AppLovin (NASDAQ:APP) Rating Increased to Strong-Buy at Scotiabank

AppLovin (NASDAQ:APP - Get Free Report) was upgraded by equities research analysts at Scotiabank to a "strong-buy" rating in a note issued to investors on Tuesday,Zacks.com reports.

Several other research analysts also recently commented on the company. HSBC set a $436.00 price target on AppLovin and gave the stock a "buy" rating in a research report on Wednesday, April 23rd. Piper Sandler reiterated an "overweight" rating and set a $470.00 price objective (up from $455.00) on shares of AppLovin in a research note on Thursday, June 26th. Wells Fargo & Company increased their price objective on AppLovin from $386.00 to $405.00 and gave the stock an "overweight" rating in a research note on Thursday, May 8th. Benchmark reiterated a "buy" rating and set a $525.00 price objective on shares of AppLovin in a research note on Thursday, May 8th. Finally, JPMorgan Chase & Co. increased their price objective on AppLovin from $355.00 to $400.00 and gave the stock a "neutral" rating in a research note on Tuesday, June 3rd. One equities research analyst has rated the stock with a sell rating, three have issued a hold rating, sixteen have given a buy rating and three have assigned a strong buy rating to the company. Based on data from MarketBeat, AppLovin presently has an average rating of "Moderate Buy" and an average target price of $438.43.

AppLovin Stock Performance

Shares of NASDAQ APP traded up $7.99 during midday trading on Tuesday, reaching $352.74. 4,228,839 shares of the company traded hands, compared to its average volume of 6,202,621. The stock has a 50-day moving average price of $354.67 and a 200 day moving average price of $334.24. The company has a market cap of $119.36 billion, a price-to-earnings ratio of 63.67, a PEG ratio of 2.06 and a beta of 2.42. AppLovin has a 52 week low of $60.67 and a 52 week high of $525.15. The company has a debt-to-equity ratio of 6.10, a current ratio of 1.68 and a quick ratio of 1.68.

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

Insider Transactions at AppLovin

In other AppLovin news, CEO Arash Adam Foroughi sold 100,000 shares of the stock in a transaction that occurred 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 transaction, the chief executive officer owned 2,760,363 shares in the company, valued at approximately $1,014,461,006.13. This represents a 3.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, CTO Vasily Shikin sold 34,766 shares of the stock in a transaction that occurred on Friday, May 23rd. The stock was sold at an average price of $353.64, for a total value of $12,294,648.24. Following the completion of the transaction, the chief technology officer owned 70,889 shares in the company, valued at approximately $25,069,185.96. The trade was a 32.91% decrease in their position. The disclosure for this sale can be found here. Insiders have sold a total of 1,212,968 shares of company stock worth $455,062,980 in the last three months. Insiders own 13.66% of the company's stock.

Institutional Inflows and Outflows

Large investors have recently modified their holdings of the stock. Aaron Wealth Advisors LLC lifted its holdings in AppLovin by 9.0% during the second quarter. Aaron Wealth Advisors LLC now owns 1,363 shares of the company's stock worth $477,000 after acquiring an additional 113 shares during the period. Financiere des Professionnels Fonds d investissement inc. bought a new stake in AppLovin during the second quarter worth $481,000. Triumph Capital Management bought a new stake in AppLovin during the second quarter worth $259,000. Lifestyle Asset Management Inc. bought a new stake in AppLovin during the second quarter worth $1,818,000. Finally, Bay Rivers Group lifted its holdings in AppLovin by 13.8% during the second quarter. Bay Rivers Group now owns 2,450 shares of the company's stock worth $858,000 after acquiring an additional 297 shares during the period. Institutional investors 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.