Bank of America Issues Positive Forecast for AppLovin (NASDAQ:APP) Stock Price

Key Points

• Bank of America has raised its price target for AppLovin's stock from $580 to $860, maintaining a "buy" rating, indicating a potential upside of 19.17% from its current price.
• The stock currently has a consensus rating of "Moderate Buy" with an average target price of $566.95, as multiple analysts have raised their price targets for AppLovin.
• AppLovin reported earnings of $2.26 per share for the last quarter, exceeding estimates, while revenue was $1.26 billion, below analysts' expectations of $1.37 billion.

AppLovin (NASDAQ:APP - Get Free Report) had its price objective lifted by analysts at Bank of America from $580.00 to $860.00 in a note issued to investors on Wednesday,Benzinga reports. The brokerage presently has a "buy" rating on the stock. Bank of America's price objective would indicate a potential upside of 19.17% from the company's current price.

Several other research analysts have also issued reports on the stock. Wells Fargo & Company raised their price target on shares of AppLovin from $480.00 to $491.00 and gave the stock an "overweight" rating in a report on Thursday, August 21st. Piper Sandler upped their target price on AppLovin from $500.00 to $740.00 and gave the company an "overweight" rating in a research report on Friday, September 26th. Benchmark increased their price target on AppLovin from $525.00 to $640.00 and gave the stock a "buy" rating in a report on Monday, September 15th. Citigroup restated a "buy" rating on shares of AppLovin in a report on Wednesday. Finally, Zacks Research upgraded AppLovin to a "strong-buy" rating in a report on Friday, August 8th. Two research analysts have rated the stock with a Strong Buy rating, nineteen have issued a Buy rating, three have given a Hold rating and one has assigned a Sell rating to the company's stock. According to data from MarketBeat.com, the stock presently has a consensus rating of "Moderate Buy" and an average target price of $566.95.

AppLovin Stock Up 0.4%

Shares of APP traded up $3.12 during mid-day trading on Wednesday, hitting $721.66. 1,806,054 shares of the company's stock were exchanged, compared to its average volume of 7,436,483. AppLovin has a 52 week low of $128.50 and a 52 week high of $745.61. The company has a debt-to-equity ratio of 3.01, a current ratio of 2.74 and a quick ratio of 2.74. The company has a 50-day simple moving average of $494.89 and a 200 day simple moving average of $383.21. The company has a market cap of $244.10 billion, a PE ratio of 103.04, a P/E/G ratio of 3.93 and a beta of 2.44.

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

Insider Buying and Selling

In other news, insider Victoria Valenzuela sold 35,000 shares of the firm's stock in a transaction that occurred on Thursday, September 4th. The shares were sold at an average price of $502.23, for a total value of $17,578,050.00. Following the transaction, the insider owned 269,955 shares in the company, valued at approximately $135,579,499.65. This trade represents a 11.48% decrease in their ownership of the stock. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this hyperlink. Also, Director Dawson Alyssa Harvey sold 350 shares of the stock in a transaction on 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 directly owned 3,150 shares of the company's stock, valued at $1,537,105.50. The trade was a 10.00% decrease in their position. The disclosure for this sale can be found here. Over the last ninety days, insiders have sold 1,156,788 shares of company stock worth $514,863,333. Company insiders own 13.66% of the company's stock.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in APP. Revolve Wealth Partners LLC bought a new stake in AppLovin in the fourth quarter worth $294,000. Bison Wealth LLC purchased a new stake in shares of AppLovin during the fourth quarter valued at $239,000. Versant Capital Management Inc increased its holdings in AppLovin by 13.4% in the 1st quarter. Versant Capital Management Inc now owns 365 shares of the company's stock worth $97,000 after buying an additional 43 shares in the last quarter. NBC Securities Inc. purchased a new position in AppLovin in the 1st quarter worth about $34,000. Finally, Merit Financial Group LLC lifted its stake in AppLovin by 657.1% during the 1st quarter. Merit Financial Group LLC now owns 7,147 shares of the company's stock valued at $1,894,000 after acquiring an additional 6,203 shares during the period. Hedge funds and other institutional investors own 41.85% of the company's stock.

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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