AppLovin (NASDAQ:APP) Sets New 1-Year High After Analyst Upgrade

Key Points

• AppLovin shares reached a new 52-week high after UBS Group increased their price target from $540 to $810 and currently maintains a buy rating on the stock.
• Multiple analysts have raised their price targets for AppLovin, with Oppenheimer adjusting it to $740 and Morgan Stanley to $480, reflecting strong potential for the company's performance.
• Insiders have sold over 1.1 million shares of AppLovin in the last ninety days, indicating some fluctuations in ownership amidst a rising stock price.

AppLovin Corporation (NASDAQ:APP - Get Free Report) shares hit a new 52-week high during mid-day trading on Monday after UBS Group raised their price target on the stock from $540.00 to $810.00. UBS Group currently has a buy rating on the stock. AppLovin traded as high as $702.77 and last traded at $710.40, with a volume of 935094 shares changing hands. The stock had previously closed at $669.86.

Other equities research analysts have also issued research reports about the stock. Oppenheimer upped their price objective on shares of AppLovin from $500.00 to $740.00 and gave the company an "outperform" rating in a report on Tuesday, September 23rd. Morgan Stanley upped their price objective on shares of AppLovin from $460.00 to $480.00 and gave the company an "overweight" rating in a report on Thursday, August 7th. Scotiabank reaffirmed an "outperform" rating on shares of AppLovin in a research report on Thursday, August 28th. JPMorgan Chase & Co. upped their target price on shares of AppLovin from $400.00 to $425.00 and gave the company a "neutral" rating in a research report on Thursday, August 7th. Finally, Needham & Company LLC reaffirmed a "hold" rating on shares of AppLovin in a research report on Tuesday, August 26th. Two analysts have rated the stock with a Strong Buy rating, eighteen have given a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, the stock currently has a consensus rating of "Moderate Buy" and an average price target of $553.62.

Insider Buying and Selling at AppLovin

In other news, Director Dawson Alyssa Harvey sold 350 shares of the stock in a transaction dated Friday, September 5th. The shares were sold at an average price of $487.97, for a total transaction of $170,789.50. Following the sale, the director owned 3,150 shares of the company's stock, valued at approximately $1,537,105.50. This represents a 10.00% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through the SEC website. Also, CTO Vasily Shikin sold 30,000 shares of the stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $437.57, for a total transaction of $13,127,100.00. Following the sale, the chief technology officer directly owned 3,360,104 shares in the company, valued at $1,470,280,707.28. This represents a 0.88% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 1,156,788 shares of company stock worth $514,863,333 over the last ninety days. Company insiders own 13.66% of the company's stock.

Institutional Trading of AppLovin

Several hedge funds have recently added to or reduced their stakes in the company. Corient Private Wealth LLC raised its holdings in AppLovin by 44.1% in the second quarter. Corient Private Wealth LLC now owns 19,030 shares of the company's stock valued at $6,662,000 after acquiring an additional 5,825 shares in the last quarter. National Wealth Management Group LLC acquired a new stake in AppLovin in the second quarter valued at approximately $260,000. American Trust acquired a new stake in AppLovin in the second quarter valued at approximately $388,000. Centaurus Financial Inc. raised its holdings in AppLovin by 6.6% in the second quarter. Centaurus Financial Inc. now owns 20,525 shares of the company's stock valued at $7,185,000 after acquiring an additional 1,262 shares in the last quarter. Finally, Orion Porfolio Solutions LLC raised its holdings in AppLovin by 19.6% in the second quarter. Orion Porfolio Solutions LLC now owns 24,891 shares of the company's stock valued at $8,714,000 after acquiring an additional 4,074 shares in the last quarter. Institutional investors and hedge funds own 41.85% of the company's stock.

AppLovin Trading Up 6.0%

The company's fifty day moving average is $480.60 and its two-hundred day moving average is $377.93. The stock has a market cap of $240.13 billion, a price-to-earnings ratio of 100.98, a PEG ratio of 3.69 and a beta of 2.44. The company has a quick ratio of 2.74, a current ratio of 2.74 and a debt-to-equity ratio of 3.01.

AppLovin (NASDAQ:APP - Get Free Report) last announced its quarterly earnings results on Wednesday, August 6th. The company reported $2.26 EPS for the quarter, beating the consensus estimate of $2.05 by $0.21. The company had revenue of $1.26 billion for the quarter, compared to analyst estimates of $1.37 billion. AppLovin had a net margin of 45.72% and a return on equity of 252.67%. The firm's revenue was up 77.1% on a year-over-year basis. During the same period in the prior year, the firm posted $0.89 earnings per share. On average, research analysts predict that AppLovin Corporation will post 6.87 EPS for the current fiscal year.

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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