Needham Investment Management LLC Purchases New Stake in Applied Digital Corporation $APLD

Key Points

• Needham Investment Management LLC has acquired 85,000 shares of Applied Digital Corporation valued at approximately $478,000 in the first quarter.
• CEO Wes Cummins sold 400,000 shares for over $6.1 million, reducing his ownership by 13.07% while CFO Mohammad Saidal Lavanw Mohmand also sold shares, decreasing his position by 27.10%.
• Research analysts have shown positive sentiment, with multiple firms raising their price targets and issuing "buy" ratings for the stock, now averaging a target price of $15.64.

Needham Investment Management LLC purchased a new stake in Applied Digital Corporation (NASDAQ:APLD - Free Report) during the 1st quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm purchased 85,000 shares of the company's stock, valued at approximately $478,000.

Other hedge funds have also recently bought and sold shares of the company. PNC Financial Services Group Inc. purchased a new position in Applied Digital in the first quarter valued at approximately $28,000. CWM LLC raised its holdings in Applied Digital by 116.5% in the first quarter. CWM LLC now owns 9,506 shares of the company's stock valued at $53,000 after buying an additional 5,116 shares during the period. Semus Wealth Partners LLC purchased a new position in Applied Digital in the first quarter valued at approximately $56,000. Lbmc Investment Advisors LLC purchased a new position in Applied Digital in the first quarter valued at approximately $67,000. Finally, Mayfair Advisory Group LLC purchased a new position in Applied Digital in the first quarter valued at approximately $68,000. Hedge funds and other institutional investors own 65.67% of the company's stock.

Insider Transactions at Applied Digital

In other news, CEO Wes Cummins sold 400,000 shares of the firm's stock in a transaction that occurred 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 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 ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, CFO Mohammad Saidal Lavanw Mohmand sold 75,000 shares of the firm's stock in a transaction that occurred on Wednesday, September 3rd. The stock was sold at an average price of $15.26, for a total transaction of $1,144,500.00. Following the sale, the chief financial officer directly owned 201,800 shares of the company's stock, valued at $3,079,468. The trade was a 27.10% decrease in their position. The disclosure for this sale can be found here. Over the last quarter, insiders sold 506,250 shares of company stock valued at $7,713,675. 11.81% of the stock is currently owned by corporate insiders.

Wall Street Analyst Weigh In

Several research analysts recently commented on the stock. B. Riley raised their price target on shares of Applied Digital from $8.00 to $15.00 and gave the company a "buy" rating in a report on Wednesday, June 4th. Citizens Jmp raised shares of Applied Digital to a "strong-buy" rating and set a $12.00 price objective for the company in a research report on Thursday, May 22nd. 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 research report on Monday, August 25th. Roth Capital reaffirmed a "buy" rating on shares of Applied Digital in a research report on Monday, June 2nd. Finally, Compass Point raised shares of Applied Digital from a "neutral" rating to a "buy" rating and set a $13.00 price objective for the company in a research report on Friday, July 25th. One equities research analyst has rated the stock with a Strong Buy rating and twelve have assigned a Buy rating to the company's stock. According to MarketBeat, the stock has an average rating of "Buy" and an average target price of $15.64.

Applied Digital Stock Down 3.1%

APLD stock opened at $13.89 on Friday. Applied Digital Corporation has a twelve month low of $3.31 and a twelve month high of $17.60. The company has a current ratio of 0.77, a quick ratio of 0.77 and a debt-to-equity ratio of 1.36. The company has a market capitalization of $3.63 billion, a P/E ratio of -12.74 and a beta of 6.64. The firm has a 50 day simple moving average of $12.82 and a 200-day simple moving average of $9.21.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its quarterly earnings results on Wednesday, July 30th. The company reported ($0.12) earnings per share 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 the consensus estimate of $42.86 million. During the same quarter last year, the company earned ($0.14) earnings per share. The business's quarterly revenue was up 41.3% compared to the same quarter last year. On average, equities research analysts predict that Applied Digital Corporation will post -0.96 earnings per share for the current fiscal year.

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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