AppLovin (NASDAQ:APP) Stock Price Up 2.7% – Should You Buy?

Shares of AppLovin Corporation (NASDAQ:APP) rose 2.7% during trading on Friday . The stock traded as high as $652.87 and last traded at $637.33. Approximately 4,306,271 shares were traded during trading, a decline of 40% from the average daily volume of 7,214,493 shares. The stock had previously closed at $620.62.

Analyst Upgrades and Downgrades

A number of brokerages have commented on APP. Piper Sandler boosted their target price on AppLovin from $500.00 to $740.00 and gave the company an “overweight” rating in a research note on Friday, September 26th. Weiss Ratings cut AppLovin from a “buy (b-)” rating to a “hold (c+)” rating in a research note on Friday, October 24th. Royal Bank Of Canada assumed coverage on shares of AppLovin in a research report on Monday, October 13th. They set an “outperform” rating and a $700.00 price objective on the stock. BTIG Research lifted their target price on shares of AppLovin from $664.00 to $693.00 and gave the company a “buy” rating in a research note on Friday. Finally, Benchmark boosted their target price on shares of AppLovin from $525.00 to $640.00 and gave the stock a “buy” rating in a research report on Monday, September 15th. One research analyst has rated the stock with a Strong Buy rating, twenty-one have given a Buy rating, five have issued a Hold rating and one has assigned a Sell rating to the stock. Based on data from MarketBeat.com, AppLovin has an average rating of “Moderate Buy” and an average price target of $606.39.

AppLovin Trading Up 2.7%

The company has a quick ratio of 2.74, a current ratio of 2.74 and a debt-to-equity ratio of 3.01. The company has a market cap of $215.58 billion, a price-to-earnings ratio of 90.53, a price-to-earnings-growth ratio of 3.46 and a beta of 2.53. The company’s fifty day moving average price is $589.79 and its two-hundred day moving average price is $438.41.

AppLovin (NASDAQ:APP) last announced its quarterly earnings data on Wednesday, August 6th. The company reported $2.26 EPS for the quarter, topping analysts’ consensus estimates of $2.05 by $0.21. The firm had revenue of $1.26 billion during the quarter, compared to analyst estimates of $1.37 billion. AppLovin had a return on equity of 252.67% and a net margin of 45.72%.The company’s revenue was up 77.1% on a year-over-year basis. During the same period last year, the company earned $0.89 earnings per share. Research analysts expect that AppLovin Corporation will post 6.87 earnings per share for the current year.

Insider Buying and Selling at AppLovin

In related news, insider Victoria Valenzuela sold 35,000 shares of the company’s stock in a transaction dated Thursday, September 4th. The shares were sold at an average price of $502.23, for a total value of $17,578,050.00. Following the transaction, the insider owned 269,955 shares in the company, valued at approximately $135,579,499.65. This represents a 11.48% decrease in their position. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, Director Herald Y. Chen sold 200,000 shares of the firm’s stock in a transaction on Thursday, August 14th. The stock was sold at an average price of $432.49, for a total value of $86,498,000.00. Following the transaction, the director owned 181,929 shares in the company, valued at approximately $78,682,473.21. This trade represents a 52.37% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 1,156,788 shares of company stock valued at $514,863,333 in the last three months. 13.66% of the stock is currently owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors and hedge funds have recently made changes to their positions in the stock. Hilltop National Bank bought a new position in AppLovin in the 2nd quarter valued at approximately $26,000. LFA Lugano Financial Advisors SA bought a new position in shares of AppLovin in the 2nd quarter worth about $26,000. SouthState Corp bought a new position in shares of AppLovin during the 1st quarter worth approximately $29,000. Chilton Capital Management LLC acquired a new stake in AppLovin in the third quarter worth $29,000. Finally, Cornerstone Planning Group LLC grew its stake in shares of AppLovin by 428.0% in the 1st quarter. Cornerstone Planning Group LLC now owns 132 shares of the company’s stock valued at $33,000 after buying an additional 107 shares during the period. Institutional investors own 41.85% of the company’s stock.

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.