AppLovin (NASDAQ:APP) Stock Price Down 3.6% – Here’s Why

AppLovin Corporation (NASDAQ:APP) shares traded down 3.6% during trading on Tuesday . The company traded as low as $368.18 and last traded at $376.38. 5,166,641 shares changed hands during trading, a decline of 26% from the average session volume of 6,977,423 shares. The stock had previously closed at $390.55.

Wall Street Analysts Forecast Growth

Several equities research analysts recently issued reports on the company. UBS Group set a $740.00 price objective on AppLovin in a research note on Thursday, February 12th. Weiss Ratings downgraded AppLovin from a “buy (b-)” rating to a “hold (c+)” rating in a research report on Thursday, January 15th. BTIG Research cut their price objective on AppLovin from $771.00 to $640.00 and set a “buy” rating for the company in a report on Thursday, February 12th. Needham & Company LLC reaffirmed a “buy” rating and issued a $700.00 target price on shares of AppLovin in a research note on Thursday, February 12th. Finally, Zacks Research lowered shares of AppLovin from a “strong-buy” rating to a “hold” rating in a research report on Thursday, February 12th. Twenty investment analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has assigned a Sell rating to the company. According to MarketBeat, the stock currently has a consensus rating of “Moderate Buy” and an average target price of $651.77.

AppLovin Price Performance

The firm has a fifty day moving average of $590.55 and a two-hundred day moving average of $573.26. The company has a current ratio of 3.32, a quick ratio of 3.25 and a debt-to-equity ratio of 1.65. The company has a market capitalization of $127.20 billion, a PE ratio of 40.60, a PEG ratio of 1.25 and a beta of 2.49.

AppLovin (NASDAQ:APP) last released its quarterly earnings data on Wednesday, February 11th. The company reported $3.24 earnings per share for the quarter, beating analysts’ consensus estimates of $2.89 by $0.35. AppLovin had a return on equity of 245.64% and a net margin of 57.42%.The firm had revenue of $1.66 billion during the quarter, compared to analyst estimates of $1.61 billion. During the same quarter in the prior year, the firm posted $1.73 earnings per share. The business’s quarterly revenue was up 66.0% compared to the same quarter last year. Research analysts anticipate that AppLovin Corporation will post 6.87 EPS for the current fiscal year.

Insider Buying and Selling at AppLovin

In other news, insider Victoria Valenzuela sold 7,609 shares of the stock in a transaction dated Thursday, December 18th. The shares were 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 directly owned 277,110 shares in the company, valued at approximately $182,097,294.30. This represents a 2.67% 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, CEO Arash Adam Foroughi sold 30,888 shares of the business’s stock in a transaction dated Friday, November 21st. The shares were sold at an average price of $520.29, for a total value of $16,070,717.52. Following the transaction, the chief executive officer owned 2,553,161 shares in the company, valued at approximately $1,328,384,136.69. This represents a 1.20% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Over the last quarter, insiders have sold 187,786 shares of company stock worth $100,914,925. 13.66% of the stock is currently owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently made changes to their positions in APP. Revolve Wealth Partners LLC bought a new position in AppLovin in the fourth quarter worth $294,000. Bison Wealth LLC bought a new position in shares of AppLovin in the 4th quarter worth about $239,000. Integrated Wealth Concepts LLC lifted its position in AppLovin by 58.0% during the 1st quarter. Integrated Wealth Concepts LLC now owns 1,692 shares of the company’s stock valued at $448,000 after acquiring an additional 621 shares during the period. Harbour Investments Inc. boosted its stake in AppLovin by 29.1% during the second quarter. Harbour Investments Inc. now owns 182 shares of the company’s stock worth $64,000 after acquiring an additional 41 shares in the last quarter. Finally, Mutual Advisors LLC bought a new stake in AppLovin during the second quarter worth about $422,000. 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.