AppLovin (NASDAQ:APP) Shares Down 3.7% – Time to Sell?

Shares of AppLovin Co. (NASDAQ:APP) were down 3.7% on Wednesday . The stock traded as low as $317.50 and last traded at $317.50. Approximately 313,729 shares traded hands during trading, a decline of 93% from the average daily volume of 4,449,475 shares. The stock had previously closed at $329.77.

Analysts Set New Price Targets

A number of research firms have issued reports on APP. JPMorgan Chase & Co. lifted their target price on AppLovin from $160.00 to $200.00 and gave the company a “neutral” rating in a research report on Thursday, November 7th. Needham & Company LLC reaffirmed a “hold” rating on shares of AppLovin in a report on Thursday, November 7th. Oppenheimer increased their price objective on shares of AppLovin from $260.00 to $480.00 and gave the company an “outperform” rating in a research note on Monday. Jefferies Financial Group boosted their target price on shares of AppLovin from $270.00 to $400.00 and gave the stock a “buy” rating in a research note on Tuesday. Finally, Daiwa America upgraded AppLovin from a “hold” rating to a “strong-buy” rating in a research note on Friday, November 8th. One equities research analyst has rated the stock with a sell rating, four have assigned a hold rating, fourteen have assigned a buy rating and one has issued a strong buy rating to the stock. According to data from MarketBeat, AppLovin has a consensus rating of “Moderate Buy” and an average target price of $265.57.

AppLovin Price Performance

The company has a current ratio of 2.41, a quick ratio of 2.41 and a debt-to-equity ratio of 3.70. The business’s 50-day simple moving average is $193.60 and its two-hundred day simple moving average is $122.53. The firm has a market cap of $110.26 billion, a price-to-earnings ratio of 99.56, a P/E/G ratio of 3.94 and a beta of 1.86.

AppLovin (NASDAQ:APP) last posted its quarterly earnings data on Wednesday, November 6th. The company reported $1.25 earnings per share for the quarter, topping the consensus estimate of $0.92 by $0.33. The company had revenue of $1.20 billion during the quarter, compared to analysts’ expectations of $1.13 billion. AppLovin had a net margin of 26.85% and a return on equity of 122.24%. AppLovin’s revenue for the quarter was up 38.6% compared to the same quarter last year. During the same period in the prior year, the company posted $0.30 earnings per share. As a group, research analysts expect that AppLovin Co. will post 4.05 EPS for the current fiscal year.

Insider Activity

In other AppLovin news, CTO Vasily Shikin sold 5,500 shares of AppLovin stock in a transaction on Monday, September 9th. The shares were sold at an average price of $86.04, for a total value of $473,220.00. Following the completion of the sale, the chief technology officer now directly owns 4,536,447 shares of the company’s stock, valued at approximately $390,315,899.88. The trade was a 0.12 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CFO Matthew Stumpf sold 21,101 shares of the stock in a transaction dated Friday, November 22nd. The stock was sold at an average price of $332.67, for a total transaction of $7,019,669.67. Following the transaction, the chief financial officer now directly owns 213,336 shares in the company, valued at $70,970,487.12. This trade represents a 9.00 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 854,065 shares of company stock valued at $233,072,408 in the last ninety days. 14.69% of the stock is owned by company insiders.

Hedge Funds Weigh In On AppLovin

Hedge funds have recently added to or reduced their stakes in the stock. Second Half Financial Partners LLC purchased a new position in shares of AppLovin during the third quarter valued at approximately $224,000. Eagle Asset Management Inc. lifted its stake in AppLovin by 2,200.4% during the 3rd quarter. Eagle Asset Management Inc. now owns 523,149 shares of the company’s stock valued at $68,297,000 after acquiring an additional 500,407 shares in the last quarter. WCM Investment Management LLC grew its stake in shares of AppLovin by 10.5% in the 3rd quarter. WCM Investment Management LLC now owns 10,820,409 shares of the company’s stock worth $1,382,307,000 after acquiring an additional 1,029,009 shares in the last quarter. Oppenheimer Asset Management Inc. raised its holdings in shares of AppLovin by 10.0% in the third quarter. Oppenheimer Asset Management Inc. now owns 26,351 shares of the company’s stock valued at $3,440,000 after purchasing an additional 2,385 shares during the last quarter. Finally, Smithbridge Asset Management Inc. DE bought a new position in shares of AppLovin during the third quarter valued at about $7,086,000. Institutional investors and hedge funds 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.