AppFolio (NASDAQ:APPF) Share Price Crosses Below 50 Day Moving Average - What's Next?

Key Points

• AppFolio shares fell below their 50-day moving average, trading as low as $202.21 versus the $208.66 average, with the latest price near $203.31.
• Analysts remain broadly optimistic, giving the stock a consensus “Moderate Buy” rating and an average price target of $248.50, despite some recent downgrades to “Hold.”
• The company reported quarterly results slightly above expectations, including $1.71 in EPS and $281.12 million in revenue, while revenue grew 19.3% year over year; insiders sold $32.2 million of shares over the past three months.

Shares of AppFolio, Inc. (NASDAQ:APPF - Get Free Report) crossed below its fifty day moving average during trading on Tuesday. The stock has a fifty day moving average of $208.66 and traded as low as $202.21. AppFolio shares last traded at $203.31, with a volume of 329,570 shares trading hands.

Wall Street Analysts Forecast Growth

Several research analysts have issued reports on APPF shares. DA Davidson set a $240.00 price target on shares of AppFolio in a research report on Monday, September 28th. Weiss Ratings upgraded AppFolio from a "hold (c-)" rating to a "hold (c)" rating in a research report on Tuesday, August 11th. Guggenheim started coverage on AppFolio in a research report on Wednesday, July 22nd. They set a "buy" rating and a $232.00 price objective for the company. Wall Street Zen lowered AppFolio from a "buy" rating to a "hold" rating in a research note on Sunday, July 26th. Finally, Zacks Research cut AppFolio from a "strong-buy" rating to a "hold" rating in a report on Wednesday, September 23rd. One investment analyst has rated the stock with a Strong Buy rating, nine have assigned a Buy rating and two have assigned a Hold rating to the company's stock. Based on data from MarketBeat.com, the company presently has a consensus rating of "Moderate Buy" and an average target price of $248.50.

AppFolio Price Performance

The firm has a market cap of $7.20 billion, a PE ratio of 46.42 and a beta of 0.89. The business has a fifty day moving average price of $208.66 and a two-hundred day moving average price of $178.68.

AppFolio (NASDAQ:APPF - Get Free Report) last announced its quarterly earnings data on Thursday, July 23rd. The software maker reported $1.71 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.69 by $0.02. AppFolio had a return on equity of 32.42% and a net margin of 15.13%.The firm had revenue of $281.12 million during the quarter, compared to the consensus estimate of $277.35 million. During the same period in the prior year, the business earned $1.38 EPS. The business's revenue for the quarter was up 19.3% on a year-over-year basis. As a group, sell-side analysts forecast that AppFolio, Inc. will post 5.17 EPS for the current fiscal year.

Insider Buying and Selling

In other AppFolio news, major shareholder Maurice J. Duca sold 2,656 shares of the company's stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $221.85, for a total value of $589,233.60. Following the transaction, the insider owned 8,000 shares in the company, valued at approximately $1,774,800. This represents a 24.92% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Timothy Eaton sold 373 shares of the stock in a transaction that occurred on Wednesday, August 19th. The stock was sold at an average price of $202.61, for a total transaction of $75,573.53. Following the completion of the sale, the chief financial officer owned 16,714 shares of the company's stock, valued at approximately $3,386,423.54. The trade was a 2.18% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders sold 165,517 shares of company stock valued at $32,227,689 over the last three months. 1.57% of the stock is owned by insiders.

Hedge Funds Weigh In On AppFolio

A number of hedge funds have recently modified their holdings of the stock. Riverbridge Partners LLC purchased a new stake in shares of AppFolio during the 1st quarter worth about $13,906,000. Quantum Capital Management LLC NJ acquired a new stake in shares of AppFolio during the 4th quarter valued at about $7,995,000. SG Americas Securities LLC grew its stake in shares of AppFolio by 666.2% in the 1st quarter. SG Americas Securities LLC now owns 25,185 shares of the software maker's stock valued at $3,975,000 after buying an additional 21,898 shares in the last quarter. VIRGINIA RETIREMENT SYSTEMS ET Al bought a new stake in shares of AppFolio in the 2nd quarter valued at approximately $3,004,000. Finally, Royal Bank of Canada grew its stake in shares of AppFolio by 19.6% in the 1st quarter. Royal Bank of Canada now owns 52,466 shares of the software maker's stock valued at $8,280,000 after buying an additional 8,582 shares in the last quarter. 85.19% of the stock is owned by institutional investors and hedge funds.

AppFolio Company Profile

AppFolio, Inc NASDAQ: APPF develops cloud-based software and technology solutions for the real estate industry. Its platform is designed primarily for property managers and real estate businesses, helping them manage operations, accounting, leasing, maintenance, communication, payments and other property-related workflows from a centralized system.

The company's offerings include AppFolio Property Manager and related services for residential, commercial and community association properties.

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