Vanguard Group Inc. Raises Position in Applied Digital Corporation $APLD

Key Points

• Vanguard Group Inc. increased its stake in Applied Digital by 36.4% in Q4, now owning 24,168,082 shares (about 8.64%) valued at roughly $592.6 million.
• Applied Digital beat revenue expectations with $108.6 million (up 139.3% YoY) but missed on EPS, reporting ($0.36) versus ($0.13) expected, and remains unprofitable with negative margins.
• Analyst sentiment is mixed but tilted positive — the consensus rating is a "Moderate Buy" with a $44.33 average price target, while institutional investors hold about 65.7% of the stock and insiders own 9.5% (with recent insider sales reported).

Vanguard Group Inc. raised its holdings in shares of Applied Digital Corporation (NASDAQ:APLD - Free Report) by 36.4% during the 4th quarter, according to its most recent filing with the Securities and Exchange Commission (SEC). The fund owned 24,168,082 shares of the company's stock after acquiring an additional 6,445,908 shares during the quarter. Vanguard Group Inc. owned approximately 8.64% of Applied Digital worth $592,601,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other institutional investors and hedge funds have also modified their holdings of the company. Teachers Retirement System of The State of Kentucky purchased a new stake in Applied Digital during the third quarter worth $994,000. Federated Hermes Inc. purchased a new stake in Applied Digital during the third quarter worth $3,204,000. AlphaQuest LLC purchased a new stake in Applied Digital during the third quarter worth $1,369,000. MRA Advisory Group purchased a new stake in Applied Digital during the third quarter worth $978,000. Finally, Nisa Investment Advisors LLC boosted its position in Applied Digital by 371.1% during the third quarter. Nisa Investment Advisors LLC now owns 56,629 shares of the company's stock worth $1,299,000 after purchasing an additional 44,608 shares in the last quarter. Hedge funds and other institutional investors own 65.67% of the company's stock.

Insiders Place Their Bets

In other Applied Digital news, Director Douglas S. Miller sold 10,000 shares of the stock in a transaction on Monday, April 27th. The stock was sold at an average price of $34.98, for a total transaction of $349,800.00. Following the transaction, the director owned 184,859 shares of the company's stock, valued at $6,466,367.82. This represents a 5.13% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this link. Also, Director Richard N. Nottenburg sold 12,500 shares of the stock in a transaction on Thursday, April 30th. The stock was sold at an average price of $34.59, for a total value of $432,375.00. Following the transaction, the director directly owned 208,378 shares in the company, valued at approximately $7,207,795.02. This represents a 5.66% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 35,000 shares of company stock worth $1,182,175. Corporate insiders own 9.50% of the company's stock.

Analyst Ratings Changes

A number of analysts have commented on the company. Freedom Capital upgraded Applied Digital to a "strong-buy" rating in a research report on Tuesday, January 6th. Arete Research assumed coverage on Applied Digital in a research report on Wednesday, January 7th. They set a "buy" rating on the stock. Zacks Research downgraded Applied Digital from a "hold" rating to a "strong sell" rating in a research report on Wednesday, April 8th. Citigroup reaffirmed an "outperform" rating on shares of Applied Digital in a research note on Wednesday, January 28th. Finally, Citizens Jmp reiterated a "market outperform" rating and set a $40.00 target price on shares of Applied Digital in a report on Thursday, April 9th. Two analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have assigned a Sell rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $44.33.

Applied Digital Price Performance

Shares of NASDAQ:APLD opened at $35.63 on Tuesday. The business's fifty day moving average price is $28.28 and its two-hundred day moving average price is $30.01. The stock has a market cap of $10.18 billion, a PE ratio of -48.15 and a beta of 5.69. The company has a debt-to-equity ratio of 1.65, a quick ratio of 2.38 and a current ratio of 2.38. Applied Digital Corporation has a one year low of $4.93 and a one year high of $42.27.

Applied Digital (NASDAQ:APLD - Get Free Report) last issued its quarterly 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 return on equity of 15.91% and a negative net margin of 52.84%.The business had revenue of $108.55 million for the quarter, compared to analysts' expectations of $78.47 million. During the same period in the prior year, the company earned ($0.08) EPS. The company's revenue for the quarter was up 139.3% compared to the same quarter last year. On average, analysts forecast that Applied Digital Corporation will post -0.52 EPS for the current fiscal year.

Applied Digital Company 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.

Want to see what other hedge funds are holding APLD? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Applied Digital Corporation (NASDAQ:APLD - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.