Exchange Traded Concepts LLC Sells 311,480 Shares of Applied Digital Corporation $APLD

Key Points

• Exchange Traded Concepts LLC reduced its stake in Applied Digital Corporation (NASDAQ:APLD) by 29.9% in Q2, resulting in ownership of approximately $7.36 million worth of shares.
• Several hedge funds have recently acquired stakes in Applied Digital, contributing to institutional investors owning 65.67% of the stock.
• Analysts have raised their price targets for Applied Digital shares, with a consensus target price of $15.64 and a majority rating the stock as a "Buy."

Exchange Traded Concepts LLC lessened its position in shares of Applied Digital Corporation (NASDAQ:APLD - Free Report) by 29.9% during the 2nd quarter, according to the company in its most recent 13F filing with the SEC. The fund owned 730,555 shares of the company's stock after selling 311,480 shares during the quarter. Exchange Traded Concepts LLC owned 0.32% of Applied Digital worth $7,357,000 at the end of the most recent reporting period.

Other large investors also recently added to or reduced their stakes in the company. PNC Financial Services Group Inc. purchased a new stake in shares of Applied Digital during the 1st quarter worth approximately $28,000. Geneos Wealth Management Inc. lifted its position in shares of Applied Digital by 113.3% in the 1st quarter. Geneos Wealth Management Inc. now owns 6,667 shares of the company's stock worth $37,000 after buying an additional 3,542 shares during the last quarter. CWM LLC raised its stake in shares of Applied Digital by 116.5% during the first quarter. CWM LLC now owns 9,506 shares of the company's stock valued at $53,000 after purchasing an additional 5,116 shares in the last quarter. GAMMA Investing LLC raised its position in shares of Applied Digital by 1,237.4% during the first quarter. GAMMA Investing LLC now owns 9,576 shares of the company's stock worth $540,000 after purchasing an additional 8,860 shares during the period. Finally, Semus Wealth Partners LLC acquired a new stake in shares of Applied Digital during the 1st quarter valued at $56,000. 65.67% of the stock is currently owned by hedge funds and other institutional investors.

Applied Digital Trading Up 19.2%

Shares of NASDAQ APLD traded up $3.94 during mid-day trading on Monday, reaching $24.42. The company had a trading volume of 41,849,198 shares, compared to its average volume of 36,651,145. The stock has a market cap of $6.58 billion, a price-to-earnings ratio of -22.40 and a beta of 6.64. 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 Corporation has a 52 week low of $3.31 and a 52 week high of $24.85. The business's 50-day moving average is $14.48 and its 200-day moving average is $9.91.

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

Analyst Ratings Changes

Several equities analysts recently issued reports on the company. Roth Capital reiterated a "buy" rating on shares of Applied Digital in a report on Monday, June 2nd. Needham & Company LLC increased their target price on shares of Applied Digital from $12.00 to $16.00 and gave the stock a "buy" rating in a report on Thursday, July 31st. Lake Street Capital boosted their target price on shares of 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 target on Applied Digital from $12.00 to $23.00 and gave the stock a "buy" rating in a report on Monday, August 18th. Finally, JMP Securities raised their price objective on shares of Applied Digital from $12.00 to $18.00 and gave the company a "market outperform" rating in a research report on Tuesday, June 3rd. One analyst has rated the stock with a Strong Buy rating and twelve have given a Buy rating to the stock. According to data from MarketBeat.com, the company currently has a consensus rating of "Buy" and an average price target of $15.64.

Insider Buying and Selling

In other news, CEO Wes Cummins sold 400,000 shares of the firm's stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total value of $6,104,000.00. Following the transaction, the chief executive officer owned 2,659,379 shares of the company's stock, valued at approximately $40,582,123.54. This trade represents a 13.07% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CFO Mohammad Saidal Lavanw Mohmand sold 75,000 shares of the company's stock in a transaction dated Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total transaction of $1,144,500.00. Following the completion of the sale, the chief financial officer owned 201,800 shares in the company, valued at approximately $3,079,468. This trade represents a 27.10% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 506,250 shares of company stock valued at $7,713,675 over the last quarter. 11.81% of the stock is currently owned by insiders.

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.