AppLovin (NASDAQ:APP) Posts Quarterly Earnings Results, Beats Estimates By $0.10 EPS

AppLovin (NASDAQ:APP) posted its quarterly earnings data on Wednesday. The company reported $0.67 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.57 by $0.10, Briefing.com reports. AppLovin had a net margin of 10.84% and a return on equity of 24.69%. The company had revenue of $1.06 billion for the quarter, compared to the consensus estimate of $973.70 million. During the same quarter last year, the firm posted ($0.01) earnings per share. The firm’s revenue was up 47.9% compared to the same quarter last year. AppLovin updated its Q2 2024 guidance to EPS.

AppLovin Trading Up 18.2 %

Shares of AppLovin stock traded up $13.49 during trading hours on Thursday, reaching $87.49. 8,364,780 shares of the company’s stock were exchanged, compared to its average volume of 4,084,283. The company has a fifty day moving average of $69.60 and a 200-day moving average of $51.97. The company has a current ratio of 1.71, a quick ratio of 1.71 and a debt-to-equity ratio of 2.31. AppLovin has a 52-week low of $17.57 and a 52-week high of $88.50. The firm has a market capitalization of $28.82 billion, a price-to-earnings ratio of 87.87, a price-to-earnings-growth ratio of 1.48 and a beta of 1.85.

Insider Transactions at AppLovin

In related news, insider Victoria Valenzuela sold 50,000 shares of AppLovin stock in a transaction dated Thursday, April 4th. The stock was sold at an average price of $75.01, for a total value of $3,750,500.00. Following the completion of the transaction, the insider now directly owns 471,560 shares in the company, valued at $35,371,715.60. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through the SEC website. In other news, CFO Matthew Stumpf sold 2,775 shares of the firm’s stock in a transaction on Thursday, March 14th. The stock was sold at an average price of $63.30, for a total value of $175,657.50. Following the completion of the sale, the chief financial officer now owns 362,264 shares of the company’s stock, valued at $22,931,311.20. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Also, insider Victoria Valenzuela sold 50,000 shares of the stock in a transaction that occurred on Thursday, April 4th. The stock was sold at an average price of $75.01, for a total transaction of $3,750,500.00. Following the completion of the sale, the insider now owns 471,560 shares of the company’s stock, valued at approximately $35,371,715.60. The disclosure for this sale can be found here. Insiders sold a total of 61,215 shares of company stock worth $4,416,815 in the last ninety days. Insiders own 14.69% of the company’s stock.

Wall Street Analysts Forecast Growth

APP has been the subject of several analyst reports. Oppenheimer increased their target price on shares of AppLovin from $70.00 to $85.00 and gave the stock an “outperform” rating in a report on Monday, April 8th. Jefferies Financial Group initiated coverage on shares of AppLovin in a research report on Thursday, May 2nd. They set a “buy” rating and a $93.00 price objective on the stock. Morgan Stanley upped their target price on shares of AppLovin from $55.00 to $70.00 and gave the stock an “equal weight” rating in a report on Tuesday, April 16th. The Goldman Sachs Group raised their price target on AppLovin from $73.00 to $100.00 and gave the company a “buy” rating in a report on Thursday. Finally, Wedbush lifted their target price on AppLovin from $87.00 to $100.00 and gave the company an “outperform” rating in a research note on Thursday. One analyst has rated the stock with a sell rating, five have given a hold rating and twelve have given a buy rating to the company’s stock. Based on data from MarketBeat.com, the stock currently has an average rating of “Moderate Buy” and a consensus price target of $67.48.

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.