Applied Digital (US:APLD) ZACKS·2024-10-09 22:25Core Insights - Applied Digital Corporation reported a quarterly loss of $0.03 per share, significantly better than the Zacks Consensus Estimate of a loss of $0.28, and an improvement from a loss of $0.10 per share a year ago, indicating an earnings surprise of 89.29% [1] - The company generated revenues of $60.7 million for the quarter ended August 2024, exceeding the Zacks Consensus Estimate by 12.35% and showing a substantial increase from $36.32 million in the same quarter last year [1] Financial Performance - The earnings surprise of 89.29% is notable, especially compared to the previous quarter where the actual loss of $0.52 per share was worse than the expected loss of $0.23, resulting in a surprise of -126.09% [1] - Over the last four quarters, the company has surpassed consensus EPS estimates only once, indicating inconsistent performance [1] - The current consensus EPS estimate for the upcoming quarter is -$0.29 on projected revenues of $62.35 million, while the estimate for the current fiscal year is -$1.12 on revenues of $263.45 million [4] Stock Performance - Since the beginning of the year, Applied Digital Corporation shares have increased by approximately 16.5%, underperforming compared to the S&P 500's gain of 20.6% [2] - The stock currently holds a Zacks Rank of 3 (Hold), suggesting it is expected to perform in line with the market in the near future [4] Industry Context - The Financial - Miscellaneous Services industry, to which Applied Digital Corporation belongs, is currently ranked in the bottom 41% of over 250 Zacks industries, which may negatively impact stock performance [5] - Ponce Financial, another company in the same industry, is expected to report a quarterly earnings decline of 41.7%, with revenues projected to decrease by 10.7% year-over-year [5]