Analyst Kevin Dede of H.C. Wainwright reiterated a Buy rating on Applied Digital Corporation, boosting the price target to $40.00.
Elevate Your Investing Strategy:
- Take advantage of TipRanks Premium at 50% off! Unlock powerful investing tools, advanced data, and expert analyst insights to help you invest with confidence.
Kevin Dede has given his Buy rating due to a combination of factors that highlight Applied Digital Corporation’s strong position and future potential. The company has demonstrated its capability in building hyperscale datacenters, as evidenced by its significant 15-year contract valued at $11 billion. This contract, alongside the company’s ability to bring power online efficiently, underscores its operational effectiveness.
Furthermore, Applied Digital’s strategic partnerships and financing support from entities like Macquarie groups and Related Group enhance its financial stability and growth prospects. The company’s proactive approach to construction and readiness for future power demands, coupled with its innovative data center designs, position it well in the competitive landscape. These factors, along with proven execution and a promising outlook for scaling returns, justify the Buy rating and an increased price target.
In another report released today, Compass Point also reiterated a Buy rating on the stock with a $45.00 price target.
Based on the recent corporate insider activity of 40 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of APLD in relation to earlier this year.