AppLovin (NASDAQ:APP) Shares Down 3.3% – Time to Sell?

by · The Markets Daily

AppLovin Co. (NASDAQ:APP – Get Free Report) was down 3.3% on Wednesday . The company traded as low as $230.26 and last traded at $237.45. Approximately 2,016,941 shares changed hands during mid-day trading, a decline of 65% from the average daily volume of 5,766,899 shares. The stock had previously closed at $245.47.

Analyst Upgrades and Downgrades

A number of equities research analysts recently weighed in on the stock. Wells Fargo & Company lowered their target price on shares of AppLovin from $538.00 to $386.00 and set an “overweight” rating on the stock in a research note on Tuesday, April 8th. UBS Group lowered their price objective on shares of AppLovin from $630.00 to $450.00 and set a “buy” rating on the stock in a research report on Friday, April 11th. Loop Capital reiterated a “buy” rating and issued a $650.00 target price on shares of AppLovin in a research report on Friday, March 28th. Jefferies Financial Group raised their price target on AppLovin from $400.00 to $425.00 and gave the company a “buy” rating in a research report on Wednesday, January 8th. Finally, Oppenheimer reissued an “outperform” rating and set a $560.00 price objective on shares of AppLovin in a report on Thursday, March 27th. One investment analyst has rated the stock with a sell rating, three have given a hold rating, sixteen have issued a buy rating and one has issued a strong buy rating to the stock. Based on data from MarketBeat.com, AppLovin presently has an average rating of “Moderate Buy” and an average target price of $424.84.

Check Out Our Latest Stock Analysis on APP

AppLovin Stock Up 3.7 %

The company has a 50 day moving average price of $316.01 and a 200-day moving average price of $295.27. The stock has a market capitalization of $80.98 billion, a PE ratio of 52.47, a PEG ratio of 3.02 and a beta of 2.39. The company has a debt-to-equity ratio of 3.70, a current ratio of 2.41 and a quick ratio of 2.41.

AppLovin (NASDAQ:APP – Get Free Report) last posted its earnings results on Wednesday, February 12th. The company reported $1.73 EPS for the quarter, topping the consensus estimate of $1.12 by $0.61. AppLovin had a net margin of 33.54% and a return on equity of 188.55%. As a group, analysts forecast that AppLovin Co. will post 6.87 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, CEO Arash Adam Foroughi sold 45,000 shares of the company’s stock in a transaction dated Friday, February 21st. The shares were sold at an average price of $422.21, for a total value of $18,999,450.00. Following the sale, the chief executive officer now directly owns 2,914,492 shares of the company’s stock, valued at $1,230,527,667.32. This represents a 1.52 % decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. Also, Director Herald Y. Chen sold 200,000 shares of AppLovin stock in a transaction dated Friday, February 28th. The shares were sold at an average price of $324.65, for a total transaction of $64,930,000.00. Following the transaction, the director now directly owns 621,209 shares of the company’s stock, valued at approximately $201,675,501.85. This trade represents a 24.35 % decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders have sold 306,900 shares of company stock worth $106,401,841. Company insiders own 14.69% of the company’s stock.

Institutional Trading of AppLovin

Several hedge funds and other institutional investors have recently made changes to their positions in APP. PKO Investment Management Joint Stock Co purchased a new stake in shares of AppLovin in the first quarter worth $4,504,000. Rakuten Securities Inc. increased its stake in AppLovin by 24.1% during the 1st quarter. Rakuten Securities Inc. now owns 12,191 shares of the company’s stock valued at $3,230,000 after purchasing an additional 2,368 shares in the last quarter. Insigneo Advisory Services LLC purchased a new position in AppLovin in the first quarter worth about $312,000. WD Rutherford LLC bought a new position in shares of AppLovin in the first quarter worth approximately $634,000. Finally, Precision Wealth Strategies LLC grew its holdings in shares of AppLovin by 15.0% during the first quarter. Precision Wealth Strategies LLC now owns 5,487 shares of the company’s stock valued at $1,454,000 after buying an additional 715 shares during the last quarter. Hedge funds and other institutional investors own 41.85% of the company’s stock.

About AppLovin

(Get Free Report)

AppLovin Corporation engages in building a software-based platform for advertisers to enhance the marketing and monetization of their content in the United States and internationally. It operates through two segments, Software Platform and Apps. The company's software solutions include AppDiscovery, a marketing software solution, which matches advertiser demand with publisher supply through auctions; MAX, an in-app bidding software that optimizes the value of a publisher's advertising inventory by running a real-time competitive auction; Adjust, a measurement and analytics marketing platform that provides marketers with the visibility, insights, and tools needed to grow their apps from early stage to maturity; and Wurl, a connected TV platform, which distributes streaming video for content companies and provides advertising and publishing solutions through its AdPool, ContentDiscovery, and Global FAST Pass products.

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