AppLovin (NASDAQ:APP) Trading Down 1.8% – Here’s Why

AppLovin Corporation (NASDAQ:APP) shares dropped 1.8% during trading on Monday . The stock traded as low as $306.25 and last traded at $312.06. Approximately 5,029,759 shares changed hands during trading, a decline of 12% from the average session volume of 5,722,188 shares. The stock had previously closed at $317.76.

Analysts Set New Price Targets

Several research analysts recently weighed in on the stock. JPMorgan Chase & Co. boosted their price objective on shares of AppLovin from $500.00 to $515.00 and gave the stock a “neutral” rating in a research report on Thursday, May 7th. UBS Group lowered their target price on AppLovin from $798.00 to $790.00 and set a “buy” rating for the company in a research note on Thursday, August 6th. Morgan Stanley cut their price target on AppLovin from $720.00 to $650.00 and set an “overweight” rating on the stock in a research note on Thursday, August 6th. Scotiabank reiterated a “sector outperform” rating and issued a $515.00 price target on shares of AppLovin in a report on Thursday, August 6th. Finally, Phillip Securities upgraded AppLovin from a “moderate buy” rating to a “strong-buy” rating in a research report on Tuesday, August 11th. Three equities research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have given a Hold rating to the company. According to MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average price target of $552.74.

AppLovin Trading Down 1.8%

The company has a market capitalization of $104.43 billion, a P/E ratio of 23.99, a PEG ratio of 0.64 and a beta of 2.54. The business has a 50 day moving average price of $409.53 and a 200 day moving average price of $444.16. The company has a current ratio of 4.30, a quick ratio of 4.30 and a debt-to-equity ratio of 1.11.

AppLovin (NASDAQ:APP) last released its quarterly earnings data on Tuesday, August 4th. The company reported $3.76 earnings per share for the quarter, hitting the consensus estimate of $3.76. The business had revenue of $1.92 billion for the quarter, compared to analyst estimates of $1.94 billion. AppLovin had a net margin of 64.58% and a return on equity of 193.10%. AppLovin’s quarterly revenue was up 52.8% compared to the same quarter last year. During the same quarter last year, the firm earned $2.39 EPS. Analysts anticipate that AppLovin Corporation will post 15.53 EPS for the current year.

Insider Activity

In other news, insider Victoria Valenzuela sold 20,000 shares of AppLovin stock in a transaction on Thursday, June 4th. The shares were sold at an average price of $565.89, for a total transaction of $11,317,800.00. Following the transaction, the insider directly owned 243,961 shares of the company’s stock, valued at $138,055,090.29. This trade represents a 7.58% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Maynard G. Webb, Jr. sold 3,076 shares of the company’s stock in a transaction on Monday, July 6th. The shares were sold at an average price of $521.29, for a total transaction of $1,603,488.04. Following the completion of the sale, the director owned 120,444 shares of the company’s stock, valued at approximately $62,786,252.76. This represents a 2.49% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 294,228 shares of company stock valued at $148,403,985. 12.81% of the stock is owned by company insiders.

Institutional Investors Weigh In On AppLovin

A number of hedge funds have recently modified their holdings of the business. Washington Trust Advisors Inc. increased its stake in AppLovin by 160.0% during the 4th quarter. Washington Trust Advisors Inc. now owns 39 shares of the company’s stock worth $27,000 after purchasing an additional 24 shares in the last quarter. Mcguire Capital Advisors Inc. acquired a new stake in AppLovin during the 4th quarter worth approximately $27,000. Osbon Capital Management LLC bought a new position in AppLovin in the fourth quarter valued at approximately $36,000. Dogwood Wealth Management LLC lifted its stake in AppLovin by 84.4% in the fourth quarter. Dogwood Wealth Management LLC now owns 59 shares of the company’s stock valued at $40,000 after buying an additional 27 shares in the last quarter. Finally, IMA Advisory Services Inc. boosted its holdings in shares of AppLovin by 185.7% in the fourth quarter. IMA Advisory Services Inc. now owns 60 shares of the company’s stock valued at $40,000 after buying an additional 39 shares during the period. Institutional investors and hedge funds 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.