AppLovin (NASDAQ:APP) Trading Up 2% – Still a Buy?

AppLovin Co. (NASDAQ:APP) shares were up 2% on Thursday . The company traded as high as $331.00 and last traded at $319.19. Approximately 1,579,738 shares traded hands during mid-day trading, a decline of 66% from the average daily volume of 4,605,240 shares. The stock had previously closed at $313.07.

Wall Street Analyst Weigh In

A number of equities analysts have recently commented on APP shares. Wells Fargo & Company increased their price target on shares of AppLovin from $250.00 to $360.00 and gave the stock an “overweight” rating in a report on Wednesday, November 20th. BTIG Research increased their price objective on AppLovin from $202.00 to $291.00 and gave the company a “buy” rating in a research report on Thursday, November 7th. The Goldman Sachs Group cut shares of AppLovin from a “buy” rating to a “neutral” rating and lifted their target price for the stock from $103.00 to $150.00 in a research report on Monday, October 14th. Daiwa America upgraded AppLovin from a “hold” rating to a “strong-buy” rating in a research report on Friday, November 8th. Finally, Bank of America increased their target price on shares of AppLovin from $252.00 to $375.00 and gave the stock a “buy” rating in a report on Monday, November 25th. One analyst has rated the stock with a sell rating, four have assigned a hold rating, thirteen have issued a buy rating and one has assigned a strong 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 $310.71.

AppLovin Stock Up 1.7 %

The company has a debt-to-equity ratio of 3.70, a current ratio of 2.41 and a quick ratio of 2.41. The stock’s 50 day simple moving average is $257.36 and its two-hundred day simple moving average is $150.02. The firm has a market cap of $106.88 billion, a P/E ratio of 96.51, a P/E/G ratio of 4.17 and a beta of 2.28.

AppLovin (NASDAQ:APP) last announced its quarterly earnings data on Wednesday, November 6th. The company reported $1.25 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $0.92 by $0.33. The business had revenue of $1.20 billion during the quarter, compared to analysts’ expectations of $1.13 billion. AppLovin had a return on equity of 122.24% and a net margin of 26.85%. The firm’s quarterly revenue was up 38.6% compared to the same quarter last year. During the same quarter in the previous year, the business earned $0.30 earnings per share. As a group, research analysts forecast that AppLovin Co. will post 4.06 earnings per share for the current year.

Insider Activity

In other news, insider Victoria Valenzuela sold 17,925 shares of the firm’s stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $354.15, for a total value of $6,348,138.75. Following the transaction, the insider now owns 405,676 shares of the company’s stock, valued at $143,670,155.40. This trade represents a 4.23 % decrease in their ownership of the stock. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. Also, CEO Arash Adam Foroughi sold 1,676 shares of the firm’s stock in a transaction that occurred on Tuesday, December 10th. The stock was sold at an average price of $356.39, for a total transaction of $597,309.64. Following the sale, the chief executive officer now owns 3,058,635 shares in the company, valued at approximately $1,090,066,927.65. The trade was a 0.05 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 872,896 shares of company stock valued at $279,773,021 in the last 90 days. 14.69% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

Hedge funds have recently bought and sold shares of the company. Capital Performance Advisors LLP bought a new position in AppLovin in the 3rd quarter worth approximately $25,000. DT Investment Partners LLC bought a new position in shares of AppLovin during the third quarter worth $27,000. Meeder Asset Management Inc. purchased a new position in AppLovin during the third quarter valued at $27,000. Raleigh Capital Management Inc. purchased a new position in AppLovin during the third quarter valued at $29,000. Finally, Quest Partners LLC bought a new stake in AppLovin in the 2nd quarter valued at $33,000. Institutional investors own 41.85% of the company’s stock.

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.