WCG Wealth Advisors LLC Invests $18.01 Million in AppLovin Corporation $APP

Key Points

• WCG Wealth Advisors opened a new position in AppLovin during the fourth quarter, buying 26,726 shares worth about $18.0 million.
• AppLovin shares were down 5.7% on the day to $570.83, even after the company reported better-than-expected earnings last quarter with EPS of $3.56 on revenue of $1.84 billion, up 58.9% year over year.
• Wall Street remains broadly bullish, with analysts holding a Moderate Buy consensus and an average price target of $664.35, though insider sales and comments about the stock’s elevated valuation show some caution.

WCG Wealth Advisors LLC acquired a new position in AppLovin Corporation (NASDAQ:APP - Free Report) during the 4th quarter, according to its most recent 13F filing with the Securities and Exchange Commission. The institutional investor acquired 26,726 shares of the company's stock, valued at approximately $18,008,000.

Several other large investors have also recently made changes to their positions in APP. Revolve Wealth Partners LLC acquired a new position in shares of AppLovin in the 4th quarter worth approximately $294,000. Bison Wealth LLC acquired a new stake in AppLovin during the 4th quarter worth approximately $239,000. Integrated Wealth Concepts LLC lifted its holdings in AppLovin by 58.0% during the 1st quarter. Integrated Wealth Concepts LLC now owns 1,692 shares of the company's stock worth $448,000 after buying an additional 621 shares in the last quarter. NewEdge Advisors LLC lifted its holdings in AppLovin by 5.7% during the 2nd quarter. NewEdge Advisors LLC now owns 14,523 shares of the company's stock worth $5,084,000 after buying an additional 782 shares in the last quarter. Finally, Treasurer of the State of North Carolina lifted its holdings in AppLovin by 7.2% during the 2nd quarter. Treasurer of the State of North Carolina now owns 139,189 shares of the company's stock worth $48,727,000 after buying an additional 9,380 shares in the last quarter. 41.85% of the stock is currently owned by institutional investors and hedge funds.

AppLovin Trading Down 5.7%

Shares of NASDAQ:APP opened at $570.83 on Thursday. AppLovin Corporation has a 52 week low of $320.00 and a 52 week high of $745.61. The company's 50 day moving average is $465.56 and its two-hundred day moving average is $521.17. The company has a current ratio of 3.24, a quick ratio of 3.24 and a debt-to-equity ratio of 1.49. The company has a market cap of $191.76 billion, a PE ratio of 49.04, a P/E/G ratio of 0.98 and a beta of 2.45.

AppLovin (NASDAQ:APP - Get Free Report) last announced its quarterly earnings data on Wednesday, May 6th. The company reported $3.56 EPS for the quarter, beating analysts' consensus estimates of $3.44 by $0.12. AppLovin had a net margin of 64.29% and a return on equity of 219.37%. The company had revenue of $1.84 billion for the quarter, compared to the consensus estimate of $1.77 billion. During the same period in the prior year, the firm posted $1.67 EPS. The company's quarterly revenue was up 58.9% compared to the same quarter last year. Equities analysts predict that AppLovin Corporation will post 15.86 earnings per share for the current fiscal year.

Key AppLovin News

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: AppLovin continues to get support from Wall Street, with analysts maintaining a Moderate Buy consensus and broadly optimistic views on the company’s outlook. AppLovin Corporation NASDAQ: APP Receives Average Rating of "Moderate Buy" from Analysts
• Positive Sentiment: The company’s May rally was tied to strong earnings and enthusiasm from both buy-side and sell-side investors, reinforcing the view that its AI-driven ad growth and profitability remain key strengths. Why AppLovin Rallied in May
• Positive Sentiment: Coverage highlighting significant insider ownership may reassure investors that management has meaningful skin in the game, which can be a positive signal for long-term alignment. Spotlight On AppLovin And 2 More Growth Stocks With Significant Insider Stakes
• Neutral Sentiment: AppLovin has drawn increased investor attention recently, which may reflect continued interest in the story rather than a fresh catalyst. AppLovin Corporation (APP) is Attracting Investor Attention: Here is What You Should Know
• Neutral Sentiment: Comments on the stock “outperforming the Dow” and its strong analyst support reinforce the bullish narrative, but do not appear to add a new near-term catalyst. Is AppLovin Stock Outperforming the Dow?
• Negative Sentiment: Software stocks sold off for a second straight session, and AppLovin was caught in the broader profit-taking move. 8x8, BlackLine, and AppLovin Stocks Trade Down, What You Need To Know
• Negative Sentiment: Recent analysis of APP’s year-to-date decline says the stock’s valuation remains elevated, even though profitability and AI ad growth remain strong, suggesting investors are still debating how much upside is already priced in. AppLovin Slides 15% YTD: Is the Stock a Buying Opportunity?

Analyst Ratings Changes

A number of equities research analysts have issued reports on APP shares. Scotiabank increased their target price on shares of AppLovin from $750.00 to $775.00 and gave the stock an "outperform" rating in a report on Thursday, February 12th. Weiss Ratings lowered shares of AppLovin from a "hold (c+)" rating to a "hold (c)" rating in a report on Thursday, May 7th. JPMorgan Chase & Co. increased their target price on shares of AppLovin from $500.00 to $515.00 and gave the stock a "neutral" rating in a report on Thursday, May 7th. Jefferies Financial Group reduced their target price on shares of AppLovin from $860.00 to $700.00 and set a "buy" rating on the stock in a report on Thursday, February 12th. Finally, Deutsche Bank Aktiengesellschaft reiterated a "buy" rating and set a $660.00 target price on shares of AppLovin in a report on Thursday, May 7th. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have issued a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat, the stock has an average rating of "Moderate Buy" and an average price target of $664.35.

Insider Activity

In other AppLovin news, CEO Arash Adam Foroughi sold 40,704 shares of the stock in a transaction that occurred on Thursday, March 12th. The shares were sold at an average price of $459.85, for a total value of $18,717,734.40. Following the sale, the chief executive officer directly owned 2,430,414 shares of the company's stock, valued at approximately $1,117,625,877.90. This represents a 1.65% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this link. Also, CFO Matthew Stumpf sold 9,052 shares of the stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $600.00, for a total transaction of $5,431,200.00. Following the completion of the sale, the chief financial officer directly owned 177,450 shares in the company, valued at approximately $106,470,000. This represents a 4.85% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. In the last 90 days, insiders sold 464,016 shares of company stock valued at $218,477,985. 13.66% of the stock is currently owned by company insiders.

AppLovin Company Profile

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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