Applied Digital (NASDAQ:APLD) Trading Down 2.8% After Insider Selling

Applied Digital Co. (NASDAQ:APLD)’s share price fell 2.8% on Friday following insider selling activity. The company traded as low as $7.15 and last traded at $7.27. 9,403,512 shares traded hands during mid-day trading, a decline of 69% from the average session volume of 30,479,793 shares. The stock had previously closed at $7.48.

Specifically, Director Rachel H. Lee sold 24,212 shares of the company’s stock in a transaction on Wednesday, May 21st. The stock was sold at an average price of $7.00, for a total transaction of $169,484.00. Following the sale, the director now owns 83,613 shares of the company’s stock, valued at approximately $585,291. This represents a 22.45% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website.

Analysts Set New Price Targets

Several research analysts recently commented on APLD shares. HC Wainwright lowered their target price on Applied Digital from $12.00 to $7.00 and set a “buy” rating for the company in a research note on Tuesday, April 15th. Compass Point began coverage on Applied Digital in a research report on Tuesday, January 28th. They set a “buy” rating and a $10.00 price objective for the company. Needham & Company LLC reaffirmed a “buy” rating and issued a $10.00 target price on shares of Applied Digital in a report on Wednesday, April 23rd. Northland Securities lifted their price target on shares of Applied Digital from $12.00 to $20.00 and gave the stock an “outperform” rating in a research note on Tuesday, February 4th. Finally, Citizens Jmp raised shares of Applied Digital to a “strong-buy” rating and set a $12.00 price objective on the stock in a research report on Thursday. Ten investment analysts have rated the stock with a buy rating and one has given a strong buy rating to the company’s stock. According to data from MarketBeat, the stock currently has an average rating of “Buy” and a consensus target price of $10.91.

Applied Digital Trading Down 1.6%

The company has a quick ratio of 0.77, a current ratio of 0.77 and a debt-to-equity ratio of 1.22. The business’s fifty day simple moving average is $5.56 and its two-hundred day simple moving average is $7.41. The company has a market cap of $1.65 billion, a price-to-earnings ratio of -4.25 and a beta of 5.98.

Applied Digital (NASDAQ:APLD) last issued its earnings results on Monday, April 14th. The company reported ($0.16) earnings per share (EPS) for the quarter, missing the consensus estimate of ($0.11) by ($0.05). Applied Digital had a negative net margin of 127.86% and a negative return on equity of 117.67%. The company had revenue of $52.92 million during the quarter, compared to analyst estimates of $62.91 million. During the same quarter in the previous year, the company posted ($0.24) EPS. On average, equities analysts predict that Applied Digital Co. will post -0.96 EPS for the current year.

Institutional Trading of Applied Digital

A number of hedge funds and other institutional investors have recently made changes to their positions in the company. Situational Awareness LP purchased a new position in Applied Digital during the 1st quarter worth approximately $22,680,000. Vanguard Group Inc. boosted its holdings in shares of Applied Digital by 39.1% in the fourth quarter. Vanguard Group Inc. now owns 12,760,035 shares of the company’s stock valued at $97,487,000 after acquiring an additional 3,587,619 shares during the period. Van ECK Associates Corp boosted its holdings in shares of Applied Digital by 113.8% in the fourth quarter. Van ECK Associates Corp now owns 4,404,313 shares of the company’s stock valued at $33,649,000 after acquiring an additional 2,344,572 shares during the period. Tidal Investments LLC grew its position in shares of Applied Digital by 14,635.7% during the fourth quarter. Tidal Investments LLC now owns 1,697,850 shares of the company’s stock worth $12,972,000 after acquiring an additional 1,686,328 shares during the last quarter. Finally, American Century Companies Inc. acquired a new position in shares of Applied Digital in the 4th quarter valued at $12,843,000. Institutional investors and hedge funds own 65.67% of the company’s stock.

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.