Wedbush Weighs in on AppLovin's Q4 Earnings (NASDAQ:APP)

Key Points

• Wedbush has raised its Q4 2025 earnings per share estimate for AppLovin from $2.39 to $2.72, maintaining an "Outperform" rating with a target price of $620.00.
• AppLovin's P/E ratio stands at 64.77, with shares trading around $455.98 and a twelve-month high of $525.15.
• Insiders, including director Herald Y. Chen, have sold a total of 1,200,968 shares worth approximately $450 million in the last ninety days.

AppLovin Corporation (NASDAQ:APP - Free Report) - Analysts at Wedbush raised their Q4 2025 earnings per share estimates for shares of AppLovin in a research note issued on Thursday, August 7th. Wedbush analyst A. Reese now anticipates that the company will earn $2.72 per share for the quarter, up from their previous estimate of $2.39. Wedbush currently has a "Outperform" rating and a $620.00 target price on the stock. The consensus estimate for AppLovin's current full-year earnings is $6.87 per share. Wedbush also issued estimates for AppLovin's Q1 2026 earnings at $2.86 EPS, Q2 2026 earnings at $3.00 EPS, Q3 2026 earnings at $3.15 EPS, Q4 2026 earnings at $3.34 EPS, FY2026 earnings at $12.36 EPS, Q1 2027 earnings at $3.51 EPS, Q2 2027 earnings at $3.68 EPS and FY2027 earnings at $15.13 EPS.

APP has been the subject of several other research reports. Wells Fargo & Company lifted their target price on shares of AppLovin from $405.00 to $480.00 and gave the company an "overweight" rating in a report on Thursday. JPMorgan Chase & Co. lifted their price objective on shares of AppLovin from $400.00 to $425.00 and gave the company a "neutral" rating in a research note on Thursday. UBS Group boosted their price target on shares of AppLovin from $450.00 to $475.00 and gave the stock a "buy" rating in a research note on Thursday, May 8th. Jefferies Financial Group upped their price target on shares of AppLovin from $460.00 to $530.00 and gave the company a "buy" rating in a report on Thursday, May 8th. Finally, The Goldman Sachs Group upped their price target on shares of AppLovin from $335.00 to $435.00 and gave the stock a "neutral" rating in a research report on Friday, May 9th. One equities research analyst has rated the stock with a sell rating, four have given a hold rating, eighteen have given a buy rating and one has issued a strong buy rating to the company. According to data from MarketBeat.com, AppLovin has an average rating of "Moderate Buy" and a consensus price target of $472.33.

AppLovin Trading Up 4.3%

Shares of AppLovin stock opened at $455.98 on Monday. The firm has a market capitalization of $154.30 billion, a PE ratio of 64.77, a P/E/G ratio of 2.60 and a beta of 2.43. The company has a current ratio of 2.74, a quick ratio of 2.74 and a debt-to-equity ratio of 3.01. AppLovin has a twelve month low of $72.81 and a twelve month high of $525.15. The firm's 50-day moving average price is $366.78 and its 200 day moving average price is $339.75.

AppLovin (NASDAQ:APP - Get Free Report) last issued its quarterly earnings results on Wednesday, August 6th. The company reported $2.26 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $2.05 by $0.21. The business had revenue of $1.26 billion for the quarter, compared to the consensus estimate of $1.37 billion. AppLovin had a return on equity of 252.67% and a net margin of 45.72%. The business's quarterly revenue was up 77.1% on a year-over-year basis. During the same period in the prior year, the firm posted $0.89 earnings per share.

Insiders Place Their Bets

In other AppLovin news, Director Herald Y. Chen sold 400,000 shares of the stock in a transaction that occurred on Wednesday, May 14th. The stock was sold at an average price of $374.61, for a total transaction 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 position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is accessible through this link. Also, Director Herald Y. Chen sold 171,420 shares of the stock in a transaction on Tuesday, May 13th. The stock was sold at an average price of $373.77, for a total value of $64,071,653.40. Following the completion of the transaction, the director owned 221,209 shares in the company, valued at approximately $82,681,287.93. This represents a 43.66% decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 1,200,968 shares of company stock worth $450,825,540 in the last ninety days. Insiders own 13.66% of the company's stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently made changes to their positions in APP. Fuller & Thaler Asset Management Inc. bought a new position in shares of AppLovin during the fourth quarter valued at $25,000. Atala Financial Inc bought a new stake in AppLovin during the 1st quarter valued at $26,000. Hilltop National Bank purchased a new position in AppLovin during the 2nd quarter worth $26,000. LFA Lugano Financial Advisors SA purchased a new stake in shares of AppLovin in the second quarter worth about $26,000. Finally, Alpine Bank Wealth Management acquired a new position in AppLovin in the 1st quarter worth about $27,000. Institutional investors own 41.85% of the company's stock.

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.

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