Applied Digital (NASDAQ:APLD) Shares Down 5.4% After Insider Selling

Applied Digital Co. (NASDAQ:APLD)’s stock price dropped 5.4% on Wednesday following insider selling activity. The stock traded as low as $7.18 and last traded at $7.18. Approximately 3,400,885 shares traded hands during trading, a decline of 53% from the average daily volume of 7,309,523 shares. The stock had previously closed at $7.59.

Specifically, Director Richard N. Nottenburg sold 19,369 shares of the company’s stock in a transaction on Thursday, November 7th. The stock was sold at an average price of $7.51, for a total transaction of $145,461.19. Following the transaction, the director now owns 384,317 shares of the company’s stock, valued at $2,886,220.67. This represents a 4.80 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link.

Analyst Ratings Changes

APLD has been the topic of several research reports. Craig Hallum upped their price target on Applied Digital from $10.00 to $12.00 and gave the company a “buy” rating in a research note on Thursday, October 10th. HC Wainwright upped their price target on Applied Digital from $5.00 to $10.00 and gave the company a “buy” rating in a research note on Wednesday, October 16th. Needham & Company LLC reissued a “buy” rating and issued a $11.00 target price on shares of Applied Digital in a research note on Friday, November 1st. Lake Street Capital increased their target price on Applied Digital from $7.00 to $11.00 and gave the company a “buy” rating in a research note on Thursday, October 10th. Finally, B. Riley increased their target price on Applied Digital from $8.00 to $9.00 and gave the company a “buy” rating in a research note on Friday, September 13th. Six research analysts have rated the stock with a buy rating, According to data from MarketBeat.com, Applied Digital currently has an average rating of “Buy” and a consensus target price of $10.50.

Applied Digital Stock Down 4.3 %

The firm has a fifty day simple moving average of $7.21 and a 200-day simple moving average of $5.51. The company has a market capitalization of $1.48 billion, a P/E ratio of -5.78 and a beta of 4.65. The company has a quick ratio of 0.22, a current ratio of 0.22 and a debt-to-equity ratio of 0.62.

Applied Digital (NASDAQ:APLD) last announced its quarterly earnings results on Wednesday, October 9th. The company reported ($0.15) earnings per share (EPS) for the quarter, topping the consensus estimate of ($0.28) by $0.13. Applied Digital had a negative return on equity of 88.87% and a negative net margin of 74.95%. The company had revenue of $60.70 million during the quarter, compared to the consensus estimate of $54.85 million. During the same period in the prior year, the company earned ($0.10) earnings per share. The company’s revenue for the quarter was up 67.2% compared to the same quarter last year. On average, equities research analysts expect that Applied Digital Co. will post -0.4 EPS for the current fiscal year.

Institutional Investors Weigh In On Applied Digital

Large investors have recently modified their holdings of the business. B. Riley Wealth Advisors Inc. increased its holdings in shares of Applied Digital by 66.1% in the second quarter. B. Riley Wealth Advisors Inc. now owns 774,655 shares of the company’s stock worth $4,609,000 after acquiring an additional 308,223 shares in the last quarter. Alight Capital Management LP bought a new position in shares of Applied Digital during the second quarter worth about $3,570,000. Marshall Wace LLP bought a new position in shares of Applied Digital during the second quarter worth about $720,000. Vanguard Group Inc. grew its holdings in shares of Applied Digital by 70.2% during the first quarter. Vanguard Group Inc. now owns 6,176,073 shares of the company’s stock worth $26,434,000 after buying an additional 2,547,485 shares in the last quarter. Finally, Point72 Asset Management L.P. bought a new position in shares of Applied Digital during the second quarter worth about $1,451,000. 65.67% of the stock is currently owned by institutional investors.

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.