HC Wainwright Boosts Applied Digital (NASDAQ:APLD) Price Target to $40.00

Key Points

• HC Wainwright has raised Applied Digital's target price to $40.00 from $20.00, indicating a potential upside of 13.80% from its current price.
• The company saw a significant increase in trading, with shares up 20.0%, reaching $35.15 during trading hours on Friday.
• Despite positive quarterly performance, with revenue up 84.3% year-over-year, analysts expect a negative earnings per share of -0.96 for the current fiscal year.

Applied Digital (NASDAQ:APLD - Get Free Report) had its target price hoisted by research analysts at HC Wainwright from $20.00 to $40.00 in a note issued to investors on Friday,Benzinga reports. The firm currently has a "buy" rating on the stock. HC Wainwright's price target points to a potential upside of 13.80% from the stock's current price.

Other equities research analysts have also issued research reports about the company. Needham & Company LLC increased their target price on Applied Digital from $12.00 to $16.00 and gave the company a "buy" rating in a research note on Thursday, July 31st. Compass Point initiated coverage on Applied Digital in a research note on Monday, September 15th. They issued a "buy" rating for the company. Lake Street Capital reiterated a "buy" rating on shares of Applied Digital in a research note on Friday. Citigroup restated an "outperform" rating on shares of Applied Digital in a research note on Thursday. Finally, Weiss Ratings restated a "sell (d-)" rating on shares of Applied Digital in a research note on Wednesday. One research analyst has rated the stock with a Strong Buy rating, eleven have given a Buy rating and one has assigned a Sell rating to the company's stock. According to MarketBeat.com, the company currently has an average rating of "Moderate Buy" and an average target price of $18.20.

Applied Digital Trading Up 20.0%

NASDAQ APLD traded up $5.86 during trading hours on Friday, hitting $35.15. 74,896,477 shares of the company's stock were exchanged, compared to its average volume of 36,341,629. The business's 50 day moving average is $18.50 and its 200-day moving average is $11.62. Applied Digital has a 12-month low of $3.31 and a 12-month high of $39.07. The firm has a market capitalization of $9.63 billion, a P/E ratio of -32.25 and a beta of 6.77. The company has a debt-to-equity ratio of 1.36, a quick ratio of 0.77 and a current ratio of 0.77.

Applied Digital (NASDAQ:APLD - Get Free Report) last released its quarterly earnings data on Thursday, October 9th. The company reported ($0.03) EPS for the quarter, topping analysts' consensus estimates of ($0.11) by $0.08. The company had revenue of $38.01 million for the quarter, compared to the consensus estimate of $52.25 million. Applied Digital had a negative return on equity of 50.03% and a negative net margin of 107.22%.The company's quarterly revenue was up 84.3% compared to the same quarter last year. During the same period last year, the business posted ($0.15) EPS. As a group, analysts anticipate that Applied Digital will post -0.96 EPS for the current fiscal year.

Insider Transactions at Applied Digital

In related news, 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 value of $1,144,500.00. Following the sale, the chief financial officer owned 201,800 shares of the company's stock, valued at approximately $3,079,468. This trade represents a 27.10% decrease in their position. The sale was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, Director Richard N. Nottenburg sold 20,000 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 value of $305,200.00. Following the completion of the sale, 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 position. The disclosure for this sale can be found here. In the last quarter, insiders sold 506,250 shares of company stock worth $7,713,675. 9.50% of the stock is currently owned by corporate insiders.

Institutional Trading of Applied Digital

A number of hedge funds and other institutional investors have recently modified their holdings of APLD. BNP Paribas Financial Markets raised its stake in shares of Applied Digital by 24,356.8% in the 2nd quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company's stock worth $52,561,000 after buying an additional 5,198,223 shares in the last quarter. Situational Awareness LP bought a new stake in shares of Applied Digital in the 1st quarter worth $22,680,000. Partners Capital Investment Group LLP bought a new stake in shares of Applied Digital in the 1st quarter worth $8,673,000. HRT Financial LP bought a new stake in shares of Applied Digital in the 2nd quarter worth $14,759,000. Finally, Voya Investment Management LLC raised its stake in shares of Applied Digital by 403.4% in the 3rd quarter. Voya Investment Management LLC now owns 1,464,909 shares of the company's stock worth $33,605,000 after buying an additional 1,173,929 shares in the last quarter. Institutional investors own 65.67% of the company's stock.

Applied Digital Company 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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.