Applied Digital (NASDAQ:APLD) Shares Up 20% – Still a Buy?

Shares of Applied Digital Co. (NASDAQ:APLD) shot up 20% during mid-day trading on Friday . The stock traded as high as $15.42 and last traded at $15.32. 90,491,211 shares changed hands during mid-day trading, an increase of 143% from the average session volume of 37,228,602 shares. The stock had previously closed at $12.77.

Analysts Set New Price Targets

Several brokerages recently issued reports on APLD. JMP Securities boosted their price target on Applied Digital from $12.00 to $18.00 and gave the company a “market outperform” rating in a research note on Tuesday, June 3rd. Cantor Fitzgerald cut their price target on Applied Digital from $14.00 to $7.00 and set an “overweight” rating for the company in a research note on Tuesday, April 15th. HC Wainwright boosted their price target on Applied Digital from $7.00 to $12.00 and gave the company a “buy” rating in a research note on Tuesday, June 3rd. Needham & Company LLC reiterated a “buy” rating and issued a $10.00 price target on shares of Applied Digital in a research note on Monday, June 2nd. Finally, Citigroup reiterated an “outperform” rating on shares of Applied Digital in a research note on Tuesday. Twelve equities research analysts have rated the stock with a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, the stock currently has an average rating of “Buy” and a consensus price target of $12.45.

Applied Digital Stock Up 8.5%

The firm has a 50 day simple moving average of $6.15 and a two-hundred day simple moving average of $7.54. 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 stock has a market capitalization of $3.11 billion, a P/E ratio of -8.01 and a beta of 6.09.

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

Insider Activity

In other news, Director Rachel H. Lee sold 24,212 shares of the stock in a transaction on Wednesday, May 21st. The stock was sold at an average price of $7.00, for a total value of $169,484.00. Following the completion of the transaction, the director now directly owns 83,613 shares in the company, valued at approximately $585,291. This represents a 22.45% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. 11.81% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the company. Wilmington Savings Fund Society FSB increased its holdings in Applied Digital by 100.0% in the fourth quarter. Wilmington Savings Fund Society FSB now owns 4,000 shares of the company’s stock valued at $31,000 after purchasing an additional 2,000 shares during the period. US Bancorp DE acquired a new stake in Applied Digital in the fourth quarter valued at $37,000. PNC Financial Services Group Inc. acquired a new stake in Applied Digital in the first quarter valued at $28,000. Jones Financial Companies Lllp acquired a new stake in Applied Digital in the fourth quarter valued at $39,000. Finally, Spire Wealth Management acquired a new stake in Applied Digital in the fourth quarter valued at $43,000. 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.