MGB Wealth Management LLC Sells 130,000 Shares of AppLovin Corporation (NASDAQ:APP)

Key Points

• MGB Wealth Management LLC reduced its stake in AppLovin Corporation by 54.3%, now holding shares worth approximately $29.05 million, making it the firm's largest investment.
• CEO Arash Adam Foroughi sold 100,000 shares of AppLovin for about $36.75 million, representing a 3.50% decrease in his ownership.
• Analysts generally have a positive outlook on AppLovin, with a consensus rating of "Moderate Buy" and an average price target of approximately $447.57.

MGB Wealth Management LLC trimmed its stake in shares of AppLovin Corporation (NASDAQ:APP - Free Report) by 54.3% during the 1st quarter, according to the company in its most recent 13F filing with the Securities and Exchange Commission (SEC). The fund owned 109,616 shares of the company's stock after selling 130,000 shares during the quarter. AppLovin makes up 10.5% of MGB Wealth Management LLC's investment portfolio, making the stock its largest position. MGB Wealth Management LLC's holdings in AppLovin were worth $29,046,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

Other large investors have also recently made changes to their positions in the company. Revolve Wealth Partners LLC bought a new stake in shares of AppLovin in the fourth quarter worth $294,000. Wells Fargo & Company MN lifted its position in shares of AppLovin by 17.2% in the fourth quarter. Wells Fargo & Company MN now owns 293,992 shares of the company's stock worth $95,204,000 after buying an additional 43,168 shares in the last quarter. Wedbush Securities Inc. purchased a new stake in AppLovin during the fourth quarter valued at approximately $236,000. Quadrant Capital Group LLC grew its stake in shares of AppLovin by 6.7% during the fourth quarter. Quadrant Capital Group LLC now owns 526 shares of the company's stock valued at $170,000 after buying an additional 33 shares during the last quarter. Finally, Shelton Capital Management increased its holdings in AppLovin by 162.7% during the 4th quarter. Shelton Capital Management now owns 46,237 shares of the company's stock worth $14,973,000 after purchasing an additional 28,637 shares during the period. 41.85% of the stock is currently owned by institutional investors.

Insiders Place Their Bets

In related 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 value of $149,844,000.00. Following the transaction, the director directly owned 221,209 shares in the company, 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 SEC, which is accessible through this link. Also, CTO Vasily Shikin sold 34,766 shares of the company's stock in a transaction that occurred on Friday, May 23rd. The shares were 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 $25,069,185.96. This represents a 32.91% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders have sold 1,212,968 shares of company stock valued at $455,062,980. Insiders own 13.66% of the company's stock.

Wall Street Analysts Forecast Growth

A number of analysts have commented on APP shares. Benchmark reaffirmed a "buy" rating and set a $525.00 price target on shares of AppLovin in a research report on Thursday, May 8th. Wall Street Zen raised AppLovin from a "hold" rating to a "buy" rating in a research report on Saturday, July 26th. Wedbush reaffirmed an "outperform" rating and set a $620.00 price target on shares of AppLovin in a research report on Thursday. Needham & Company LLC reaffirmed a "hold" rating on shares of AppLovin in a research report on Thursday, June 26th. Finally, Oppenheimer reiterated an "outperform" rating and set a $500.00 price objective (down previously from $560.00) on shares of AppLovin in a research note on Thursday, May 8th. One research analyst has rated the stock with a sell rating, three have assigned a hold rating, nineteen have assigned a buy rating and one has assigned a strong buy rating to the company's stock. According to MarketBeat.com, AppLovin currently has a consensus rating of "Moderate Buy" and a consensus price target of $472.33.

AppLovin Price Performance

Shares of AppLovin stock traded up $46.77 on Thursday, hitting $437.34. 20,721,653 shares of the company were exchanged, compared to its average volume of 4,873,250. The stock has a market capitalization of $147.99 billion, a price-to-earnings ratio of 62.12, a price-to-earnings-growth ratio of 2.33 and a beta of 2.43. The company has a 50-day moving average price of $365.28 and a 200 day moving average price of $339.24. AppLovin Corporation has a 1-year low of $66.16 and a 1-year high of $525.15. The company has a quick ratio of 1.68, a current ratio of 1.68 and a debt-to-equity ratio of 6.10.

AppLovin (NASDAQ:APP - Get Free Report) last issued its earnings results 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 business had revenue of $1.26 billion for the quarter, compared to analysts' expectations of $1.37 billion. AppLovin had a return on equity of 274.45% and a net margin of 45.72%. The business's revenue for the quarter was up 77.1% compared to the same quarter last year. During the same period in the previous year, the firm posted $0.89 EPS. As a group, sell-side analysts predict that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

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.