AppLovin (NASDAQ:APP) Hits New 1-Year High – Should You Buy?

AppLovin Co. (NASDAQ:APP) shares reached a new 52-week high during trading on Wednesday . The stock traded as high as $144.49 and last traded at $143.95, with a volume of 1945006 shares traded. The stock had previously closed at $143.51.

Analyst Ratings Changes

APP has been the subject of several analyst reports. Jefferies Financial Group lifted their target price on AppLovin from $105.00 to $108.00 and gave the stock a “buy” rating in a report on Tuesday, September 10th. BTIG Research increased their target price on shares of AppLovin from $114.00 to $150.00 and gave the company a “buy” rating in a research note on Friday, September 13th. Oppenheimer reiterated an “outperform” rating and set a $105.00 price target (up from $97.00) on shares of AppLovin in a report on Thursday, August 8th. UBS Group raised shares of AppLovin from a “neutral” rating to a “buy” rating and raised their price objective for the stock from $100.00 to $145.00 in a research note on Tuesday, September 17th. Finally, Wedbush cut their target price on AppLovin from $100.00 to $90.00 and set an “outperform” rating on the stock in a research note on Thursday, August 8th. One investment analyst has rated the stock with a sell rating, three have assigned a hold rating and eleven have given a buy rating to the company’s stock. According to data from MarketBeat, AppLovin currently has a consensus rating of “Moderate Buy” and an average target price of $106.44.

AppLovin Stock Performance

The firm has a market cap of $49.13 billion, a price-to-earnings ratio of 61.63, a PEG ratio of 2.07 and a beta of 1.92. The company has a 50 day moving average of $103.13 and a 200 day moving average of $87.01. The company has a quick ratio of 2.28, a current ratio of 2.28 and a debt-to-equity ratio of 4.27.

AppLovin (NASDAQ:APP) last issued its quarterly earnings results on Wednesday, August 7th. The company reported $0.89 earnings per share for the quarter, topping analysts’ consensus estimates of $0.77 by $0.12. AppLovin had a net margin of 20.89% and a return on equity of 84.16%. The company had revenue of $1.08 billion during the quarter, compared to analyst estimates of $1.08 billion. During the same period in the prior year, the business posted $0.22 EPS. The business’s revenue for the quarter was up 44.0% compared to the same quarter last year. As a group, equities research analysts expect that AppLovin Co. will post 3.46 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, Director Dawson Alyssa Harvey sold 1,500 shares of the stock in a transaction dated Tuesday, September 10th. The shares were sold at an average price of $87.90, for a total transaction of $131,850.00. Following the completion of the sale, the director now owns 10,247 shares in the company, valued at $900,711.30. This trade represents a 0.00 % decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through the SEC website. In other news, CTO Vasily Shikin sold 5,500 shares of the stock in a transaction dated Monday, September 9th. The shares were sold at an average price of $86.04, for a total transaction of $473,220.00. Following the completion of the transaction, the chief technology officer now directly owns 4,536,447 shares in the company, valued at $390,315,899.88. This represents a 0.00 % decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, Director Dawson Alyssa Harvey sold 1,500 shares of the firm’s stock in a transaction dated Tuesday, September 10th. The stock was sold at an average price of $87.90, for a total transaction of $131,850.00. Following the sale, the director now owns 10,247 shares of the company’s stock, valued at approximately $900,711.30. This represents a 0.00 % decrease in their position. The disclosure for this sale can be found here. In the last quarter, insiders sold 610,094 shares of company stock worth $51,022,478. 14.69% of the stock is currently owned by company insiders.

Institutional Investors Weigh In On AppLovin

Several institutional investors and hedge funds have recently bought and sold shares of APP. GAMMA Investing LLC boosted its position in AppLovin by 8.2% in the third quarter. GAMMA Investing LLC now owns 1,665 shares of the company’s stock valued at $217,000 after buying an additional 126 shares in the last quarter. American Trust increased its stake in AppLovin by 2.8% during the 1st quarter. American Trust now owns 5,550 shares of the company’s stock valued at $384,000 after purchasing an additional 150 shares in the last quarter. Highland Capital Management LLC lifted its stake in AppLovin by 0.5% during the 1st quarter. Highland Capital Management LLC now owns 28,120 shares of the company’s stock valued at $1,946,000 after acquiring an additional 153 shares in the last quarter. Cullen Frost Bankers Inc. grew its holdings in shares of AppLovin by 10.3% in the second quarter. Cullen Frost Bankers Inc. now owns 2,205 shares of the company’s stock valued at $184,000 after acquiring an additional 205 shares in the last quarter. Finally, Signaturefd LLC increased its holdings in AppLovin by 9.5% during the second quarter. Signaturefd LLC now owns 2,489 shares of the company’s stock worth $207,000 after buying an additional 215 shares during the last quarter. Institutional investors own 41.85% of the company’s stock.

About AppLovin

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.