Voya Investment Management LLC Trims Holdings in Applied Digital Corporation $APLD

Key Points

• Voya Investment Management LLC has reduced its holdings in Applied Digital Corporation by 44.1%, selling 843,340 shares in the first quarter, leaving them with 1,068,186 shares worth approximately $6 million.
• Applied Digital reported a quarterly revenue of $38.01 million, which was lower than analyst estimates, while maintaining earnings per share of ($0.12) for the period.
• Over 65% of Applied Digital's stock is held by institutional investors, highlighting strong support in the investor community despite recent share sales by company insiders.

Voya Investment Management LLC reduced its holdings in shares of Applied Digital Corporation (NASDAQ:APLD - Free Report) by 44.1% in the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission. The fund owned 1,068,186 shares of the company's stock after selling 843,340 shares during the quarter. Voya Investment Management LLC owned 0.47% of Applied Digital worth $6,003,000 as of its most recent SEC filing.

Other large investors have also recently added to or reduced their stakes in the company. PNC Financial Services Group Inc. bought a new position in Applied Digital during the first quarter worth $28,000. Geneos Wealth Management Inc. grew its holdings in Applied Digital by 113.3% during the first quarter. Geneos Wealth Management Inc. now owns 6,667 shares of the company's stock worth $37,000 after acquiring an additional 3,542 shares during the period. CWM LLC grew its holdings in Applied Digital by 116.5% during the first quarter. CWM LLC now owns 9,506 shares of the company's stock worth $53,000 after acquiring an additional 5,116 shares during the period. Semus Wealth Partners LLC purchased a new position in Applied Digital in the 1st quarter worth about $56,000. Finally, Lbmc Investment Advisors LLC purchased a new position in Applied Digital in the 1st quarter worth about $67,000. 65.67% of the stock is currently owned by institutional investors.

Applied Digital Trading Up 0.4%

Shares of APLD opened at $19.91 on Friday. The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.36. Applied Digital Corporation has a 12-month low of $3.31 and a 12-month high of $20.52. The firm has a market capitalization of $5.36 billion, a PE ratio of -18.27 and a beta of 6.64. The stock's fifty day simple moving average is $14.25 and its 200-day simple moving average is $9.78.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its earnings results on Wednesday, July 30th. The company reported ($0.12) earnings per share for the quarter, meeting the consensus estimate of ($0.12). Applied Digital had a negative return on equity of 50.03% and a negative net margin of 107.22%.The firm had revenue of $38.01 million for the quarter, compared to analyst estimates of $42.86 million. During the same quarter in the prior year, the firm posted ($0.14) earnings per share. The company's quarterly revenue was up 41.3% on a year-over-year basis. As a group, research analysts predict that Applied Digital Corporation will post -0.96 earnings per share for the current year.

Wall Street Analysts Forecast Growth

A number of brokerages recently weighed in on APLD. Compass Point initiated coverage on Applied Digital in a research note on Monday. They issued a "buy" rating on the stock. Roth Capital restated a "buy" rating on shares of Applied Digital in a research report on Monday, June 2nd. B. Riley lifted their price target on 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 Applied Digital to a "strong-buy" rating and set a $12.00 price objective on the stock in a research note on Thursday, May 22nd. Finally, Citigroup reissued an "outperform" rating on shares of Applied Digital in a research note on Tuesday, June 3rd. One equities research analyst has rated the stock with a Strong Buy rating and twelve have issued a Buy rating to the stock. According to data from MarketBeat, the company currently has a consensus rating of "Buy" and a consensus price target of $15.64.

Insiders Place Their Bets

In related news, Director Richard N. Nottenburg sold 20,000 shares of the stock in a transaction dated Wednesday, September 3rd. The stock was sold at an average price of $15.26, for a total transaction of $305,200.00. Following the completion of the transaction, the director directly owned 297,987 shares in the company, valued at approximately $4,547,281.62. This trade represents a 6.29% 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, 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 value of $6,104,000.00. Following the completion of the transaction, the chief executive officer owned 2,659,379 shares of the company's stock, valued at approximately $40,582,123.54. This represents a 13.07% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold 506,250 shares of company stock worth $7,713,675 over the last ninety days. 11.81% of the stock is currently owned by corporate 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.

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