AppFolio (NASDAQ:APPF) Trading Down 5.3% – Here’s What Happened

AppFolio, Inc. (NASDAQ:APPF)’s stock price dropped 5.3% during trading on Tuesday . The stock traded as low as $168.89 and last traded at $169.5850. 80,103 shares were traded during trading, a decline of 79% from the average session volume of 382,148 shares. The stock had previously closed at $179.09.

Analysts Set New Price Targets

Several analysts have recently weighed in on APPF shares. Weiss Ratings downgraded AppFolio from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday, June 11th. UBS Group set a $210.00 price target on shares of AppFolio in a research note on Friday, April 24th. Piper Sandler decreased their target price on shares of AppFolio from $245.00 to $210.00 and set an “overweight” rating for the company in a research note on Friday, April 24th. KeyCorp reiterated an “overweight” rating on shares of AppFolio in a research note on Monday, July 6th. Finally, Guggenheim assumed coverage on shares of AppFolio in a research note on Wednesday. They issued a “buy” rating on the stock. Ten investment analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the company’s stock. According to MarketBeat, AppFolio currently has an average rating of “Moderate Buy” and an average target price of $249.75.

AppFolio Stock Down 3.4%

The company has a market cap of $5.74 billion, a price-to-earnings ratio of 38.62 and a beta of 0.79. The company has a fifty day simple moving average of $164.22 and a two-hundred day simple moving average of $174.44.

AppFolio (NASDAQ:APPF) last released its quarterly earnings results on Thursday, April 23rd. The software maker reported $1.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.47 by $0.14. AppFolio had a return on equity of 32.35% and a net margin of 15.27%.The business had revenue of $262.21 million during the quarter, compared to the consensus estimate of $258.13 million. During the same quarter in the previous year, the company posted $1.21 EPS. The business’s revenue was up 20.7% on a year-over-year basis. On average, research analysts predict that AppFolio, Inc. will post 5.04 EPS for the current year.

Insider Activity

In other news, CEO William Shane Trigg sold 3,584 shares of the stock in a transaction that occurred on Friday, May 15th. The shares were sold at an average price of $152.50, for a total value of $546,560.00. Following the sale, the chief executive officer directly owned 76,547 shares in the company, valued at $11,673,417.50. This represents a 4.47% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, insider Elizabeth Erin Barat sold 1,978 shares of the stock in a transaction that occurred on Tuesday, May 12th. The shares were sold at an average price of $158.12, for a total transaction of $312,761.36. Following the completion of the sale, the insider owned 21,545 shares in the company, valued at $3,406,695.40. This represents a 8.41% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Insiders sold a total of 30,657 shares of company stock worth $5,310,740 in the last three months. Company insiders own 1.57% of the company’s stock.

Institutional Investors Weigh In On AppFolio

A number of large investors have recently bought and sold shares of the stock. EverSource Wealth Advisors LLC raised its holdings in shares of AppFolio by 101.8% in the fourth quarter. EverSource Wealth Advisors LLC now owns 111 shares of the software maker’s stock worth $26,000 after acquiring an additional 56 shares during the last quarter. Optiver Holding B.V. increased its position in AppFolio by 827.8% during the 1st quarter. Optiver Holding B.V. now owns 167 shares of the software maker’s stock worth $26,000 after purchasing an additional 149 shares in the last quarter. Northwestern Mutual Wealth Management Co. increased its position in AppFolio by 48.8% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 192 shares of the software maker’s stock worth $53,000 after purchasing an additional 63 shares in the last quarter. Advisory Services Network LLC acquired a new position in AppFolio in the 3rd quarter valued at about $55,000. Finally, Employees Retirement System of Texas acquired a new position in AppFolio in the 3rd quarter valued at about $58,000. Institutional investors and hedge funds own 85.19% of the company’s stock.

About AppFolio

AppFolio, Inc is a Santa Barbara–based provider of cloud-based software solutions for the property management and legal industries. Founded in 2006 by former software executives, the company went public on the NASDAQ under the symbol APPF in 2015. Its original offering, AppFolio Property Manager, automates accounting, marketing, leasing, and maintenance functions for residential, commercial, student housing, and community association managers.

In 2019, AppFolio expanded its portfolio with the acquisition of MyCase, a web-based legal practice management platform for small to mid-size law firms.