Insider Selling: AppLovin (NASDAQ:APP) CEO Sells 20,833 Shares of Stock

Key Points

• AppLovin CEO Arash Adam Foroughi sold shares multiple times between June 10 and June 12, including a June 10 sale of 20,833 shares for about $10.5 million. Additional sales later in the week totaled several more million dollars, trimming his stake slightly.
• Despite the insider selling, AppLovin stock rose 3.8% on Friday to $496.77. The shares are still below the 200-day moving average, but the company remains a large-cap name with a market value of about $166.9 billion.
• The company’s recent fundamentals were strong, with the latest quarterly report showing EPS of $3.56 versus $3.44 expected and revenue of $1.84 billion, up 58.9% year over year. Analysts currently have a consensus Moderate Buy rating on the stock.

AppLovin Corporation (NASDAQ:APP - Get Free Report) CEO Arash Adam Foroughi sold 20,833 shares of the business's stock in a transaction dated Wednesday, June 10th. The shares were sold at an average price of $503.91, for a total transaction of $10,497,957.03. Following the completion of the sale, the chief executive officer owned 2,962,184 shares of the company's stock, valued at approximately $1,492,674,139.44. This represents a 0.70% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available at this link.

Arash Adam Foroughi also recently made the following trade(s):

• On Thursday, June 11th, Arash Adam Foroughi sold 8,624 shares of AppLovin stock. The shares were sold at an average price of $476.30, for a total transaction of $4,107,611.20.
• On Friday, June 12th, Arash Adam Foroughi sold 19,123 shares of AppLovin stock. The shares were sold at an average price of $482.02, for a total transaction of $9,217,668.46.
• On Thursday, June 11th, Arash Adam Foroughi sold 33,042 shares of AppLovin stock. The shares were sold at an average price of $486.95, for a total transaction of $16,089,801.90.
• On Friday, June 12th, Arash Adam Foroughi sold 22,544 shares of AppLovin stock. The stock was sold at an average price of $494.98, for a total transaction of $11,158,829.12.

AppLovin Stock Up 3.8%

Shares of AppLovin stock traded up $18.20 on Friday, reaching $496.77. The stock had a trading volume of 4,334,425 shares, compared to its average volume of 4,517,439. The company has a 50 day moving average price of $482.88 and a 200 day moving average price of $520.84. The company has a quick ratio of 3.24, a current ratio of 3.24 and a debt-to-equity ratio of 1.49. AppLovin Corporation has a 1 year low of $320.00 and a 1 year high of $745.61. The stock has a market capitalization of $166.88 billion, a P/E ratio of 42.68, a P/E/G ratio of 0.78 and a beta of 2.45.

AppLovin (NASDAQ:APP - Get Free Report) last issued its quarterly earnings data on Wednesday, May 6th. The company reported $3.56 earnings per share (EPS) for the quarter, topping 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 firm had revenue of $1.84 billion for the quarter, compared to the consensus estimate of $1.77 billion. During the same quarter in the previous year, the firm earned $1.67 EPS. The company's quarterly revenue was up 58.9% compared to the same quarter last year. As a group, equities research analysts forecast that AppLovin Corporation will post 15.86 EPS for the current year.

AppLovin News Summary

Here are the key news stories impacting AppLovin this week:

• Negative Sentiment: CEO Arash Adam Foroughi sold additional AppLovin shares on June 10, 11, and 12, including several transactions worth millions of dollars, which may pressure investor confidence in the near term. SEC filing
• Neutral Sentiment: Recent commentary from analysts and financial media remained constructive overall, with one piece arguing AppLovin’s selloff looks detached from fundamentals and highlighting strong Q1 revenue, EBITDA, and free cash flow growth. Article
• Neutral Sentiment: Separately, coverage noted that brokers still generally view AppLovin as an attractive stock, though these recommendations are often considered lagging indicators and may not move the shares much on their own. Article

Institutional Trading of AppLovin

Large investors have recently bought and sold shares of the stock. Vanguard Group Inc. lifted its stake in shares of AppLovin by 39.4% in the 3rd quarter. Vanguard Group Inc. now owns 24,954,458 shares of the company's stock valued at $17,930,776,000 after purchasing an additional 7,051,663 shares during the period. State Street Corp lifted its stake in shares of AppLovin by 111.1% in the 3rd quarter. State Street Corp now owns 11,852,466 shares of the company's stock valued at $8,516,471,000 after purchasing an additional 6,237,051 shares during the period. Corient Private Wealth LLC lifted its stake in shares of AppLovin by 3,118.6% in the 4th quarter. Corient Private Wealth LLC now owns 4,194,071 shares of the company's stock valued at $2,826,049,000 after purchasing an additional 4,063,763 shares during the period. Norges Bank acquired a new position in shares of AppLovin in the 4th quarter valued at $2,040,321,000. Finally, Capital Research Global Investors acquired a new position in shares of AppLovin in the 3rd quarter valued at $743,899,000. Hedge funds and other institutional investors own 41.85% of the company's stock.

Analyst Ratings Changes

A number of brokerages have recently issued reports on APP. UBS Group cut their price objective on shares of AppLovin from $740.00 to $716.00 and set a "buy" rating on the stock in a research report on Thursday, May 7th. JPMorgan Chase & Co. lifted their price objective on shares of AppLovin from $500.00 to $515.00 and gave the stock a "neutral" rating in a research report on Thursday, May 7th. Argus began coverage on shares of AppLovin in a research report on Tuesday, April 14th. They issued a "buy" rating and a $520.00 price objective on the stock. Deutsche Bank Aktiengesellschaft reaffirmed a "buy" rating and issued a $660.00 price objective on shares of AppLovin in a research report on Thursday, May 7th. Finally, Piper Sandler reaffirmed an "overweight" rating on shares of AppLovin in a research report on Tuesday. One equities research analyst has rated the stock with a Strong Buy rating, seventeen have given a Buy rating and five have assigned a Hold rating to the company. According to MarketBeat, the stock presently has a consensus rating of "Moderate Buy" and an average price target of $669.62.

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.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.