Deep-pocketed investors have adopted a bearish approach towards Applied Digital APLD, and it's something market players shouldn't ignore. Our tracking of public options records at Benzinga unveiled this significant move today. The identity of these investors remains unknown, but such a substantial move in APLD usually suggests something big is about to happen.
We gleaned this information from our observations today when Benzinga's options scanner highlighted 29 extraordinary options activities for Applied Digital. This level of activity is out of the ordinary.
The general mood among these heavyweight investors is divided, with 41% leaning bullish and 44% bearish. Among these notable options, 4 are puts, totaling $142,500, and 25 are calls, amounting to $1,917,365.
Projected Price Targets
Taking into account the Volume and Open Interest on these contracts, it appears that whales have been targeting a price range from $3.0 to $17.0 for Applied Digital over the last 3 months.
Volume & Open Interest Trends
In today's trading context, the average open interest for options of Applied Digital stands at 2248.41, with a total volume reaching 41,575.00. The accompanying chart delineates the progression of both call and put option volume and open interest for high-value trades in Applied Digital, situated within the strike price corridor from $3.0 to $17.0, throughout the last 30 days.
Applied Digital Option Volume And Open Interest Over Last 30 Days
Largest Options Trades Observed:
| Symbol | PUT/CALL | Trade Type | Sentiment | Exp. Date | Ask | Bid | Price | Strike Price | Total Trade Price | Open Interest | Volume |
|---|---|---|---|---|---|---|---|---|---|---|---|
| APLD | CALL | SWEEP | BEARISH | 09/20/24 | $1.0 | $0.95 | $0.95 | $5.00 | $186.7K | 11.5K | 5.1K |
| APLD | CALL | SWEEP | BEARISH | 01/17/25 | $1.8 | $1.75 | $1.75 | $4.00 | $175.0K | 3.3K | 827 |
| APLD | CALL | SWEEP | BEARISH | 01/17/25 | $3.5 | $3.3 | $3.33 | $3.00 | $165.6K | 496 | 1.5K |
| APLD | CALL | SWEEP | BEARISH | 01/17/25 | $3.5 | $3.3 | $3.3 | $3.00 | $165.2K | 496 | 2.0K |
| APLD | CALL | SWEEP | BULLISH | 10/18/24 | $2.6 | $2.4 | $2.5 | $4.00 | $125.0K | 2.1K | 3.4K |
About Applied Digital
Applied Digital Corp is a designer, developer, and operator of next-generation digital infrastructure across North America. It provides digital infrastructure solutions and cloud services to industries like High-Performance Computing (HPC) and Artificial Intelligence (AI). The company operates in the following business segments; Data Center Hosting Business, Cloud Services Business, and HPC Hosting Business. The majority of its revenue is generated from the Data Center Hosting Business which operates data centers to provide energized space to crypto mining customers.
After a thorough review of the options trading surrounding Applied Digital, we move to examine the company in more detail. This includes an assessment of its current market status and performance.
Current Position of Applied Digital
- Trading volume stands at 42,561,819, with APLD's price up by 42.64%, positioned at $6.49.
- RSI indicators show the stock to be is currently neutral between overbought and oversold.
- Earnings announcement expected in 28 days.
Expert Opinions on Applied Digital
Over the past month, 5 industry analysts have shared their insights on this stock, proposing an average target price of $9.4.
- Reflecting concerns, an analyst from HC Wainwright & Co. lowers its rating to Buy with a new price target of $5.
- Maintaining their stance, an analyst from Roth MKM continues to hold a Buy rating for Applied Digital, targeting a price of $10.
- Consistent in their evaluation, an analyst from Roth MKM keeps a Buy rating on Applied Digital with a target price of $10.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $11.
- Reflecting concerns, an analyst from Needham lowers its rating to Buy with a new price target of $11.
Trading options involves greater risks but also offers the potential for higher profits. Savvy traders mitigate these risks through ongoing education, strategic trade adjustments, utilizing various indicators, and staying attuned to market dynamics. Keep up with the latest options trades for Applied Digital with Benzinga Pro for real-time alerts.
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