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

Applied Digital Co. (NASDAQ:APLD) shares gapped down prior to trading on Tuesday following insider selling activity. The stock had previously closed at $6.58, but opened at $6.10. Applied Digital shares last traded at $6.18, with a volume of 3,008,103 shares.

Specifically, Director Douglas S. Miller sold 10,000 shares of the company’s stock in a transaction that occurred on Thursday, September 5th. The stock was sold at an average price of $5.50, for a total value of $55,000.00. Following the sale, the director now directly owns 218,506 shares in the company, valued at $1,201,783. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink.

Wall Street Analyst Weigh In

APLD has been the topic of several analyst reports. B. Riley upped their target price on Applied Digital from $6.00 to $8.00 and gave the company a “buy” rating in a report on Friday, June 28th. Roth Mkm reiterated a “buy” rating and issued a $10.00 target price on shares of Applied Digital in a report on Thursday, September 5th. HC Wainwright restated a “buy” rating and set a $5.00 price target on shares of Applied Digital in a report on Thursday, August 29th. Finally, Needham & Company LLC restated a “buy” rating and set a $11.00 price target on shares of Applied Digital in a report on Monday. Five investment analysts have rated the stock with a buy rating, Based on data from MarketBeat, Applied Digital has a consensus rating of “Buy” and an average price target of $8.20.

Applied Digital Price Performance

The company has a debt-to-equity ratio of 1.14, a quick ratio of 0.08 and a current ratio of 0.08. The company has a market cap of $847.95 million, a P/E ratio of -7.65 and a beta of 4.51. The firm has a 50 day moving average price of $4.86 and a two-hundred day moving average price of $4.34.

Applied Digital (NASDAQ:APLD) last issued its earnings results on Wednesday, August 28th. The company reported ($0.52) EPS for the quarter, missing the consensus estimate of ($0.23) by ($0.29). Applied Digital had a negative return on equity of 111.80% and a negative net margin of 88.95%. The company had revenue of $43.70 million during the quarter, compared to the consensus estimate of $42.70 million. During the same quarter in the prior year, the business earned ($0.07) EPS. On average, analysts predict that Applied Digital Co. will post -1.02 EPS for the current fiscal year.

Hedge Funds Weigh In On Applied Digital

A number of large investors have recently modified their holdings of APLD. International Assets Investment Management LLC increased its stake in Applied Digital by 106.3% in the 4th quarter. International Assets Investment Management LLC now owns 25,275 shares of the company’s stock worth $1,700,000 after purchasing an additional 13,025 shares during the period. New York State Common Retirement Fund grew its position in shares of Applied Digital by 71.5% in the 4th quarter. New York State Common Retirement Fund now owns 37,677 shares of the company’s stock worth $254,000 after buying an additional 15,708 shares during the last quarter. Russell Investments Group Ltd. grew its position in shares of Applied Digital by 154.0% in the 4th quarter. Russell Investments Group Ltd. now owns 265,929 shares of the company’s stock worth $1,792,000 after buying an additional 161,250 shares during the last quarter. Swiss National Bank grew its position in shares of Applied Digital by 6.9% in the 4th quarter. Swiss National Bank now owns 146,600 shares of the company’s stock worth $988,000 after buying an additional 9,500 shares during the last quarter. Finally, Versor Investments LP bought a new stake in shares of Applied Digital in the 4th quarter worth approximately $121,000. 65.67% of the stock is owned by hedge funds and other 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.