AppLovin (NASDAQ:APP) Stock Price Down 6.3% – Here’s What Happened

AppLovin Corporation (NASDAQ:APP) traded down 6.3% during trading on Friday . The company traded as low as $559.82 and last traded at $568.76. 8,528,184 shares traded hands during mid-day trading, an increase of 78% from the average session volume of 4,795,649 shares. The stock had previously closed at $606.99.

Wall Street Analysts Forecast Growth

Several research firms have issued reports on APP. Phillip Securities raised shares of AppLovin to a “moderate buy” rating in a research report on Monday, September 29th. Deutsche Bank Aktiengesellschaft set a $705.00 price objective on AppLovin and gave the stock a “buy” rating in a research note on Wednesday, October 22nd. UBS Group set a $800.00 price target on AppLovin in a research note on Tuesday. Jefferies Financial Group upped their price objective on shares of AppLovin from $800.00 to $860.00 and gave the stock a “buy” rating in a research note on Thursday, December 11th. Finally, Scotiabank raised their target price on shares of AppLovin from $575.00 to $750.00 and gave the company an “outperform” rating in a research report on Thursday, November 6th. One investment analyst has rated the stock with a Strong Buy rating, nineteen have issued a Buy rating, four have issued a Hold rating and one has issued a Sell rating to the company’s stock. Based on data from MarketBeat, the company has a consensus rating of “Moderate Buy” and a consensus target price of $706.76.

AppLovin Stock Performance

The business has a 50-day moving average of $640.45 and a two-hundred day moving average of $550.77. The company has a debt-to-equity ratio of 2.38, a current ratio of 3.25 and a quick ratio of 3.25. The company has a market cap of $192.22 billion, a P/E ratio of 69.02, a P/E/G ratio of 2.04 and a beta of 2.50.

AppLovin (NASDAQ:APP) last released its quarterly earnings results on Wednesday, November 5th. The company reported $2.45 EPS for the quarter, beating the consensus estimate of $2.34 by $0.11. AppLovin had a net margin of 51.27% and a return on equity of 258.49%. The business had revenue of $1.41 billion during the quarter, compared to analyst estimates of $1.34 billion. During the same period in the prior year, the firm posted $1.29 earnings per share. The company’s quarterly revenue was up 68.2% on a year-over-year basis. On average, sell-side analysts predict that AppLovin Corporation will post 6.87 EPS for the current fiscal year.

Insiders Place Their Bets

In related news, CEO Arash Adam Foroughi sold 30,888 shares of the business’s stock in a transaction on Friday, November 21st. The stock was sold at an average price of $520.29, for a total transaction of $16,070,717.52. Following the transaction, the chief executive officer directly owned 2,553,161 shares in the company, valued at $1,328,384,136.69. The trade was a 1.20% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. Also, CTO Vasily Shikin sold 27,143 shares of the company’s stock in a transaction dated Monday, November 24th. The shares were sold at an average price of $545.38, for a total value of $14,803,249.34. Following the transaction, the chief technology officer directly owned 3,323,681 shares in the company, valued at $1,812,669,143.78. This represents a 0.81% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders have sold 340,336 shares of company stock valued at $200,062,623. 13.66% of the stock is currently owned by insiders.

Institutional Investors Weigh In On AppLovin

A number of large investors have recently modified their holdings of the business. Hilltop National Bank acquired a new stake in AppLovin in the 2nd quarter worth approximately $26,000. LFA Lugano Financial Advisors SA acquired a new stake in shares of AppLovin during the second quarter worth $26,000. Board of the Pension Protection Fund purchased a new stake in shares of AppLovin during the fourth quarter valued at $27,000. Chilton Capital Management LLC acquired a new position in shares of AppLovin in the 3rd quarter valued at $29,000. Finally, Activest Wealth Management increased its position in shares of AppLovin by 760.0% in the 3rd quarter. Activest Wealth Management now owns 43 shares of the company’s stock valued at $31,000 after acquiring an additional 38 shares during the period. Hedge funds and other institutional investors own 41.85% of the company’s stock.

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.