AppLovin (NASDAQ:APP) Shares Up 7.2% – Here’s What Happened

AppLovin Corporation (NASDAQ:APP) rose 7.2% during mid-day trading on Wednesday . The stock traded as high as $427.18 and last traded at $421.5970. Approximately 5,546,747 shares traded hands during trading, a decline of 19% from the average daily volume of 6,889,060 shares. The stock had previously closed at $393.22.

Analyst Ratings Changes

Several brokerages have weighed in on APP. Jefferies Financial Group cut their target price on AppLovin from $860.00 to $700.00 and set a “buy” rating on the stock in a research note on Thursday, February 12th. Needham & Company LLC restated a “buy” rating and set a $700.00 price objective on shares of AppLovin in a research note on Thursday, February 12th. Piper Sandler reiterated an “overweight” rating and issued a $650.00 target price (down from $800.00) on shares of AppLovin in a research report on Thursday, February 12th. Scotiabank boosted their price target on shares of AppLovin from $750.00 to $775.00 and gave the stock an “outperform” rating in a research report on Thursday, February 12th. Finally, The Goldman Sachs Group reduced their price target on shares of AppLovin from $710.00 to $585.00 and set a “neutral” rating for the company in a research note on Thursday, February 12th. Twenty-one research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $651.77.

AppLovin Price Performance

The company has a debt-to-equity ratio of 1.65, a quick ratio of 3.32 and a current ratio of 3.32. The company’s 50 day moving average price is $554.89 and its 200-day moving average price is $572.90. The company has a market cap of $142.48 billion, a price-to-earnings ratio of 43.24, a PEG ratio of 0.78 and a beta of 2.49.

AppLovin (NASDAQ:APP) last issued its earnings results on Wednesday, February 11th. The company reported $3.24 earnings per share for the quarter, topping analysts’ consensus estimates of $2.89 by $0.35. The firm had revenue of $1.66 billion during the quarter, compared to analysts’ expectations of $1.61 billion. AppLovin had a net margin of 57.42% and a return on equity of 245.64%. The firm’s revenue for the quarter was up 66.0% compared to the same quarter last year. During the same period last year, the firm posted $1.73 earnings per share. On average, equities research analysts forecast that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

Insiders Place Their Bets

In other news, Director Dawson Alyssa Harvey sold 150 shares of the business’s stock in a transaction on Monday, December 8th. The stock was sold at an average price of $693.32, for a total transaction of $103,998.00. Following the sale, the director directly owned 2,829 shares of the company’s stock, valued at $1,961,402.28. The trade was a 5.04% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, insider Victoria Valenzuela sold 7,609 shares of the company’s stock in a transaction on Thursday, December 18th. The shares were 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 of the company’s stock, valued at approximately $182,097,294.30. This represents a 2.67% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders own 13.66% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently bought and sold shares of the business. Washington Trust Advisors Inc. increased its holdings in shares of AppLovin by 160.0% in the 4th quarter. Washington Trust Advisors Inc. now owns 39 shares of the company’s stock valued at $27,000 after purchasing an additional 24 shares during the period. Chilton Capital Management LLC purchased a new position in AppLovin during the third quarter valued at approximately $29,000. Board of the Pension Protection Fund acquired a new position in AppLovin in the 4th quarter valued at approximately $27,000. Mcguire Capital Advisors Inc. purchased a new stake in AppLovin in the 4th quarter worth approximately $27,000. Finally, Activest Wealth Management boosted its stake in shares of AppLovin by 760.0% during the 3rd quarter. Activest Wealth Management now owns 43 shares of the company’s stock valued at $31,000 after buying an additional 38 shares during the period. 41.85% of the stock is owned by institutional investors and hedge funds.

AppLovin Company 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.