Last Updated: 19 Sep 2024
Executive Summary
Applied Blockchain Inc (APLD) is a crypto mining and co-hosting company with a market capitalization of $1.3 billion. The company has been struggling financially, with negative earnings per share (EPS) and a profit margin of -0.902. However, analysts are optimistic about the company's long-term prospects, with a consensus target price of $9.14.
Company Overview
APLD is headquartered in Dallas, Texas and was founded in 2017. The company operates crypto mining facilities in the United States and Canada. APLD also provides co-hosting services to other crypto miners.
Fundamental Analysis
APLD's financial performance has been weak in recent quarters. The company reported a net loss of $18.66 million in the latest quarter, and EPS of -$1.31. The company's revenue growth has been strong, with quarterly revenue growth of 0.983% year-over-year. However, the company's profitability has been impacted by rising energy costs and the decline in the price of Bitcoin.
Technical Analysis
APLD's stock price has been trading in a range between $2.36 and $8.65 over the past 52 weeks. The stock is currently trading at $6.07, above its 50-day and 200-day moving averages. The stock's relative strength index (RSI) is 55.54, indicating that the stock is neither overbought nor oversold.
Short Term Outlook
APLD's stock price is likely to continue to trade in a range in the short term. The stock's technical indicators are neutral, and the company's financial performance is expected to remain weak in the near term.
Long Term Outlook
Analysts are optimistic about APLD's long-term prospects. The company is well-positioned to benefit from the growing demand for crypto mining and co-hosting services. The company's financial performance is expected to improve as the price of Bitcoin recovers.
Analyst Recommendations
The consensus analyst rating for APLD is "Buy." Seven analysts recommend buying the stock, while none recommend selling the stock. The consensus target price for APLD is $9.14.
