Roth Capital Lowers Earnings Estimates for Applied Digital

Applied Digital Corporation (NASDAQ:APLD - Free Report) - Research analysts at Roth Capital lowered their Q2 2027 earnings estimates for shares of Applied Digital in a report released on Wednesday, October 22nd. Roth Capital analyst D. Aftahi now forecasts that the company will post earnings per share of $0.19 for the quarter, down from their prior estimate of $0.20. The consensus estimate for Applied Digital's current full-year earnings is ($0.96) per share. Roth Capital also issued estimates for Applied Digital's Q4 2027 earnings at $0.31 EPS and FY2028 earnings at $1.99 EPS.

Applied Digital (NASDAQ:APLD - Get Free Report) last issued its earnings results on Thursday, October 9th. The company reported ($0.03) EPS for the quarter, beating analysts' consensus estimates of ($0.11) by $0.08. The business had revenue of $38.01 million for the quarter, compared to the consensus estimate of $52.25 million. Applied Digital had a negative net margin of 111.29% and a negative return on equity of 37.14%. The business's revenue for the quarter was up 84.3% compared to the same quarter last year. During the same quarter last year, the firm posted ($0.15) EPS.

A number of other research analysts have also recently commented on the company. Wall Street Zen cut Applied Digital from a "hold" rating to a "sell" rating in a research note on Sunday, October 19th. Needham & Company LLC upped their price target on Applied Digital from $12.00 to $16.00 and gave the stock a "buy" rating in a report on Thursday, July 31st. Lake Street Capital upped their price target on Applied Digital from $18.00 to $37.00 and gave the stock a "buy" rating in a report on Friday, October 10th. Craig Hallum raised their price target on shares of Applied Digital to $39.00 and gave the company a "buy" rating in a report on Thursday. Finally, Citigroup reaffirmed an "outperform" rating on shares of Applied Digital in a report on Thursday, October 9th. One analyst has rated the stock with a Strong Buy rating, eleven have issued a Buy rating and one has given a Sell rating to the company. According to data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $23.70.

Applied Digital Trading Up 9.0%

Shares of APLD opened at $33.38 on Friday. The stock's 50-day moving average is $22.53 and its two-hundred day moving average is $13.59. The stock has a market cap of $9.34 billion, a PE ratio of -29.54 and a beta of 6.77. Applied Digital has a 12 month low of $3.31 and a 12 month high of $40.20. The company has a debt-to-equity ratio of 0.29, a current ratio of 0.65 and a quick ratio of 0.65.

Insider Buying and Selling at Applied Digital

In other Applied Digital news, CEO Wes Cummins sold 400,000 shares of the stock in a transaction 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 transaction, the chief executive officer directly owned 2,659,379 shares in the company, valued at $40,582,123.54. This represents a 13.07% decrease in their position. The transaction was disclosed in a legal filing with the SEC, which is available through this link. Also, Director Richard N. Nottenburg sold 20,000 shares of the stock in a transaction on Wednesday, September 3rd. The shares were sold at an average price of $15.26, for a total transaction of $305,200.00. Following the transaction, the director owned 297,987 shares in the company, valued at $4,547,281.62. This trade represents a 6.29% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders have sold a total of 506,250 shares of company stock valued at $7,713,675 in the last three months. Corporate insiders own 9.50% of the company's stock.

Institutional Inflows and Outflows

A number of large investors have recently added to or reduced their stakes in the stock. Hood River Capital Management LLC grew its stake in Applied Digital by 2.8% in the second quarter. Hood River Capital Management LLC now owns 21,859,031 shares of the company's stock worth $220,120,000 after purchasing an additional 592,314 shares in the last quarter. Vanguard Group Inc. grew its stake in Applied Digital by 5.7% in the first quarter. Vanguard Group Inc. now owns 13,491,013 shares of the company's stock worth $75,819,000 after purchasing an additional 730,978 shares in the last quarter. Situational Awareness LP grew its stake in Applied Digital by 63.3% in the second quarter. Situational Awareness LP now owns 6,591,800 shares of the company's stock worth $66,379,000 after purchasing an additional 2,556,200 shares in the last quarter. BNP Paribas Financial Markets grew its stake in Applied Digital by 24,356.8% in the second quarter. BNP Paribas Financial Markets now owns 5,219,565 shares of the company's stock worth $52,561,000 after purchasing an additional 5,198,223 shares in the last quarter. Finally, MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its stake in Applied Digital by 24.0% in the second quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 2,661,296 shares of the company's stock worth $26,799,000 after purchasing an additional 514,896 shares in the last quarter. 65.67% of the stock is currently owned by institutional investors.

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.

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.