Abacus FCF Advisors LLC Purchases Shares of 18,838 AppLovin Corporation $APP

Key Points

• Abacus FCF Advisors acquired 18,838 AppLovin shares worth approximately $9.7 million, making APP its 23rd-largest holding and representing 1.8% of its portfolio. Institutional investors overall own 41.85% of the company.
• AppLovin’s shares opened at $310.79, near their 52-week low of $303.17 and well below the $745.61 high. The stock has declined amid valuation concerns and mixed analyst actions, including Wells Fargo’s price-target cut to $325, although the consensus rating remains “Moderate Buy” with a $556.43 target.
• The company reported quarterly revenue of $1.92 billion, up 52.8% year over year, while EPS of $3.76 matched expectations. AppLovin remains highly profitable, with a 64.58% net margin, but insiders sold approximately $197.3 million of stock over the past three months.

Abacus FCF Advisors LLC acquired a new position in AppLovin Corporation (NASDAQ:APP - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities and Exchange Commission (SEC). The institutional investor acquired 18,838 shares of the company's stock, valued at approximately $9,706,000. AppLovin makes up 1.8% of Abacus FCF Advisors LLC's portfolio, making the stock its 23rd largest holding.

Other hedge funds have also made changes to their positions in the company. Cassaday & Co Wealth Management LLC purchased a new stake in shares of AppLovin during the first quarter valued at approximately $25,000. Washington Trust Advisors Inc. boosted its stake in shares of AppLovin by 160.0% during the 4th quarter. Washington Trust Advisors Inc. now owns 39 shares of the company's stock valued at $27,000 after buying an additional 24 shares during the last quarter. Mcguire Capital Advisors Inc. acquired a new stake in shares of AppLovin during the fourth quarter worth approximately $27,000. Pioneer Family Office LLC acquired a new stake in shares of AppLovin during the second quarter worth approximately $31,000. Finally, Laurel Wealth Advisors LLC bought a new stake in shares of AppLovin in the fourth quarter worth $32,000. Hedge funds and other institutional investors own 41.85% of the company's stock.

AppLovin News Roundup

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: One bullish analysis argues that AppLovin could recover in the second half of 2026 as AXON 2.0 becomes generally available through its self-service platform and the company expands e-commerce onboarding. Its potential moves into e-commerce and connected TV could substantially increase its addressable market, supporting a $537 valuation target despite weaker-than-expected second-quarter revenue and EBITDA. AppLovin: Here's How I See 3 Catalysts That Could Drive Valuation Re-Rating
• Positive Sentiment: AppLovin continues to stand out for its high profitability and rapid growth, with roughly a 60% net margin and strong year-over-year revenue expansion. These fundamentals remain a potential counterweight to concerns about the stock’s premium valuation. AppLovin vs. Kratos Defense
• Neutral Sentiment: Compared with CoreWeave, AppLovin has recently generated lower absolute quarterly revenue and slower sequential growth, although both companies have posted consistent year-over-year increases. AppLovin vs. CoreWeave
• Neutral Sentiment: Comparisons with SK Hynix highlight AppLovin’s much higher valuation multiple, while SK Hynix carries greater debt and regulatory exposure. SK Hynix vs. AppLovin
• Negative Sentiment: Wells Fargo lowered its AppLovin price target from $357 to $325 and assigned an “equal weight” rating, signaling limited near-term upside and contributing to the stock’s decline. Wells Fargo price-target report
• Negative Sentiment: Benchmark issued a pessimistic forecast, while separate reports attributed additional weakness to analyst downgrades. The broader concern is that AppLovin’s premium valuation leaves little room for execution or quarterly guidance misses. Benchmark Issues Pessimistic Forecast

Wall Street Analyst Weigh In

Several equities research analysts have recently weighed in on APP shares. BTIG Research dropped their target price on shares of AppLovin from $574.00 to $408.00 and set a "buy" rating for the company in a research report on Wednesday, August 12th. Scotiabank reaffirmed a "sector outperform" rating and set a $515.00 price target on shares of AppLovin in a research report on Thursday, August 6th. UBS Group decreased their price target on AppLovin from $798.00 to $790.00 and set a "buy" rating for the company in a research note on Thursday, August 6th. Raymond James Financial began coverage on AppLovin in a report on Monday, June 29th. They issued a "strong-buy" rating and a $640.00 price objective for the company. Finally, Wells Fargo & Company cut their price objective on AppLovin from $357.00 to $325.00 and set an "equal weight" rating on the stock in a research note on Wednesday. Three research analysts have rated the stock with a Strong Buy rating, thirteen have assigned a Buy rating and eight have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company presently has an average rating of "Moderate Buy" and a consensus price target of $556.43.

Insider Activity

In other AppLovin news, CFO Matthew Stumpf sold 9,052 shares of AppLovin stock in a transaction on Thursday, May 28th. The stock was sold at an average price of $600.00, for a total transaction of $5,431,200.00. Following the sale, the chief financial officer owned 177,450 shares of the company's stock, valued at $106,470,000. The trade was a 4.85% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, insider Victoria Valenzuela sold 20,000 shares of the business's stock in a transaction on Thursday, June 4th. The stock was sold at an average price of $565.89, for a total value of $11,317,800.00. Following the transaction, the insider owned 243,961 shares of the company's stock, valued at $138,055,090.29. This trade represents a 7.58% decrease in their position. The SEC filing for this sale provides additional information. Insiders sold a total of 393,000 shares of company stock worth $197,297,363 over the last three months. Insiders own 12.81% of the company's stock.

AppLovin Price Performance

Shares of NASDAQ:APP opened at $310.79 on Thursday. The company has a quick ratio of 4.30, a current ratio of 4.30 and a debt-to-equity ratio of 1.11. AppLovin Corporation has a fifty-two week low of $303.17 and a fifty-two week high of $745.61. The firm has a 50-day simple moving average of $434.90 and a 200 day simple moving average of $450.39. The company has a market cap of $104.01 billion, a PE ratio of 23.89, a P/E/G ratio of 0.62 and a beta of 2.54.

AppLovin (NASDAQ:APP - Get Free Report) last issued its earnings results on Tuesday, August 4th. The company reported $3.76 EPS for the quarter, meeting analysts' consensus estimates of $3.76. The company had revenue of $1.92 billion during the quarter, compared to the consensus estimate of $1.94 billion. AppLovin had a return on equity of 193.10% and a net margin of 64.58%.AppLovin's quarterly revenue was up 52.8% compared to the same quarter last year. During the same period in the previous year, the firm posted $2.39 earnings per share. On average, sell-side analysts anticipate that AppLovin Corporation will post 15.57 EPS for the current year.

About AppLovin

AppLovin Corporation is a Palo Alto–based mobile technology company that provides software and services to help app developers grow and monetize their businesses. The company operates a data-driven advertising and marketing platform that connects app publishers and advertisers, delivering tools for user acquisition, monetization, analytics and creative optimization. AppLovin's technology is integrated into a broad set of mobile applications through software development kits (SDKs) and ad products designed to maximize revenue and engagement for developers.

Key components of AppLovin's offering include an ad mediation and exchange platform that enables publishers to manage and monetize inventory across multiple demand sources, and a user-acquisition platform that helps advertisers target and scale campaigns.

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