AppLovin (NASDAQ:APP) Shares Down 7.2% – Here’s What Happened

AppLovin Co. (NASDAQ:APP)’s share price was down 7.2% during mid-day trading on Tuesday . The company traded as low as $307.57 and last traded at $313.18. Approximately 3,113,687 shares traded hands during mid-day trading, a decline of 36% from the average daily volume of 4,896,114 shares. The stock had previously closed at $337.34.

Analysts Set New Price Targets

A number of research analysts have recently commented on the stock. JPMorgan Chase & Co. increased their target price on shares of AppLovin from $325.00 to $475.00 and gave the stock a “neutral” rating in a report on Thursday, February 13th. Oppenheimer reissued an “outperform” rating and issued a $560.00 price objective (up previously from $480.00) on shares of AppLovin in a research note on Thursday, February 13th. Daiwa America upgraded shares of AppLovin from a “hold” rating to a “strong-buy” rating in a research report on Friday, November 8th. Needham & Company LLC reiterated a “hold” rating on shares of AppLovin in a report on Thursday, February 13th. Finally, Daiwa Capital Markets raised AppLovin from a “neutral” rating to an “outperform” rating and raised their price objective for the company from $80.00 to $280.00 in a report on Friday, November 8th. Four research analysts have rated the stock with a hold rating, fourteen have assigned a buy rating and one has given a strong buy rating to the company’s stock. According to MarketBeat.com, the company has an average rating of “Moderate Buy” and an average target price of $452.29.

AppLovin Trading Down 3.0 %

The stock has a market cap of $109.82 billion, a P/E ratio of 72.08, a price-to-earnings-growth ratio of 3.02 and a beta of 2.30. The company has a debt-to-equity ratio of 3.70, a quick ratio of 2.41 and a current ratio of 2.41. The firm’s fifty day simple moving average is $367.64 and its 200-day simple moving average is $257.15.

AppLovin (NASDAQ:APP) last announced its earnings results on Wednesday, February 12th. The company reported $1.73 earnings per share for the quarter, topping analysts’ consensus estimates of $1.12 by $0.61. AppLovin had a net margin of 33.54% and a return on equity of 188.55%. Equities research analysts expect that AppLovin Co. will post 6.87 EPS for the current fiscal year.

Insider Activity

In other AppLovin news, insider Victoria Valenzuela sold 15,971 shares of AppLovin stock in a transaction on Thursday, December 19th. The shares were sold at an average price of $313.07, for a total value of $5,000,040.97. Following the completion of the sale, the insider now directly owns 372,205 shares of the company’s stock, valued at approximately $116,526,219.35. The trade was a 4.11 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is accessible through this hyperlink. Also, CEO Arash Adam Foroughi sold 1,676 shares of the company’s stock in a transaction dated Tuesday, December 10th. The shares were sold at an average price of $356.39, for a total transaction of $597,309.64. Following the transaction, the chief executive officer now owns 3,058,635 shares in the company, valued at $1,090,066,927.65. This represents a 0.05 % decrease in their position. The disclosure for this sale can be found here. Insiders have sold 206,947 shares of company stock valued at $75,810,416 in the last ninety days. 14.69% of the stock is owned by company insiders.

Institutional Trading of AppLovin

Hedge funds and other institutional investors have recently added to or reduced their stakes in the company. Capital Performance Advisors LLP acquired a new stake in AppLovin in the third quarter valued at approximately $25,000. GHP Investment Advisors Inc. acquired a new stake in AppLovin in the 4th quarter valued at $25,000. Fuller & Thaler Asset Management Inc. bought a new stake in AppLovin during the 4th quarter valued at $25,000. Meeder Asset Management Inc. acquired a new position in AppLovin during the third quarter worth $27,000. Finally, Riverview Trust Co lifted its stake in shares of AppLovin by 1,640.0% in the fourth quarter. Riverview Trust Co now owns 87 shares of the company’s stock valued at $28,000 after buying an additional 82 shares in the last quarter. 41.85% of the stock is owned by institutional investors.

AppLovin Company Profile

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.