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

Applied Digital Corporation (NASDAQ:APLD)’s share price gapped up before the market opened on Tuesday . The stock had previously closed at $27.60, but opened at $29.10. Applied Digital shares last traded at $31.1670, with a volume of 11,874,067 shares traded.

More Applied Digital News

Here are the key news stories impacting Applied Digital this week:

• Positive Sentiment: Street bulls still see big upside driven by AI infrastructure demand; some analysts target as high as ~$99 and argue APLD could more than double from prior levels. Analysts Are Still Betting…
• Positive Sentiment: Momentum from broader AI infra deals lifted the stock (Bloom Energy/Oracle catalyst drove a rally the prior session), showing APLD still trades on sector flows. Why Applied Digital (APLD) Stock Is Up Today
• Positive Sentiment: GPU pricing and supply tightness are a structural tailwind for GPU‑as‑a‑Service providers like APLD, which could boost revenue and margins if APLD converts demand into utilization. GPU Prices Are Surging—3 Ways…
• Neutral Sentiment: Analyst Q&A from APLD’s Q1 earnings call highlighted execution, cadence of deployments and customer pipeline — useful for modeling but not a single directional trigger. The top 5 analyst questions…
• Negative Sentiment: Comparative coverage from Yahoo and Zacks argues rival IRON (IREN) currently has an edge — stronger contracts, better funding and lower valuation — and flags APLD’s timing risks tied to lease rollouts and power availability, which could delay revenue realization. IREN vs. Applied Digital… Zacks: IREN vs. Applied Digital
• Negative Sentiment: Customer concentration remains elevated — heavy reliance on a few large clients raises revenue visibility risk if contracts slow or customers renegotiate. APLD’s Customer Concentration…
• Negative Sentiment: Analyst estimates are mixed: HC Wainwright has lifted FY2027 estimates materially (to a positive EPS view), but also trimmed FY2026 and some near‑term quarters; Northland likewise cut FY2026 — signaling continued uncertainty about the timing of profitability. (Research notes summarized by MarketBeat)

Analysts Set New Price Targets

Several equities research analysts recently commented on the company. Arete Research began coverage on Applied Digital in a research note on Wednesday, January 7th. They set a “buy” rating for the company. Texas Capital upgraded Applied Digital to a “strong-buy” rating in a report on Tuesday, January 20th. Needham & Company LLC reiterated a “buy” rating and issued a $41.00 price objective on shares of Applied Digital in a research note on Thursday, January 8th. Northland Securities set a $56.00 target price on shares of Applied Digital in a research report on Wednesday, January 28th. Finally, Zacks Research cut shares of Applied Digital from a “hold” rating to a “strong sell” rating in a report on Wednesday, April 8th. Two research analysts have rated the stock with a Strong Buy rating, eleven have given a Buy rating and two have given a Sell rating to the company’s stock. Based on data from MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average target price of $42.78.

Applied Digital Stock Down 2.1%

The stock has a market cap of $8.80 billion, a price-to-earnings ratio of -41.63 and a beta of 7.25. The stock has a 50 day simple moving average of $28.62 and a 200 day simple moving average of $29.64. The company has a quick ratio of 2.38, a current ratio of 2.38 and a debt-to-equity ratio of 1.65.

Applied Digital (NASDAQ:APLD) last issued its earnings results on Wednesday, April 8th. The company reported ($0.36) earnings per share for the quarter, missing analysts’ consensus estimates of ($0.13) by ($0.23). Applied Digital had a negative return on equity of 15.91% and a negative net margin of 52.84%.The firm had revenue of $108.55 million for the quarter, compared to analyst estimates of $78.47 million. During the same period in the previous year, the company earned ($0.08) earnings per share. Applied Digital’s revenue for the quarter was up 139.3% compared to the same quarter last year. As a group, analysts expect that Applied Digital Corporation will post -0.96 earnings per share for the current fiscal year.

Insider Transactions at Applied Digital

In related news, Director Chuck Hastings sold 45,987 shares of the firm’s stock in a transaction dated Thursday, January 29th. The shares were sold at an average price of $38.57, for a total value of $1,773,718.59. Following the transaction, the director owned 388,372 shares of the company’s stock, valued at approximately $14,979,508.04. This trade represents a 10.59% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CEO Wes Cummins sold 165,000 shares of Applied Digital stock in a transaction dated Friday, January 16th. The shares were sold at an average price of $36.42, for a total value of $6,009,300.00. Following the transaction, the chief executive officer owned 4,176,329 shares of the company’s stock, valued at $152,101,902.18. This trade represents a 3.80% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 9.50% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of large investors have recently modified their holdings of the stock. Hsbc Holdings PLC purchased a new position in shares of Applied Digital during the fourth quarter valued at approximately $29,510,000. Osbon Capital Management LLC bought a new position in Applied Digital during the 4th quarter valued at $28,000. Spear Advisors LLC purchased a new position in Applied Digital during the 4th quarter worth $7,191,000. NWF Advisory Services Inc. grew its stake in shares of Applied Digital by 38.1% in the 4th quarter. NWF Advisory Services Inc. now owns 17,160 shares of the company’s stock worth $421,000 after acquiring an additional 4,730 shares in the last quarter. Finally, Caitong International Asset Management Co. Ltd bought a new stake in shares of Applied Digital in the 4th quarter worth $4,328,000. Institutional investors own 65.67% of the company’s stock.

Applied Digital Company Profile

Applied Digital (NASDAQ: APLD) is a technology company specializing in the development and operation of large-scale digital infrastructure and sustainable Bitcoin mining solutions. Through its integrated platform, the company designs, builds and manages turnkey data center facilities while also providing comprehensive hosting services for cloud, colocation and enterprise computing needs. Applied Digital’s modular approach to facility design enables rapid deployment of capacity and streamlined integration of power, cooling and network connectivity.

In addition to its data center business, Applied Digital operates a network of Bitcoin mining sites that leverage vertically integrated capabilities, including hardware procurement, mining farm engineering, energy management and real-time performance monitoring.