AppLovin (NASDAQ:APP) Shares Down 0.9% – What’s Next?

AppLovin Co. (NASDAQ:APP) shares dropped 0.9% during trading on Wednesday . The company traded as low as $341.31 and last traded at $341.83. Approximately 1,312,432 shares traded hands during mid-day trading, a decline of 72% from the average daily volume of 4,617,379 shares. The stock had previously closed at $344.82.

Wall Street Analyst Weigh In

A number of research firms recently weighed in on APP. Piper Sandler assumed coverage on AppLovin in a report on Wednesday, November 20th. They set an “overweight” rating and a $400.00 target price on the stock. Wells Fargo & Company boosted their price target on AppLovin from $250.00 to $360.00 and gave the company an “overweight” rating in a research note on Wednesday, November 20th. Jefferies Financial Group lifted their target price on AppLovin from $270.00 to $400.00 and gave the company a “buy” rating in a research report on Tuesday, November 26th. Oppenheimer reiterated an “outperform” rating and set a $480.00 price objective on shares of AppLovin in a research report on Tuesday, December 10th. Finally, Macquarie increased their target price on AppLovin from $270.00 to $450.00 and gave the company an “outperform” rating in a research report on Friday, December 6th. One research analyst has rated the stock with a sell rating, four have assigned a hold rating, thirteen have assigned a buy rating and one has assigned a strong buy rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $310.71.

AppLovin Stock Performance

The company has a current ratio of 2.41, a quick ratio of 2.41 and a debt-to-equity ratio of 3.70. The company has a market capitalization of $114.72 billion, a P/E ratio of 103.59, a price-to-earnings-growth ratio of 4.17 and a beta of 2.28. The company’s 50 day moving average is $272.67 and its 200-day moving average is $157.65.

AppLovin (NASDAQ:APP) last released its earnings results on Wednesday, November 6th. The company reported $1.25 earnings per share for the quarter, beating analysts’ consensus estimates of $0.92 by $0.33. The company had revenue of $1.20 billion for the quarter, compared to analysts’ expectations of $1.13 billion. AppLovin had a net margin of 26.85% and a return on equity of 122.24%. AppLovin’s revenue for the quarter was up 38.6% on a year-over-year basis. During the same quarter in the previous year, the company earned $0.30 EPS. Equities analysts anticipate that AppLovin Co. will post 4.06 EPS for the current fiscal year.

Insider Activity at AppLovin

In other news, insider Victoria Valenzuela sold 15,971 shares of the business’s stock in a transaction dated Thursday, December 19th. The stock was sold at an average price of $313.07, for a total transaction of $5,000,040.97. Following the sale, the insider now owns 372,205 shares in the company, valued at approximately $116,526,219.35. The trade was a 4.11 % decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CMO Katie Kihorany Jansen sold 59,876 shares of AppLovin stock in a transaction dated Tuesday, November 12th. The stock was sold at an average price of $286.14, for a total value of $17,132,918.64. Following the sale, the chief marketing officer now directly owns 1,017,388 shares of the company’s stock, valued at approximately $291,115,402.32. This represents a 5.56 % decrease in their position. The disclosure for this sale can be found here. In the last ninety days, insiders have sold 888,867 shares of company stock worth $284,773,062. Insiders own 14.69% of the company’s stock.

Institutional Investors Weigh In On AppLovin

Hedge funds and other institutional investors have recently added to or reduced their stakes in the stock. Capital Performance Advisors LLP acquired a new position in AppLovin during the third quarter worth $25,000. DT Investment Partners LLC acquired a new stake in shares of AppLovin in the 3rd quarter worth $27,000. Meeder Asset Management Inc. purchased a new stake in shares of AppLovin in the 3rd quarter valued at approximately $27,000. Raleigh Capital Management Inc. purchased a new position in AppLovin in the third quarter worth approximately $29,000. Finally, Quest Partners LLC purchased a new stake in AppLovin in the second quarter valued at $33,000. 41.85% of the stock is owned by institutional investors and hedge funds.

AppLovin Company Profile

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.