SG Americas Securities LLC Sells 101,499 Shares of Applied Digital Corporation $APLD

Key Points

• SG Americas Securities LLC sold 101,499 shares, trimming its Applied Digital stake by 75.3% to 33,372 shares valued at about $818,000 at quarter-end.
• Applied Digital's revenue surged ~139% to $108.6M and beat estimates, but the company missed on EPS (‑$0.36 vs. ‑$0.13), reported wider GAAP losses and flagged cash‑burn risks; analysts still show a consensus "Moderate Buy" with a $39.20 price target.
• Insiders have sold roughly 244,593 shares (~$9.0M) in the past three months while the company pushes large growth projects (e.g., the 300 MW Delta Forge 1 AI campus), presenting a mix of expansion upside and heightened execution/financial risk.

SG Americas Securities LLC trimmed its position in Applied Digital Corporation (NASDAQ:APLD - Free Report) by 75.3% during the fourth quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 33,372 shares of the company's stock after selling 101,499 shares during the quarter. SG Americas Securities LLC's holdings in Applied Digital were worth $818,000 at the end of the most recent reporting period.

Other hedge funds have also added to or reduced their stakes in the company. Noble Wealth Management PBC bought a new position in Applied Digital in the fourth quarter valued at approximately $25,000. Larson Financial Group LLC increased its stake in Applied Digital by 56,450.0% in the third quarter. Larson Financial Group LLC now owns 1,131 shares of the company's stock valued at $26,000 after acquiring an additional 1,129 shares during the last quarter. Dagco Inc. bought a new position in Applied Digital in the third quarter valued at approximately $27,000. GAMMA Investing LLC increased its stake in Applied Digital by 87.5% in the fourth quarter. GAMMA Investing LLC now owns 1,376 shares of the company's stock valued at $34,000 after acquiring an additional 642 shares during the last quarter. Finally, Evolution Wealth Management Inc. increased its stake in Applied Digital by 101.8% in the third quarter. Evolution Wealth Management Inc. now owns 1,600 shares of the company's stock valued at $37,000 after acquiring an additional 807 shares during the last quarter. 65.67% of the stock is owned by institutional investors.

Analysts Set New Price Targets

A number of research analysts recently issued reports on APLD shares. Wall Street Zen cut shares of Applied Digital from a "hold" rating to a "sell" rating in a research note on Saturday. Roth Mkm restated a "buy" rating on shares of Applied Digital in a research report on Tuesday, February 17th. Citizens Jmp restated a "market outperform" rating and issued a $40.00 target price on shares of Applied Digital in a research report on Thursday. Northland Securities set a $56.00 target price on shares of Applied Digital in a research report on Wednesday, January 28th. Finally, Citigroup restated an "outperform" rating on shares of Applied Digital in a research report on Wednesday, January 28th. Two investment analysts have rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and two have assigned a Sell rating to the stock. Based on data from MarketBeat.com, the company currently has an average rating of "Moderate Buy" and a consensus price target of $39.20.

Key Stories Impacting Applied Digital

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Q3/Q1 revenue beat and rapid growth: APLD reported revenue that surged ~139% Y/Y and exceeded Wall Street expectations, with non‑GAAP profit above estimates—fueling optimism about demand for AI/data‑center capacity. APLD Q1 Deep Dive
• Positive Sentiment: Major capacity expansion and improved lease economics: Applied broke ground on the 300 MW Delta Forge 1 AI campus, recast leases with hyperscaler CoreWeave (improving credit metrics and lowering cost of capital) and reiterated high‑growth NOI targets. These moves underpin the company’s long‑term AI/data‑center thesis. Applied Digital Expands AI Campus
• Positive Sentiment: Analyst / options flow support: Citizens Jmp reaffirmed a Market Outperform rating with a $40 target, and intraday reports show heavy call‑option activity—both signal institutional and speculative bullish interest. Citizens Jmp rating Options Flow
• Neutral Sentiment: Short interest report shows effectively zero reported short interest (odd/possibly stale data); days‑to‑cover is negligible—this lowers squeeze risk but the data may be unreliable. (internal short‑interest entry)
• Neutral Sentiment: Analyst/think pieces weigh pros and cons: Several deep dives (Seeking Alpha) argue APLD is a long‑term winner in the AI CapEx boom while flagging emerging risks from leverage and cash burn. Still A Buy Despite Emerging Risks Winner In The AI CapEx Boom
• Negative Sentiment: Wider GAAP loss, write‑downs and stock‑based comp weighed on sentiment: Despite the revenue beat, APLD reported a larger net loss than expected and flagged significant non‑cash charges and expanded operating losses—key reasons some investors sold into the rally. Q3 Results — Loss Wider
• Negative Sentiment: Downgrade and cautionary headlines: Zacks moved APLD to a "strong sell" and multiple outlets cautioned about massive cash burn, weak near‑term EPS outlook and a spin‑off charge—pressures that can keep the stock volatile and cap upside. Zacks downgrade Should You Buy the Dip?
• Negative Sentiment: Market reaction so far: Multiple headlines note the stock fell after the beat earlier in the session as investors focused on losses and cash burn; that same tension explains today's seesaw price action. Why APLD Stock Is Falling

Applied Digital Stock Performance

Shares of Applied Digital stock opened at $26.26 on Friday. Applied Digital Corporation has a fifty-two week low of $3.31 and a fifty-two week high of $42.27. The company has a debt-to-equity ratio of 1.65, a current ratio of 2.38 and a quick ratio of 4.82. The firm has a market capitalization of $7.50 billion, a P/E ratio of -35.48 and a beta of 7.25. The company's 50 day moving average price is $28.88 and its two-hundred day moving average price is $29.46.

Applied Digital (NASDAQ:APLD - Get Free Report) last issued its earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing analysts' consensus estimates of ($0.13) by ($0.23). Applied Digital had a negative net margin of 52.84% and a negative return on equity of 15.91%. The company had revenue of $108.55 million during the quarter, compared to analyst estimates of $78.47 million. During the same quarter in the prior year, the business earned ($0.08) EPS. The business's quarterly revenue was up 139.3% on a year-over-year basis. On average, equities analysts forecast that Applied Digital Corporation will post -0.96 earnings per share for the current fiscal year.

Insider Buying and Selling at Applied Digital

In other news, Director Richard N. Nottenburg sold 12,000 shares of Applied Digital stock in a transaction on Thursday, January 15th. The shares were sold at an average price of $35.45, for a total transaction of $425,400.00. Following the transaction, the director owned 233,378 shares in the company, valued at approximately $8,273,250.10. The trade was a 4.89% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Chuck Hastings sold 45,987 shares of Applied Digital stock in a transaction on Thursday, January 29th. The stock was sold at an average price of $38.57, for a total transaction of $1,773,718.59. Following the transaction, the director owned 388,372 shares in the company, valued at approximately $14,979,508.04. This trade represents a 10.59% decrease in their position. The disclosure for this sale is available in the SEC filing. Insiders have sold a total of 244,593 shares of company stock worth $9,003,278 in the last three months. 9.50% of the stock is currently owned by company insiders.

Applied Digital Profile

Applied Digital NASDAQ: APLD is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital's modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.

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