AppLovin Corporation (NASDAQ:APP) Given Consensus Rating of "Moderate Buy" by Analysts

Key Points

• Analysts have assigned AppLovin Corporation (NASDAQ:APP) an average rating of "Moderate Buy", with 16 buy ratings and 3 strong buy ratings from a total of 23 research firms.
• AppLovin's recent earnings report showed a EPS of $2.39, exceeding estimates, and a revenue increase of 77.1% year-over-year, despite falling short of revenue expectations.
• Recent insider selling includes significant stock sales by both the CTO and CEO, with insiders collectively selling over 1.2 million shares valued at approximately $455 million in the last 90 days.

Shares of AppLovin Corporation (NASDAQ:APP - Get Free Report) have been assigned an average rating of "Moderate Buy" from the twenty-three research firms that are covering the company, MarketBeat Ratings reports. One analyst has rated the stock with a sell rating, three have given a hold rating, sixteen have issued a buy rating and three have assigned a strong buy rating to the company. The average 12 month price objective among analysts that have issued ratings on the stock in the last year is $447.5714.

A number of equities research analysts recently commented on APP shares. Morgan Stanley increased their price target on AppLovin from $420.00 to $460.00 and gave the company an "overweight" rating in a research report on Monday, June 9th. Scotiabank raised shares of AppLovin to a "strong-buy" rating in a research report on Tuesday, July 8th. Citigroup reaffirmed a "buy" rating on shares of AppLovin in a research report on Thursday, May 29th. The Goldman Sachs Group lifted their target price on shares of AppLovin from $335.00 to $435.00 and gave the stock a "neutral" rating in a research report on Friday, May 9th. Finally, Wells Fargo & Company boosted their target price on AppLovin from $386.00 to $405.00 and gave the stock an "overweight" rating in a research note on Thursday, May 8th.

AppLovin Stock Performance

Shares of APP stock opened at $390.57 on Thursday. The firm has a 50 day moving average of $364.21 and a 200-day moving average of $338.59. The company has a market cap of $132.16 billion, a price-to-earnings ratio of 70.50, a price-to-earnings-growth ratio of 2.25 and a beta of 2.43. The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 6.10. AppLovin has a 52 week low of $66.16 and a 52 week high of $525.15.

AppLovin (NASDAQ:APP - Get Free Report) last issued its earnings results on Wednesday, August 6th. The company reported $2.39 EPS for the quarter, beating analysts' consensus estimates of $2.05 by $0.34. AppLovin had a return on equity of 224.65% and a net margin of 37.38%. The business had revenue of $1.26 billion during the quarter, compared to analyst estimates of $1.37 billion. During the same period in the previous year, the company posted $0.89 EPS. The firm's revenue was up 77.1% compared to the same quarter last year. On average, equities analysts forecast that AppLovin will post 6.87 earnings per share for the current year.

Insider Buying and Selling at AppLovin

In related news, CTO Vasily Shikin sold 34,766 shares of the stock in a transaction on Friday, May 23rd. The stock was sold at an average price of $353.64, for a total transaction of $12,294,648.24. Following the sale, the chief technology officer owned 70,889 shares in the company, valued at approximately $25,069,185.96. This represents a 32.91% decrease in their position. The transaction was disclosed in a filing with the SEC, which is accessible through this hyperlink. Also, CEO Arash Adam Foroughi sold 100,000 shares of the firm's stock in a transaction on Wednesday, May 21st. The stock was sold at an average price of $367.51, for a total value of $36,751,000.00. Following the completion of the sale, the chief executive officer owned 2,760,363 shares of the company's stock, valued at approximately $1,014,461,006.13. This represents a 3.50% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last ninety days, insiders sold 1,212,968 shares of company stock valued at $455,062,980. 13.66% of the stock is owned by company insiders.

Institutional Trading of AppLovin

Institutional investors have recently added to or reduced their stakes in the company. Revolve Wealth Partners LLC purchased a new stake in shares of AppLovin during the fourth quarter valued at $294,000. Wedbush Securities Inc. purchased a new stake in AppLovin in the 4th quarter valued at about $236,000. Quadrant Capital Group LLC grew its stake in AppLovin by 6.7% in the 4th quarter. Quadrant Capital Group LLC now owns 526 shares of the company's stock worth $170,000 after acquiring an additional 33 shares in the last quarter. FIL Ltd increased its position in shares of AppLovin by 172.8% during the fourth quarter. FIL Ltd now owns 159,750 shares of the company's stock worth $51,732,000 after acquiring an additional 101,180 shares during the period. Finally, Bank of Nova Scotia raised its stake in shares of AppLovin by 14.5% during the fourth quarter. Bank of Nova Scotia now owns 4,470 shares of the company's stock valued at $1,448,000 after acquiring an additional 565 shares in the last quarter. Institutional investors own 41.85% of the company's stock.

AppLovin Company Profile

AppLovin Corporation engages in building a software-based platform for advertisers to enhance the marketing and monetization of their content in the United States and internationally. It operates through two segments, Software Platform and Apps. The company's software solutions include AppDiscovery, a marketing software solution, which matches advertiser demand with publisher supply through auctions; MAX, an in-app bidding software that optimizes the value of a publisher's advertising inventory by running a real-time competitive auction; Adjust, a measurement and analytics marketing platform that provides marketers with the visibility, insights, and tools needed to grow their apps from early stage to maturity; and Wurl, a connected TV platform, which distributes streaming video for content companies and provides advertising and publishing solutions through its AdPool, ContentDiscovery, and Global FAST Pass products.

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