Rheos Capital Works Inc. Acquires Shares of 88,000 AppLovin Corporation $APP

Rheos Capital Works Inc. acquired a new stake in shares of AppLovin Corporation (NASDAQ:APP) in the 3rd quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The institutional investor acquired 88,000 shares of the company’s stock, valued at approximately $63,232,000. AppLovin comprises about 3.5% of Rheos Capital Works Inc.’s portfolio, making the stock its 6th largest holding.

Other large investors also recently modified their holdings of the company. Heartwood Wealth Advisors LLC bought a new position in AppLovin during the 3rd quarter valued at approximately $33,000. Proffitt & Goodson Inc. increased its stake in shares of AppLovin by 65.7% during the third quarter. Proffitt & Goodson Inc. now owns 58 shares of the company’s stock valued at $42,000 after buying an additional 23 shares during the period. Hilltop National Bank bought a new position in shares of AppLovin during the second quarter valued at approximately $26,000. LFA Lugano Financial Advisors SA bought a new position in shares of AppLovin during the second quarter valued at approximately $26,000. Finally, Grove Bank & Trust purchased a new stake in AppLovin in the third quarter worth $58,000. 41.85% of the stock is owned by institutional investors.

Key AppLovin News

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: Analyst and bull case: several pieces note Wall Street optimism and list APP as a top tech pick for the year, supporting the growth narrative and investor interest. Wall Street Bulls Look Optimistic About AppLovin (APP): Should You Buy?
• Positive Sentiment: Growth thesis reiterated: a Zacks feature lays out three reasons APP can outperform — expanding ad monetization, strong revenue growth and operational leverage. These fundamentals underpin higher valuations if execution continues. Looking for a Growth Stock? 3 Reasons Why AppLovin (APP) is a Solid Choice
• Positive Sentiment: Market-theme support: a roundup of S&P 500 picks includes APP among tech names to watch in the year, which can attract benchmark-driven flows. S&P 500 Continues Its Stellar Run to Open New Year: 4 Solid Picks
• Neutral Sentiment: Increased attention: Zacks reports heavy investor searches for APP, signaling elevated interest and potential for higher volume/volatility but not directional proof. Investors Heavily Search AppLovin Corporation (APP): Here is What You Need to Know
• Neutral Sentiment: Macro/market context: broader market-mover coverage (e.g., investing.com note) may have influenced trading flows; APP moves can be amplified by tech/market leadership shifts. Micron and Lam Research among market cap stock movers on Tuesday
• Negative Sentiment: Near-term weakness: a Zacks piece flagged a daily decline for APP (shares sank while the broader market gained), which can trigger stop-losses and short-term selling pressure. AppLovin (APP) Stock Sinks As Market Gains: Here’s Why
• Negative Sentiment: Volatility/risk warnings: Forbes highlights APP’s history of sharp drawdowns (multiple >30% drops), a reminder that elevated valuation and beta can lead to big reversals. Why AppLovin Stock May Be A Risky Pick?
• Negative Sentiment: Fundamental concern: Seeking Alpha argues APP may face diminishing marginal returns, which would pressure future margin expansion assumptions and valuation. AppLovin May Be Facing Diminishing Marginal Returns

Insider Buying and Selling

In other news, Director Dawson Alyssa Harvey sold 150 shares of the stock in a transaction on Monday, December 8th. The stock was sold at an average price of $693.32, for a total value of $103,998.00. Following the sale, the director directly owned 2,829 shares of the company’s stock, valued at approximately $1,961,402.28. This represents a 5.04% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is accessible through this link. Also, CTO Vasily Shikin sold 27,143 shares of the firm’s stock in a transaction on Monday, November 24th. The shares were sold at an average price of $545.38, for a total value of $14,803,249.34. Following the transaction, the chief technology officer owned 3,323,681 shares of the company’s stock, valued at $1,812,669,143.78. The trade was a 0.81% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. Over the last ninety days, insiders sold 340,336 shares of company stock valued at $200,062,623. 13.66% of the stock is owned by insiders.

AppLovin Price Performance

Shares of APP opened at $617.24 on Wednesday. AppLovin Corporation has a fifty-two week low of $200.50 and a fifty-two week high of $745.61. The firm’s 50-day simple moving average is $638.84 and its two-hundred day simple moving average is $539.20. The stock has a market cap of $208.60 billion, a PE ratio of 74.91, a price-to-earnings-growth ratio of 2.09 and a beta of 2.50. The company has a debt-to-equity ratio of 2.38, a quick ratio of 3.25 and a current ratio of 3.25.

AppLovin (NASDAQ:APP) last issued its quarterly earnings results on Wednesday, November 5th. The company reported $2.45 EPS for the quarter, topping analysts’ consensus estimates of $2.34 by $0.11. The firm had revenue of $1.41 billion for the quarter, compared to analysts’ expectations of $1.34 billion. AppLovin had a return on equity of 258.49% and a net margin of 51.27%.The business’s revenue for the quarter was up 68.2% compared to the same quarter last year. During the same period in the previous year, the firm posted $1.29 EPS. Analysts anticipate that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of research analysts have issued reports on the stock. Bank of America boosted their price objective on shares of AppLovin from $580.00 to $860.00 and gave the company a “buy” rating in a research report on Wednesday, October 1st. Phillip Securities upgraded shares of AppLovin to a “moderate buy” rating in a research report on Monday, September 29th. Wells Fargo & Company raised their price objective on shares of AppLovin from $633.00 to $721.00 and gave the stock an “overweight” rating in a report on Friday, November 7th. UBS Group reaffirmed a “buy” rating and set a $775.00 price objective on shares of AppLovin in a research report on Thursday, December 11th. Finally, Citigroup decreased their target price on AppLovin from $850.00 to $820.00 and set a “buy” rating for the company in a research report on Wednesday, November 12th. One equities research analyst has rated the stock with a Strong Buy rating, nineteen have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, the company has an average rating of “Moderate Buy” and an average price target of $695.90.

AppLovin Profile

AppLovin Corporation is a Palo Alto–based mobile technology company that provides software and services to help app developers grow and monetize their businesses. The company operates a data-driven advertising and marketing platform that connects app publishers and advertisers, delivering tools for user acquisition, monetization, analytics and creative optimization. AppLovin’s technology is integrated into a broad set of mobile applications through software development kits (SDKs) and ad products designed to maximize revenue and engagement for developers.

Key components of AppLovin’s offering include an ad mediation and exchange platform that enables publishers to manage and monetize inventory across multiple demand sources, and a user-acquisition platform that helps advertisers target and scale campaigns.