AppLovin (NASDAQ:APP) Shares Down 1.8% – Time to Sell?

AppLovin Corporation (NASDAQ:APP) traded down 1.8% on Friday . The company traded as low as $708.20 and last traded at $714.23. 1,759,172 shares traded hands during mid-day trading, a decline of 74% from the average session volume of 6,746,487 shares. The stock had previously closed at $727.50.

Analyst Ratings Changes

A number of research analysts have issued reports on the company. Zacks Research downgraded AppLovin from a “strong-buy” rating to a “hold” rating in a research note on Monday, October 6th. Bank of America lifted their price objective on shares of AppLovin from $580.00 to $860.00 and gave the stock a “buy” rating in a research report on Wednesday, October 1st. Piper Sandler increased their target price on shares of AppLovin from $740.00 to $800.00 and gave the company an “overweight” rating in a research report on Thursday, November 6th. Jefferies Financial Group lifted their price target on shares of AppLovin from $800.00 to $860.00 and gave the stock a “buy” rating in a report on Thursday, December 11th. Finally, Weiss Ratings reissued a “buy (b-)” rating on shares of AppLovin in a report on Monday. Nineteen research analysts have rated the stock with a Buy rating, four have assigned a Hold rating and one has issued a Sell rating to the company’s stock. According to MarketBeat.com, the stock has a consensus rating of “Moderate Buy” and a consensus price target of $695.90.

AppLovin Stock Down 1.8%

The stock has a market capitalization of $241.38 billion, a P/E ratio of 86.68, a price-to-earnings-growth ratio of 3.90 and a beta of 2.51. 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 fifty day moving average price of $627.63 and a 200 day moving average price of $520.03.

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

Insider Activity

In other AppLovin news, insider Victoria Valenzuela sold 7,609 shares of the firm’s stock in a transaction on Thursday, December 18th. The shares were sold at an average price of $657.13, for a total value of $5,000,102.17. Following the completion of the transaction, the insider directly owned 277,110 shares of the company’s stock, valued at $182,097,294.30. This trade represents a 2.67% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Also, CEO Arash Adam Foroughi sold 4,069 shares of the company’s stock in a transaction on Friday, November 21st. The stock was sold at an average price of $497.50, for a total transaction of $2,024,327.50. Following the completion of the transaction, the chief executive officer directly owned 2,998,948 shares in the company, valued at approximately $1,491,976,630. The trade was a 0.14% decrease in their position. The SEC filing for this sale provides additional information. Over the last 90 days, insiders have sold 340,336 shares of company stock valued at $200,062,623. 13.66% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Several institutional investors have recently modified their holdings of APP. Vanguard Group Inc. increased its holdings in shares of AppLovin by 39.4% in the 3rd quarter. Vanguard Group Inc. now owns 24,954,458 shares of the company’s stock worth $17,930,776,000 after buying an additional 7,051,663 shares during the last quarter. State Street Corp raised its position in AppLovin by 111.1% during the third quarter. State Street Corp now owns 11,852,466 shares of the company’s stock valued at $8,516,471,000 after purchasing an additional 6,237,051 shares in the last quarter. Norges Bank bought a new stake in AppLovin during the second quarter worth about $951,541,000. Rakuten Investment Management Inc. purchased a new position in shares of AppLovin in the 3rd quarter worth about $1,456,108,000. Finally, Jennison Associates LLC increased its position in shares of AppLovin by 55.2% during the 3rd quarter. Jennison Associates LLC now owns 3,886,150 shares of the company’s stock valued at $2,792,355,000 after purchasing an additional 1,381,970 shares during the last quarter. 41.85% of the stock is currently owned by institutional investors.

AppLovin Company Profile

AppLovin Corporation is a Palo Alto–based mobile technology company that provides software and services to help app developers grow and monetize their businesses. The company operates a data-driven advertising and marketing platform that connects app publishers and advertisers, delivering tools for user acquisition, monetization, analytics and creative optimization. AppLovin’s technology is integrated into a broad set of mobile applications through software development kits (SDKs) and ad products designed to maximize revenue and engagement for developers.

Key components of AppLovin’s offering include an ad mediation and exchange platform that enables publishers to manage and monetize inventory across multiple demand sources, and a user-acquisition platform that helps advertisers target and scale campaigns.