AppFolio (NASDAQ:APPF) Reaches New 12-Month Low - Time to Sell?

Key Points

• AppFolio hit a new 52-week low, trading as low as $154.09 and last around $157, with the 50-day and 200-day SMAs at $183.37 and $221.53, indicating a recent downtrend.
• Despite the pullback, analysts remain largely bullish — the consensus rating is Buy with a consensus price target of $263.86, although several firms have reduced their targets recently.
• The company posted strong quarterly results (EPS $1.39 vs. $1.22 estimate, revenue $248.2M, +21.7% YoY, net margin 14.82%, ROE 29.79%), but the CEO sold ~6,963 shares and insiders now own 4.68% of the stock.

AppFolio, Inc. (NASDAQ:APPF - Get Free Report) shares hit a new 52-week low during trading on Monday . The stock traded as low as $154.09 and last traded at $157.0170, with a volume of 29337 shares. The stock had previously closed at $155.68.

Wall Street Analysts Forecast Growth

A number of research analysts have weighed in on the company. DA Davidson reduced their target price on AppFolio from $325.00 to $275.00 and set a "buy" rating on the stock in a report on Friday, January 30th. Wells Fargo & Company restated a "buy" rating on shares of AppFolio in a research note on Thursday, January 15th. Benchmark started coverage on AppFolio in a research report on Thursday. They set a "buy" rating and a $222.00 price target on the stock. JPMorgan Chase & Co. reduced their price target on AppFolio from $330.00 to $300.00 and set an "overweight" rating on the stock in a research note on Friday, January 30th. Finally, Weiss Ratings lowered AppFolio from a "buy (b-)" rating to a "hold (c+)" rating in a research report on Friday, January 16th. One investment analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and one has issued a Hold rating to the company. According to data from MarketBeat, the stock has a consensus rating of "Buy" and a consensus price target of $263.86.

AppFolio Stock Down 0.4%

The stock's fifty day simple moving average is $183.37 and its two-hundred day simple moving average is $221.53. The firm has a market cap of $5.58 billion, a PE ratio of 39.97 and a beta of 0.75.

AppFolio (NASDAQ:APPF - Get Free Report) last released its earnings results on Thursday, January 29th. The software maker reported $1.39 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.22 by $0.17. The firm had revenue of $248.19 million during the quarter, compared to analyst estimates of $246.56 million. AppFolio had a net margin of 14.82% and a return on equity of 29.79%. The business's revenue was up 21.7% on a year-over-year basis. During the same period last year, the business earned $0.92 earnings per share. On average, equities research analysts anticipate that AppFolio, Inc. will post 3.96 earnings per share for the current fiscal year.

Insider Buying and Selling

In other AppFolio news, CEO William Shane Trigg sold 6,963 shares of the business's stock in a transaction on Tuesday, February 17th. The stock was sold at an average price of $169.73, for a total value of $1,181,829.99. Following the sale, the chief executive officer directly owned 52,920 shares of the company's stock, valued at approximately $8,982,111.60. The trade was a 11.63% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which can be accessed through this link. Company insiders own 4.68% of the company's stock.

Hedge Funds Weigh In On AppFolio

Large investors have recently modified their holdings of the stock. Rockefeller Capital Management L.P. grew its position in AppFolio by 90,272.4% during the 4th quarter. Rockefeller Capital Management L.P. now owns 52,416 shares of the software maker's stock valued at $12,195,000 after purchasing an additional 52,358 shares during the last quarter. Pacer Advisors Inc. raised its holdings in AppFolio by 17.7% in the fourth quarter. Pacer Advisors Inc. now owns 3,566 shares of the software maker's stock worth $830,000 after buying an additional 536 shares during the last quarter. Invesco Ltd. lifted its stake in shares of AppFolio by 5.2% in the fourth quarter. Invesco Ltd. now owns 416,260 shares of the software maker's stock worth $96,843,000 after buying an additional 20,609 shares in the last quarter. Mercer Global Advisors Inc. ADV lifted its stake in shares of AppFolio by 66.7% in the fourth quarter. Mercer Global Advisors Inc. ADV now owns 2,105 shares of the software maker's stock worth $490,000 after buying an additional 842 shares in the last quarter. Finally, Caitlin John LLC purchased a new stake in shares of AppFolio during the fourth quarter valued at approximately $499,000. Hedge funds and other institutional investors own 85.19% of the company's stock.

About AppFolio

AppFolio, Inc is a Santa Barbara–based provider of cloud-based software solutions for the property management and legal industries. Founded in 2006 by former software executives, the company went public on the NASDAQ under the symbol APPF in 2015. Its original offering, AppFolio Property Manager, automates accounting, marketing, leasing, and maintenance functions for residential, commercial, student housing, and community association managers.

In 2019, AppFolio expanded its portfolio with the acquisition of MyCase, a web-based legal practice management platform for small to mid-size law firms.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.