Piper Sandler Reiterates Overweight Rating for AppLovin (NASDAQ:APP)

AppLovin (NASDAQ:APP)‘s stock had its “overweight” rating reissued by research analysts at Piper Sandler in a research report issued to clients and investors on Thursday,Benzinga reports. They presently have a $650.00 price objective on the stock, down from their previous price objective of $800.00. Piper Sandler’s price target would suggest a potential upside of 74.90% from the company’s current price.

APP has been the topic of several other reports. Wells Fargo & Company decreased their target price on shares of AppLovin from $735.00 to $543.00 and set an “overweight” rating on the stock in a report on Thursday. Deutsche Bank Aktiengesellschaft set a $705.00 price objective on shares of AppLovin and gave the company a “buy” rating in a research note on Wednesday, October 22nd. The Goldman Sachs Group set a $585.00 target price on AppLovin and gave the company a “neutral” rating in a report on Thursday. Wedbush boosted their price target on AppLovin from $465.00 to $640.00 and gave the stock an “outperform” rating in a report on Thursday. Finally, Benchmark reiterated a “buy” rating on shares of AppLovin in a research report on Monday, February 2nd. One equities research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, three have given a Hold rating and one has given a Sell rating to the stock. According to data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus price target of $659.05.

AppLovin Stock Performance

AppLovin stock traded down $85.17 during midday trading on Thursday, hitting $371.64. The company’s stock had a trading volume of 7,773,597 shares, compared to its average volume of 6,516,784. The company has a debt-to-equity ratio of 2.38, a current ratio of 3.25 and a quick ratio of 3.25. The company has a market cap of $125.59 billion, a price-to-earnings ratio of 45.25, a PEG ratio of 1.56 and a beta of 2.49. AppLovin has a 1-year low of $200.50 and a 1-year high of $745.61. The company has a 50-day moving average price of $608.86 and a two-hundred day moving average price of $571.60.

AppLovin (NASDAQ:APP) last announced its earnings results on Wednesday, February 11th. The company reported $3.24 EPS for the quarter, topping the consensus estimate of $2.89 by $0.35. The company had revenue of $1.66 billion for the quarter, compared to analysts’ expectations of $1.61 billion. AppLovin had a net margin of 51.27% and a return on equity of 258.49%. The business’s revenue for the quarter was up 66.0% on a year-over-year basis. During the same period last year, the firm earned $1.73 earnings per share. As a group, sell-side analysts predict that AppLovin will post 6.87 earnings per share for the current year.

Insiders Place Their Bets

In related news, insider Victoria Valenzuela sold 7,609 shares of the company’s stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $657.13, for a total value of $5,000,102.17. Following the sale, the insider directly owned 277,110 shares in the company, valued at $182,097,294.30. This represents a 2.67% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this hyperlink. Also, CEO Arash Adam Foroughi sold 30,888 shares of the firm’s stock in a transaction that occurred on Friday, November 21st. The stock was sold at an average price of $520.29, for a total transaction of $16,070,717.52. Following the transaction, the chief executive officer owned 2,553,161 shares of the company’s stock, valued at approximately $1,328,384,136.69. The trade was a 1.20% decrease in their position. The SEC filing for this sale provides additional information. In the last three months, insiders have sold 187,786 shares of company stock valued at $100,914,925. 13.66% of the stock is currently owned by company insiders.

Hedge Funds Weigh In On AppLovin

Several hedge funds and other institutional investors have recently bought and sold shares of the company. Moneta Group Investment Advisors LLC raised its position in shares of AppLovin by 7.2% in the 4th quarter. Moneta Group Investment Advisors LLC now owns 5,101 shares of the company’s stock worth $3,437,000 after acquiring an additional 341 shares in the last quarter. Brown Brothers Harriman & Co. boosted its holdings in shares of AppLovin by 326.4% during the 4th quarter. Brown Brothers Harriman & Co. now owns 1,842 shares of the company’s stock worth $1,241,000 after buying an additional 1,410 shares in the last quarter. Marsico Capital Management LLC lifted its position in shares of AppLovin by 5.9% during the 4th quarter. Marsico Capital Management LLC now owns 175,938 shares of the company’s stock valued at $118,551,000 after acquiring an additional 9,783 shares during the period. Andina Capital Management LLC grew its holdings in AppLovin by 4.9% in the fourth quarter. Andina Capital Management LLC now owns 817 shares of the company’s stock worth $551,000 after purchasing an additional 38 shares during the period. Finally, DJE Kapital AG acquired a new stake in AppLovin in the fourth quarter worth $688,000. Institutional investors and hedge funds own 41.85% of the company’s stock.

Trending Headlines about AppLovin

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: Q4 earnings beat — AppLovin reported $3.24 EPS vs. $2.89 expected and revenue of $1.66B (up 66% YoY), showing strong profitability and margin expansion. BusinessWire: Q4 Results
• Positive Sentiment: Q1 guidance tops street — AppLovin issued revenue guidance of about $1.7B–$1.8B for Q1, above the ~ $1.6B consensus, which is constructive for near-term top-line visibility. Earnings Release / Guidance
• Positive Sentiment: Analyst backing remains — Needham reaffirmed a “buy” rating with a $700 target, signaling continued analyst confidence in AppLovin’s long-term growth thesis. Benzinga: Needham Rating
• Neutral Sentiment: Mixed analyst positioning — BTIG trimmed its price target from $771 to $640 but kept a buy rating; that narrows upside expectations even as the stock remains a buy for some firms. The Fly: BTIG PT Cut
• Neutral Sentiment: Management tone — CEO downplayed AI-related risks on the call, an attempt to reassure investors about the company’s strategic positioning in AI-driven ad products. MSN: CEO Comments
• Negative Sentiment: Market reaction: sell-the-news / demand worries — Despite beats, several outlets and traders flagged softer-than-expected advertising demand, heightened competition and questions about sustainable growth; that commentary drove a post-earnings pullback. Reuters: Revenue / Competition Concerns
• Negative Sentiment: Coverage and sentiment noise — Multiple headlines (Investopedia, MarketWatch, Seeking Alpha) emphasise the stock slide and investor disappointment post-earnings, which can amplify volatility and short-term selling pressure. Investopedia: Market Headlines

About AppLovin

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.