AppLovin Corporation (NASDAQ:APP) Holdings Increased by Zweig DiMenna Associates LLC

Key Points

• Zweig DiMenna Associates LLC increased its stake in AppLovin by 80.5%, making it the firm's 4th largest position, now holding 132,635 shares valued at approximately $35.1 million.
• AppLovin's revenue grew by 40.3% year-over-year, reporting earnings of $1.67 per share in its most recent quarter, surpassing estimates.
• Insider trading reports indicate significant sales, including a 400,000 share sale by director Herald Y. Chen, reducing their stake by 64.39%.

Zweig DiMenna Associates LLC increased its holdings in AppLovin Corporation (NASDAQ:APP - Free Report) by 80.5% during the first quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm owned 132,635 shares of the company's stock after purchasing an additional 59,135 shares during the quarter. AppLovin accounts for 5.6% of Zweig DiMenna Associates LLC's investment portfolio, making the stock its 4th biggest position. Zweig DiMenna Associates LLC's holdings in AppLovin were worth $35,144,000 as of its most recent SEC filing.

Other large investors also recently added to or reduced their stakes in the company. Fuller & Thaler Asset Management Inc. purchased a new position in AppLovin during the 4th quarter valued at about $25,000. Tucker Asset Management LLC purchased a new position in shares of AppLovin during the fourth quarter valued at approximately $28,000. Atala Financial Inc purchased a new position in shares of AppLovin during the first quarter valued at approximately $26,000. ORG Wealth Partners LLC purchased a new position in AppLovin during the 1st quarter valued at $29,000. Finally, Alpine Bank Wealth Management purchased a new position in AppLovin during the 1st quarter valued at $27,000. Hedge funds and other institutional investors own 41.85% of the company's stock.

AppLovin Stock Performance

Shares of APP stock traded up $4.20 during trading hours on Friday, reaching $364.14. 2,880,710 shares of the company traded hands, compared to its average volume of 4,896,801. AppLovin Corporation has a 12-month low of $60.67 and a 12-month 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. The company has a market cap of $123.22 billion, a P/E ratio of 65.73, a P/E/G ratio of 2.14 and a beta of 2.42. The firm has a 50-day moving average price of $362.09 and a 200 day moving average price of $335.79.

AppLovin (NASDAQ:APP - Get Free Report) last issued its quarterly earnings results 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 net margin of 37.38% and a return on equity of 224.65%. The business had revenue of $1.48 billion for the quarter, compared to the consensus estimate of $1.38 billion. During the same quarter in the previous year, the firm earned $0.67 earnings per share. The company's revenue for the quarter was up 40.3% on a year-over-year basis. As a group, sell-side analysts predict that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

Insider Activity at AppLovin

In other news, Director Herald Y. Chen sold 400,000 shares of the company's stock in a transaction that occurred on Wednesday, May 14th. The stock was sold at an average price of $374.61, for a total transaction of $149,844,000.00. Following the sale, the director directly owned 221,209 shares of the company's stock, valued at $82,867,103.49. This represents a 64.39% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available at the SEC website. Also, CEO Arash Adam Foroughi sold 100,000 shares of the company's stock in a transaction on Wednesday, May 21st. The shares were sold at an average price of $367.51, for a total transaction of $36,751,000.00. Following the sale, the chief executive officer directly owned 2,760,363 shares in the company, valued at approximately $1,014,461,006.13. The trade was a 3.50% decrease in their position. The disclosure for this sale can be found here. Insiders sold a total of 1,212,968 shares of company stock worth $455,062,980 over the last ninety days. 13.66% of the stock is owned by corporate insiders.

Analyst Ratings Changes

Several brokerages recently issued reports on APP. Piper Sandler reiterated an "overweight" rating and set a $470.00 price target (up previously from $455.00) on shares of AppLovin in a research report on Thursday, June 26th. Jefferies Financial Group boosted their price target on shares of AppLovin from $460.00 to $530.00 and gave the company a "buy" rating in a research report on Thursday, May 8th. Oppenheimer reiterated an "outperform" rating and set a $500.00 target price (down previously from $560.00) on shares of AppLovin in a report on Thursday, May 8th. Loop Capital reaffirmed a "buy" rating and issued a $650.00 price target on shares of AppLovin in a research note on Friday, March 28th. Finally, UBS Group upped their price target on AppLovin from $450.00 to $475.00 and gave the stock a "buy" rating in a research note on Thursday, May 8th. One equities research analyst has rated the stock with a sell rating, four have issued a hold rating, sixteen have issued a buy rating and three have assigned a strong buy rating to the company's stock. According to MarketBeat, the company currently has an average rating of "Moderate Buy" and an average price target of $447.57.

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.