AppLovin (NASDAQ:APP) Shares Down 1.9% - Should You Sell?

Shares of AppLovin Corporation (NASDAQ:APP - Get Free Report) traded down 1.9% on Friday . The company traded as low as $336.60 and last traded at $340.72. 2,485,936 shares traded hands during trading, a decline of 60% from the average session volume of 6,143,198 shares. The stock had previously closed at $347.45.

Analysts Set New Price Targets

A number of research analysts recently issued reports on the stock. Jefferies Financial Group lifted their price target on shares of AppLovin from $460.00 to $530.00 and gave the stock a "buy" rating in a research note on Thursday, May 8th. Citigroup restated a "buy" rating on shares of AppLovin in a report on Thursday, May 29th. The Goldman Sachs Group boosted their target price on shares of AppLovin from $335.00 to $435.00 and gave the stock a "neutral" rating in a research note on Friday, May 9th. Wells Fargo & Company raised their price target on AppLovin from $386.00 to $405.00 and gave the company an "overweight" rating in a research note on Thursday, May 8th. Finally, JPMorgan Chase & Co. upped their price objective on AppLovin from $355.00 to $400.00 and gave the stock a "neutral" rating in a research report on Tuesday, June 3rd. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating, seventeen have given a buy rating and one has issued a strong buy rating to the company. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and a consensus price target of $438.85.

AppLovin Stock Performance

The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 6.10. The stock has a fifty day moving average price of $341.63 and a two-hundred day moving average price of $333.58. The company has a market capitalization of $116.37 billion, a price-to-earnings ratio of 62.11, a PEG ratio of 1.97 and a beta of 2.53.

AppLovin (NASDAQ:APP - Get Free Report) last posted its quarterly earnings data on Wednesday, May 7th. The company reported $1.67 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.45 by $0.22. AppLovin had a return on equity of 224.65% and a net margin of 37.38%. The business had revenue of $1.48 billion for the quarter, compared to analysts' expectations of $1.38 billion. During the same quarter last year, the firm earned $0.67 earnings per share. The business's revenue was up 40.3% on a year-over-year basis. As a group, analysts forecast that AppLovin Corporation will post 6.87 EPS for the current fiscal year.

Insider Buying and Selling

In related news, CEO Arash Adam Foroughi sold 33,700 shares of the stock in a transaction dated Tuesday, May 20th. The stock was sold at an average price of $365.54, for a total value of $12,318,698.00. Following the completion of the transaction, the chief executive officer now owns 2,760,363 shares of the company's stock, valued at approximately $1,009,023,091.02. This represents a 1.21% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which is accessible through this link. Also, Director Barbara Messing sold 1,500 shares of AppLovin stock in a transaction that occurred on Wednesday, June 11th. The stock was sold at an average price of $382.46, for a total value of $573,690.00. Following the sale, the director now owns 9,510 shares in the company, valued at $3,637,194.60. This represents a 13.62% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,212,968 shares of company stock valued at $455,062,980. Insiders own 13.66% of the company's stock.

Hedge Funds Weigh In On AppLovin

Several institutional investors and hedge funds have recently made changes to their positions in APP. FMR LLC lifted its position in shares of AppLovin by 75.5% in the 4th quarter. FMR LLC now owns 13,851,122 shares of the company's stock worth $4,485,409,000 after buying an additional 5,957,885 shares during the last quarter. SVB Wealth LLC acquired a new position in AppLovin during the fourth quarter worth about $1,781,922,000. Dynasty Wealth Management LLC raised its holdings in shares of AppLovin by 117,664.4% in the 1st quarter. Dynasty Wealth Management LLC now owns 2,702,694 shares of the company's stock worth $716,133,000 after purchasing an additional 2,700,399 shares in the last quarter. Norges Bank bought a new position in shares of AppLovin in the fourth quarter valued at $828,138,000. Finally, Arrowstreet Capital Limited Partnership raised its position in shares of AppLovin by 457.2% during the fourth quarter. Arrowstreet Capital Limited Partnership now owns 2,893,148 shares of the company's stock worth $936,888,000 after purchasing an additional 2,373,885 shares during the period. 41.85% of the stock is currently owned by hedge funds and other institutional investors.

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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