AppLovin (NASDAQ:APP) Shares Down 1.7% – What’s Next?

AppLovin Corporation (NASDAQ:APP) fell 1.7% during trading on Wednesday . The company traded as low as $578.00 and last traded at $584.86. 4,421,464 shares traded hands during trading, a decline of 38% from the average session volume of 7,154,788 shares. The stock had previously closed at $594.91.

Analysts Set New Price Targets

Several analysts have recently commented on the company. Weiss Ratings upgraded AppLovin from a “hold (c+)” rating to a “buy (b-)” rating in a report on Friday, November 7th. Wells Fargo & Company increased their price objective on shares of AppLovin from $633.00 to $721.00 and gave the stock an “overweight” rating in a report on Friday, November 7th. Benchmark raised their price objective on shares of AppLovin from $640.00 to $700.00 and gave the company a “buy” rating in a research report on Thursday, November 6th. Wedbush upped their target price on shares of AppLovin from $745.00 to $800.00 and gave the stock an “outperform” rating in a research report on Thursday, November 6th. Finally, Deutsche Bank Aktiengesellschaft set a $705.00 price target on shares of AppLovin and gave the company a “buy” rating in a report on Wednesday, October 22nd. Twenty-one research analysts have rated the stock with a Buy rating, four have issued a Hold rating and one has given a Sell rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Moderate Buy” and an average price target of $658.27.

AppLovin Trading Down 1.7%

The business’s 50 day simple moving average is $610.59 and its 200-day simple moving average is $458.23. The company has a debt-to-equity ratio of 2.38, a current ratio of 3.25 and a quick ratio of 3.25. The stock has a market capitalization of $197.83 billion, a P/E ratio of 70.98, a PEG ratio of 3.48 and a beta of 2.50.

AppLovin (NASDAQ:APP) last posted its quarterly earnings results on Wednesday, November 5th. The company reported $2.45 earnings per share for the quarter, beating analysts’ consensus estimates of $2.34 by $0.11. AppLovin had a return on equity of 258.49% and a net margin of 51.27%.The company had revenue of $1.41 billion for the quarter, compared to the consensus estimate of $1.34 billion. During the same quarter in the prior year, the business posted $1.29 EPS. The firm’s quarterly revenue was up 68.2% on a year-over-year basis. AppLovin has set its Q4 2025 guidance at EPS. As a group, analysts forecast that AppLovin Corporation will post 6.87 EPS for the current year.

Insider Buying and Selling

In other news, CTO Vasily Shikin sold 30,000 shares of the company’s stock in a transaction dated Friday, August 22nd. The stock was sold at an average price of $437.57, for a total value of $13,127,100.00. Following the completion of the sale, the chief technology officer directly owned 3,360,104 shares of the company’s stock, valued at $1,470,280,707.28. This represents a 0.88% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this hyperlink. Also, Director Herald Y. Chen sold 200,000 shares of the stock in a transaction that occurred on Thursday, August 14th. The shares were sold at an average price of $432.49, for a total transaction of $86,498,000.00. Following the completion of the sale, the director owned 181,929 shares in the company, valued at $78,682,473.21. This represents a 52.37% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. Insiders have sold a total of 634,138 shares of company stock valued at $275,386,598 over the last 90 days. 13.66% of the stock is owned by corporate insiders.

Institutional Inflows and Outflows

Several hedge funds and other institutional investors have recently added to or reduced their stakes in APP. Vanguard Group Inc. raised its stake in shares of AppLovin by 39.4% during the 3rd quarter. Vanguard Group Inc. now owns 24,954,458 shares of the company’s stock worth $17,930,776,000 after purchasing an additional 7,051,663 shares in the last quarter. Norges Bank bought a new position in shares of AppLovin in the 2nd quarter valued at about $951,541,000. Dynasty Wealth Management LLC increased its stake in shares of AppLovin by 117,664.4% during the 1st quarter. Dynasty Wealth Management LLC now owns 2,702,694 shares of the company’s stock worth $716,133,000 after purchasing an additional 2,700,399 shares during the last quarter. Rakuten Investment Management Inc. bought a new stake in shares of AppLovin in the 3rd quarter valued at about $1,456,108,000. Finally, Price T Rowe Associates Inc. MD lifted its stake in AppLovin by 36.7% in the 1st quarter. Price T Rowe Associates Inc. MD now owns 6,588,483 shares of the company’s stock valued at $1,745,752,000 after purchasing an additional 1,769,400 shares during the last quarter. 41.85% of the stock is currently owned by institutional investors.

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.