Swedbank AB Grows Position in AppLovin Corporation $APP

Key Points

• Swedbank AB increased its stake in AppLovin Corporation by 20.2%, owning approximately $67.62 million in stock by the end of the second quarter.
• Several analysts have raised their price targets for AppLovin, with BTIG Research setting it at $664.00 and Benchmark at $640.00, both maintaining a "buy" rating.
• The company reported a strong EPS of $2.26, surpassing estimates, but revenue of $1.26 billion fell short of expectations, highlighting mixed earnings results.

Swedbank AB raised its stake in AppLovin Corporation (NASDAQ:APP - Free Report) by 20.2% in the 2nd quarter, according to its most recent disclosure with the SEC. The fund owned 193,160 shares of the company's stock after purchasing an additional 32,426 shares during the quarter. Swedbank AB owned 0.06% of AppLovin worth $67,621,000 at the end of the most recent quarter.

Other hedge funds and other institutional investors have also recently bought and sold shares of the company. Atala Financial Inc bought a new stake in AppLovin in the first quarter valued at approximately $26,000. Alpine Bank Wealth Management bought a new stake in AppLovin in the first quarter valued at approximately $27,000. ORG Wealth Partners LLC bought a new stake in AppLovin in the first quarter valued at approximately $29,000. Bartlett & CO. Wealth Management LLC bought a new stake in AppLovin in the first quarter valued at approximately $29,000. Finally, SouthState Corp purchased a new position in shares of AppLovin during the first quarter valued at approximately $29,000. Institutional investors own 41.85% of the company's stock.

AppLovin Stock Down 0.9%

Shares of NASDAQ:APP traded down $6.09 on Monday, hitting $643.50. 9,256,930 shares of the company traded hands, compared to its average volume of 9,961,002. AppLovin Corporation has a 52 week low of $124.59 and a 52 week high of $657.00. The company has a quick ratio of 2.74, a current ratio of 2.74 and a debt-to-equity ratio of 3.01. The stock has a 50 day simple moving average of $457.27 and a 200-day simple moving average of $367.01. The company has a market cap of $217.66 billion, a PE ratio of 91.41, a PEG ratio of 3.60 and a beta of 2.44.

AppLovin (NASDAQ:APP - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $2.26 earnings per share for the quarter, beating the consensus estimate of $2.05 by $0.21. AppLovin had a return on equity of 252.67% and a net margin of 45.72%.The firm had revenue of $1.26 billion during the quarter, compared to the consensus estimate of $1.37 billion. During the same period last year, the company earned $0.89 earnings per share. The company's revenue was up 77.1% on a year-over-year basis. As a group, research analysts expect that AppLovin Corporation will post 6.87 earnings per share for the current year.

Insider Activity

In related news, Director Herald Y. Chen sold 200,000 shares of the stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $432.49, for a total transaction of $86,498,000.00. Following the sale, the director directly owned 181,929 shares of the company's stock, valued at $78,682,473.21. This trade represents a 52.37% decrease in their ownership of the stock. The transaction was disclosed in a filing with the SEC, which is available at the SEC website. Also, CTO Vasily Shikin sold 30,000 shares of the stock in a transaction on Friday, August 22nd. The shares were sold at an average price of $437.57, for a total value of $13,127,100.00. Following the sale, the chief technology officer directly owned 3,360,104 shares in the company, valued at $1,470,280,707.28. This trade represents a 0.88% decrease in their ownership of the stock. The disclosure for this sale can be found here. Over the last three months, insiders sold 1,156,788 shares of company stock valued at $514,863,333. 13.66% of the stock is currently owned by insiders.

Analyst Upgrades and Downgrades

Several research firms have recently issued reports on APP. BTIG Research boosted their target price on AppLovin from $547.00 to $664.00 and gave the company a "buy" rating in a research note on Monday, September 15th. Wall Street Zen cut AppLovin from a "buy" rating to a "hold" rating in a research note on Saturday, August 9th. Scotiabank reissued an "outperform" rating on shares of AppLovin in a research note on Thursday, August 28th. Citigroup reissued a "buy" rating on shares of AppLovin in a research note on Thursday, May 29th. Finally, Jefferies Financial Group upped their price target on AppLovin from $560.00 to $615.00 and gave the stock a "buy" rating in a research note on Friday, September 5th. Two investment analysts have rated the stock with a Strong Buy rating, eighteen have assigned a Buy rating, three have given a Hold rating and one has issued a Sell rating to the company. According to MarketBeat, the company presently has an average rating of "Moderate Buy" and an average price target of $501.95.

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.