AppLovin (NASDAQ:APP) Stock Price Up 4% - Here's What Happened

AppLovin Co. (NASDAQ:APP - Get Free Report)'s share price traded up 4% on Tuesday . The stock traded as high as $373.00 and last traded at $368.36. 2,083,391 shares changed hands during mid-day trading, a decline of 66% from the average session volume of 6,040,806 shares. The stock had previously closed at $354.29.

Analyst Upgrades and Downgrades

Several research analysts have weighed in on the stock. Jefferies Financial Group upped their price objective on shares of AppLovin from $460.00 to $530.00 and gave the company a "buy" rating in a research note on Thursday, May 8th. FBN Securities assumed coverage on shares of AppLovin in a research note on Friday, March 28th. They issued an "outperform" rating and a $385.00 price objective on the stock. JPMorgan Chase & Co. upped their price objective on shares of AppLovin from $270.00 to $355.00 and gave the company a "neutral" rating in a research note on Thursday, May 8th. Bank of America upped their price objective on shares of AppLovin from $375.00 to $580.00 and gave the company a "buy" rating in a research note on Thursday, February 13th. Finally, Benchmark reissued a "buy" rating and issued a $525.00 price target on shares of AppLovin in a research note on Thursday, May 8th. One investment analyst has rated the stock with a sell rating, three have given a hold rating, seventeen have issued a buy rating and one has issued a strong buy rating to the company's stock. According to MarketBeat, the company has a consensus rating of "Moderate Buy" and an average price target of $433.85.

AppLovin Trading Down 0.9%

The company has a current ratio of 2.41, a quick ratio of 2.41 and a debt-to-equity ratio of 3.70. The company's fifty day moving average is $295.26 and its 200-day moving average is $326.61. The firm has a market capitalization of $127.73 billion, a P/E ratio of 83.35, a P/E/G ratio of 3.02 and a beta of 2.39.

AppLovin (NASDAQ:APP - Get Free Report) last posted its quarterly earnings data on Wednesday, May 7th. The company reported $1.67 earnings per share for the quarter, beating the consensus estimate of $1.45 by $0.22. AppLovin had a return on equity of 188.55% and a net margin of 33.54%. The company had revenue of $1.48 billion during the quarter, compared to analysts' expectations of $1.38 billion. During the same period in the prior year, the business earned $0.67 earnings per share. AppLovin's revenue for the quarter was up 40.3% compared to the same quarter last year. As a group, sell-side analysts anticipate that AppLovin Co. will post 6.87 earnings per share for the current fiscal year.

Insider Activity

In other news, Director Herald Y. Chen sold 400,000 shares of the stock in a transaction that occurred on Wednesday, May 14th. The stock was sold at an average price of $374.61, for a total value of $149,844,000.00. Following the completion of the sale, the director now directly owns 221,209 shares of the company's stock, valued at approximately $82,867,103.49. This represents a 64.39% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Dawson Alyssa Harvey sold 570 shares of the firm's stock in a transaction on Tuesday, May 13th. The stock was sold at an average price of $371.12, for a total value of $211,538.40. Following the completion of the transaction, the director now directly owns 6,231 shares of the company's stock, valued at approximately $2,312,448.72. This trade represents a 8.38% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,233,254 shares of company stock valued at $446,927,149. 14.69% of the stock is owned by company insiders.

Hedge Funds Weigh In On AppLovin

A number of hedge funds have recently made changes to their positions in APP. FMR LLC raised its stake in shares of AppLovin by 75.5% in the 4th quarter. FMR LLC now owns 13,851,122 shares of the company's stock valued at $4,485,409,000 after buying an additional 5,957,885 shares in the last quarter. SVB Wealth LLC acquired a new position in shares of AppLovin in the 4th quarter valued at $1,781,922,000. Baillie Gifford & Co. raised its stake in shares of AppLovin by 5,421.4% in the 4th quarter. Baillie Gifford & Co. now owns 4,084,496 shares of the company's stock valued at $1,322,682,000 after buying an additional 4,010,520 shares in the last quarter. Dynasty Wealth Management LLC raised its stake 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 valued at $716,133,000 after buying an additional 2,700,399 shares in the last quarter. Finally, Norges Bank acquired a new position in shares of AppLovin in the 4th quarter valued at $828,138,000. Institutional investors and hedge funds own 41.85% of the company's stock.

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.