AppLovin (NASDAQ:APP) Stock Price Up 1.7% - Should You Buy?

AppLovin Corporation (NASDAQ:APP - Get Free Report)'s stock price rose 1.7% on Wednesday . The company traded as high as $354.72 and last traded at $350.55. Approximately 987,348 shares traded hands during mid-day trading, a decline of 84% from the average daily volume of 6,190,257 shares. The stock had previously closed at $344.75.

Analyst Upgrades and Downgrades

A number of analysts recently issued reports on the stock. JPMorgan Chase & Co. increased their price target on shares of AppLovin from $355.00 to $400.00 and gave the stock a "neutral" rating in a report on Tuesday, June 3rd. Citigroup restated a "buy" rating on shares of AppLovin in a research report on Thursday, May 29th. Oppenheimer reiterated an "outperform" rating and set a $500.00 price target (down from $560.00) on shares of AppLovin in a research report on Thursday, May 8th. The Goldman Sachs Group raised their price objective on shares of AppLovin from $335.00 to $435.00 and gave the company a "neutral" rating in a research note on Friday, May 9th. Finally, Wedbush raised shares of AppLovin to a "strong-buy" rating in a research note on Tuesday, July 1st. One equities research analyst has rated the stock with a sell rating, three have assigned a hold rating, sixteen have issued a buy rating and three have assigned a strong buy rating to the company's stock. According to data from MarketBeat.com, the stock currently has an average rating of "Moderate Buy" and an average target price of $438.43.

AppLovin Stock Up 2.3%

The company has a current ratio of 1.68, a quick ratio of 1.68 and a debt-to-equity ratio of 6.10. The company has a market capitalization of $119.36 billion, a price-to-earnings ratio of 63.67, a PEG ratio of 2.06 and a beta of 2.42. The firm's 50 day simple moving average is $354.67 and its 200-day simple moving average is $334.24.

AppLovin (NASDAQ:APP - Get Free Report) last announced its quarterly earnings data on Wednesday, May 7th. The company reported $1.67 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.45 by $0.22. The company had revenue of $1.48 billion for the quarter, compared to analysts' expectations of $1.38 billion. AppLovin had a net margin of 37.38% and a return on equity of 224.65%. AppLovin's revenue was up 40.3% compared to the same quarter last year. During the same period in the previous year, the company posted $0.67 EPS. On average, sell-side analysts anticipate that AppLovin Corporation will post 6.87 EPS for the current fiscal year.

Insider Activity at AppLovin

In other news, CTO Vasily Shikin sold 34,766 shares of the company's stock in a transaction on Friday, May 23rd. The shares were sold at an average price of $353.64, for a total transaction of $12,294,648.24. Following the transaction, the chief technology officer directly owned 70,889 shares of the company's stock, valued at $25,069,185.96. This represents a 32.91% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. Also, Director Herald Y. Chen sold 171,420 shares of the company's stock in a transaction on Tuesday, May 13th. The stock was sold at an average price of $373.77, for a total transaction of $64,071,653.40. Following the transaction, the director directly owned 221,209 shares in the company, valued at approximately $82,681,287.93. This trade represents a 43.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. In the last quarter, insiders sold 1,212,968 shares of company stock valued at $455,062,980. Company insiders own 13.66% of the company's stock.

Institutional Investors Weigh In On AppLovin

Large investors have recently added to or reduced their stakes in the business. Kingswood Wealth Advisors LLC grew its stake in AppLovin by 5.1% in the 1st quarter. Kingswood Wealth Advisors LLC now owns 1,663 shares of the company's stock valued at $445,000 after acquiring an additional 80 shares during the last quarter. Wealth Enhancement Advisory Services LLC lifted its holdings in AppLovin by 62.7% in the 1st quarter. Wealth Enhancement Advisory Services LLC now owns 172,378 shares of the company's stock valued at $45,675,000 after purchasing an additional 66,453 shares in the last quarter. Yousif Capital Management LLC lifted its holdings in AppLovin by 3.5% in the 1st quarter. Yousif Capital Management LLC now owns 3,544 shares of the company's stock valued at $939,000 after purchasing an additional 119 shares in the last quarter. Peak Retirement Planning Inc. purchased a new position in AppLovin in the 4th quarter valued at about $969,000. Finally, Assenagon Asset Management S.A. lifted its holdings in AppLovin by 3.0% in the 1st quarter. Assenagon Asset Management S.A. now owns 4,173 shares of the company's stock valued at $1,106,000 after purchasing an additional 121 shares in the last quarter. 41.85% of the stock is owned by institutional investors and hedge funds.

About AppLovin

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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