AppFolio (NASDAQ:APPF) Announces Earnings Results

Key Points

• AppFolio reported an earnings per share (EPS) of $1.38 for the latest quarter, exceeding analysts' expectations by $0.11, and achieved a revenue of $235.58 million, above the forecast of $230.10 million.
• The company has updated its fiscal year 2025 guidance and saw a 19.4% year-over-year increase in revenue compared to the same quarter last year.
• Analysts have raised their price targets for AppFolio, with Piper Sandler upgrading the rating to "overweight" and setting a new target price of $350.00, indicating strong market optimism.

AppFolio (NASDAQ:APPF - Get Free Report) posted its earnings results on Thursday. The software maker reported $1.38 EPS for the quarter, beating analysts' consensus estimates of $1.27 by $0.11, Briefing.com reports. AppFolio had a net margin of 23.54% and a return on equity of 26.19%. The company had revenue of $235.58 million for the quarter, compared to analysts' expectations of $230.10 million. During the same quarter in the prior year, the company posted $1.12 earnings per share. AppFolio's revenue for the quarter was up 19.4% compared to the same quarter last year. AppFolio updated its FY 2025 guidance to EPS.

AppFolio Price Performance

Shares of NASDAQ APPF opened at $319.15 on Friday. The stock has a fifty day moving average price of $235.88 and a 200 day moving average price of $226.83. AppFolio has a 1-year low of $189.01 and a 1-year high of $320.36. The company has a market cap of $11.50 billion, a PE ratio of 57.61 and a beta of 0.95.

Analyst Ratings Changes

Several analysts have recently issued reports on the stock. Keefe, Bruyette & Woods raised shares of AppFolio from an "underperform" rating to a "market perform" rating and increased their price target for the stock from $205.00 to $267.00 in a research report on Thursday. Piper Sandler raised shares of AppFolio from a "neutral" rating to an "overweight" rating and increased their price target for the stock from $240.00 to $350.00 in a research report on Friday. Finally, DA Davidson restated a "buy" rating and set a $350.00 target price on shares of AppFolio in a research note on Friday. Three analysts have rated the stock with a hold rating and four have given a buy rating to the stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $303.00.

Insider Activity

In related news, CFO Timothy Mathias Eaton sold 1,057 shares of the stock in a transaction on Friday, May 16th. The stock was sold at an average price of $221.13, for a total transaction of $233,734.41. Following the completion of the sale, the chief financial officer directly owned 7,176 shares of the company's stock, valued at $1,586,828.88. This trade represents a 12.84% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Elizabeth Erin Barat sold 4,682 shares of the stock in a transaction on Wednesday, June 11th. The stock was sold at an average price of $227.79, for a total value of $1,066,512.78. Following the sale, the insider directly owned 17,926 shares of the company's stock, valued at approximately $4,083,363.54. This represents a 20.71% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last quarter, insiders acquired 18,500 shares of company stock valued at $4,024,220 and sold 14,639 shares valued at $3,433,222. Company insiders own 4.68% of the company's stock.

Institutional Investors Weigh In On AppFolio

A number of hedge funds and other institutional investors have recently bought and sold shares of the business. Woodline Partners LP lifted its holdings in AppFolio by 2.9% in the first quarter. Woodline Partners LP now owns 1,754 shares of the software maker's stock valued at $386,000 after acquiring an additional 50 shares during the period. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. increased its position in shares of AppFolio by 23.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 384 shares of the software maker's stock valued at $84,000 after buying an additional 73 shares in the last quarter. Jones Financial Companies Lllp increased its position in shares of AppFolio by 164.8% in the first quarter. Jones Financial Companies Lllp now owns 654 shares of the software maker's stock valued at $144,000 after buying an additional 407 shares in the last quarter. Royal Bank of Canada increased its position in shares of AppFolio by 22.6% in the first quarter. Royal Bank of Canada now owns 45,452 shares of the software maker's stock valued at $9,993,000 after buying an additional 8,367 shares in the last quarter. Finally, Millennium Management LLC increased its position in shares of AppFolio by 237.7% in the first quarter. Millennium Management LLC now owns 18,055 shares of the software maker's stock valued at $3,970,000 after buying an additional 12,709 shares in the last quarter. Institutional investors and hedge funds own 85.19% of the company's stock.

About AppFolio

AppFolio, Inc, together with its subsidiaries, provides cloud business management solutions for the real estate industry in the United States. The company provides a cloud-based platform that enables users to automate and optimize common workflows; tools that assist with leasing, maintenance, and accounting; and other technology and services offered by third parties.

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