Free Report) during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund purchased 10,120 shares of the company's stock, valued at approximately $102,000.

Several other large investors have also recently made changes to their positions in the company. Situational Awareness LP purchased a new position in Applied Digital in the 1st quarter valued at $22,680,000. Partners Capital Investment Group LLP purchased a new stake in shares of Applied Digital during the first quarter worth $8,673,000. Vanguard Group Inc. raised its position in shares of Applied Digital by 5.7% in the first quarter. Vanguard Group Inc. now owns 13,491,013 shares of the company's stock valued at $75,819,000 after buying an additional 730,978 shares during the last quarter. Quantbot Technologies LP lifted its stake in shares of Applied Digital by 195.9% in the first quarter. Quantbot Technologies LP now owns 877,888 shares of the company's stock worth $4,934,000 after buying an additional 581,154 shares in the last quarter. Finally, Arete Wealth Advisors LLC boosted its position in Applied Digital by 117.0% during the first quarter. Arete Wealth Advisors LLC now owns 1,065,432 shares of the company's stock worth $5,988,000 after acquiring an additional 574,485 shares during the last quarter. 65.67% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have commented on APLD shares. HC Wainwright increased their price objective on shares of Applied Digital from $15.00 to $20.00 and gave the company a "buy" rating in a report on Monday, August 25th. Lake Street Capital upped their price target on Applied Digital from $14.00 to $18.00 and gave the company a "buy" rating in a research report on Thursday, July 31st. Craig Hallum lifted their price objective on Applied Digital from $12.00 to $23.00 and gave the stock a "buy" rating in a research report on Monday, August 18th. Weiss Ratings restated a "sell (d-)" rating on shares of Applied Digital in a report on Saturday, September 27th. Finally, Needham & Company LLC lifted their price target on Applied Digital from $12.00 to $16.00 and gave the stock a "buy" rating in a report on Thursday, July 31st. One analyst has rated the stock with a Strong Buy rating, twelve have given a Buy rating and one has assigned a Sell rating to the company. According to MarketBeat, Applied Digital presently has an average rating of "Moderate Buy" and an average price target of $15.64.

Applied Digital Stock Up 0.2%

Shares of NASDAQ APLD opened at $26.53 on Monday. The stock has a market cap of $7.27 billion, a P/E ratio of -24.34 and a beta of 6.77. The business's fifty day simple moving average is $17.13 and its 200-day simple moving average is $11.11. Applied Digital Corporation has a 12-month low of $3.31 and a 12-month high of $28.25. The company has a current ratio of 0.77, a quick ratio of 0.77 and a debt-to-equity ratio of 1.36.

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 (EPS) for the quarter, meeting analysts' consensus estimates of ($0.12). The company had revenue of $38.01 million for the quarter, compared to analyst estimates of $42.86 million. Applied Digital had a negative return on equity of 50.03% and a negative net margin of 107.22%.Applied Digital's revenue for the quarter was up 41.3% compared to the same quarter last year. During the same quarter last year, the company earned ($0.14) EPS. As a group, equities analysts predict that Applied Digital Corporation will post -0.96 EPS for the current fiscal year.

Insider Activity

In other news, CEO Wes Cummins sold 400,000 shares of Applied Digital stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total transaction of $6,104,000.00. Following the completion of the sale, the chief executive officer directly owned 2,659,379 shares of the company's stock, valued at approximately $40,582,123.54. The trade was a 13.07% decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Richard N. Nottenburg sold 20,000 shares of the stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total value of $305,200.00. Following the completion of the transaction, the director owned 297,987 shares in the company, valued at approximately $4,547,281.62. The trade was a 6.29% decrease in their position. The disclosure for this sale can be found here. In the last three months, insiders have sold 506,250 shares of company stock worth $7,713,675. 9.50% of the stock is currently owned by corporate insiders.

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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