AppLovin (NASDAQ:APP) Trading 3.3% Higher – Still a Buy?

AppLovin Corporation (NASDAQ:APP) rose 3.3% during trading on Tuesday . The company traded as high as $398.11 and last traded at $393.22. Approximately 4,884,145 shares traded hands during trading, a decline of 29% from the average daily volume of 6,918,043 shares. The stock had previously closed at $380.62.

Wall Street Analysts Forecast Growth

A number of analysts have recently issued reports on the stock. Wedbush increased their price target on shares of AppLovin from $465.00 to $640.00 and gave the stock an “outperform” rating in a research report on Thursday, February 12th. Piper Sandler reiterated an “overweight” rating and issued a $650.00 price objective (down from $800.00) on shares of AppLovin in a research note on Thursday, February 12th. Citigroup cut their target price on shares of AppLovin from $820.00 to $710.00 and set a “buy” rating for the company in a research report on Thursday, February 12th. Jefferies Financial Group decreased their target price on shares of AppLovin from $860.00 to $700.00 and set a “buy” rating for the company in a research note on Thursday, February 12th. Finally, Zacks Research downgraded shares of AppLovin from a “strong-buy” rating to a “hold” rating in a research note on Thursday, February 12th. Twenty-one investment analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat, the company currently has a consensus rating of “Moderate Buy” and a consensus price target of $651.77.

AppLovin Trading Up 3.3%

The company’s fifty day moving average is $560.57 and its 200-day moving average is $573.34. The company has a current ratio of 3.32, a quick ratio of 3.32 and a debt-to-equity ratio of 1.65. The firm has a market capitalization of $132.89 billion, a P/E ratio of 40.33, a P/E/G ratio of 0.86 and a beta of 2.49.

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. AppLovin had a net margin of 57.42% and a return on equity of 245.64%. The firm had revenue of $1.66 billion for the quarter, compared to the consensus estimate of $1.61 billion. During the same quarter last year, the firm posted $1.73 EPS. The business’s quarterly revenue was up 66.0% on a year-over-year basis. As a group, sell-side analysts anticipate that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

Insider Activity

In related news, insider Victoria Valenzuela sold 7,609 shares of the stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $657.13, for a total transaction of $5,000,102.17. Following the completion of the sale, the insider owned 277,110 shares in the company, valued at $182,097,294.30. This represents a 2.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, Director Dawson Alyssa Harvey sold 150 shares of the firm’s stock in a transaction that occurred on Monday, December 8th. The shares were sold at an average price of $693.32, for a total value of $103,998.00. Following the completion of the sale, the director directly owned 2,829 shares in the company, valued at $1,961,402.28. This trade represents a 5.04% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. 13.66% of the stock is currently owned by insiders.

Hedge Funds Weigh In On AppLovin

Institutional investors and hedge funds have recently bought and sold shares of the stock. Vanguard Group Inc. grew its position in AppLovin by 0.7% in the 4th quarter. Vanguard Group Inc. now owns 25,120,575 shares of the company’s stock worth $16,926,746,000 after purchasing an additional 166,117 shares during the last quarter. State Street Corp lifted its stake in shares of AppLovin by 0.4% in the fourth quarter. State Street Corp now owns 11,904,843 shares of the company’s stock valued at $8,021,721,000 after buying an additional 52,377 shares during the period. Geode Capital Management LLC grew its position in AppLovin by 6.7% during the fourth quarter. Geode Capital Management LLC now owns 7,167,003 shares of the company’s stock worth $4,817,269,000 after buying an additional 448,005 shares in the last quarter. Price T Rowe Associates Inc. MD increased its stake in AppLovin by 3.6% during the fourth quarter. Price T Rowe Associates Inc. MD now owns 6,089,735 shares of the company’s stock valued at $4,103,386,000 after acquiring an additional 212,349 shares during the period. Finally, Morgan Stanley raised its holdings in AppLovin by 10.7% in the 4th quarter. Morgan Stanley now owns 5,561,646 shares of the company’s stock valued at $3,747,551,000 after acquiring an additional 538,806 shares in the last quarter. Institutional investors own 41.85% of the company’s stock.

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.