AppLovin (NASDAQ:APP) Shares Down 1.8% – Should You Sell?

AppLovin Co. (NASDAQ:APP) dropped 1.8% during mid-day trading on Monday . The stock traded as low as $325.21 and last traded at $329.25. Approximately 750,322 shares traded hands during mid-day trading, a decline of 84% from the average daily volume of 4,582,050 shares. The stock had previously closed at $335.17.

Analyst Ratings Changes

Several equities research analysts have recently commented on APP shares. Jefferies Financial Group lifted their price target on shares of AppLovin from $270.00 to $400.00 and gave the stock a “buy” rating in a research report on Tuesday, November 26th. 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 reissued a “hold” rating on shares of AppLovin in a research note on Thursday, November 7th. Wells Fargo & Company upped their price objective on AppLovin from $250.00 to $360.00 and gave the company an “overweight” rating in a report on Wednesday, November 20th. Finally, Bank of America raised their target price on AppLovin from $252.00 to $375.00 and gave the stock a “buy” rating in a report on Monday, November 25th. One investment analyst has rated the stock with a sell rating, four have issued a hold rating, thirteen have issued a buy rating and one has given a strong buy rating to the stock. According to MarketBeat.com, AppLovin presently has an average rating of “Moderate Buy” and a consensus price target of $310.71.

AppLovin Trading Up 1.2 %

The firm has a market capitalization of $113.85 billion, a price-to-earnings ratio of 102.81, a price-to-earnings-growth ratio of 4.17 and a beta of 2.28. The business’s fifty day moving average is $284.48 and its 200 day moving average is $163.21. The company has a quick ratio of 2.41, a current ratio of 2.41 and a debt-to-equity ratio of 3.70.

AppLovin (NASDAQ:APP) last released its quarterly earnings results on Wednesday, November 6th. The company reported $1.25 earnings per share (EPS) for the quarter, beating the consensus estimate of $0.92 by $0.33. The firm had revenue of $1.20 billion for the quarter, compared to the consensus estimate of $1.13 billion. AppLovin had a return on equity of 122.24% and a net margin of 26.85%. The company’s revenue for the quarter was up 38.6% on a year-over-year basis. During the same quarter last year, the business posted $0.30 EPS. Equities analysts predict that AppLovin Co. will post 4.06 earnings per share for the current year.

Insider Buying and Selling at AppLovin

In other AppLovin news, CMO Katie Kihorany Jansen sold 59,876 shares of the business’s stock in a transaction that occurred on Tuesday, November 12th. The stock was sold at an average price of $286.14, for a total transaction of $17,132,918.64. Following the transaction, the chief marketing officer now owns 1,017,388 shares of the company’s stock, valued at $291,115,402.32. The trade was a 5.56 % decrease in their position. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available through this link. Also, insider Victoria Valenzuela sold 15,971 shares of the stock in a transaction that occurred 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 position. The disclosure for this sale can be found here. In the last quarter, insiders have sold 888,867 shares of company stock worth $284,773,062. Corporate insiders own 14.69% of the company’s stock.

Institutional Trading of AppLovin

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. Capital Performance Advisors LLP acquired a new stake in AppLovin during the 3rd quarter valued at $25,000. DT Investment Partners LLC acquired a new stake in shares of AppLovin during the 3rd quarter worth about $27,000. Meeder Asset Management Inc. bought a new stake in shares of AppLovin during the 3rd quarter worth about $27,000. Raleigh Capital Management Inc. acquired a new position in AppLovin in the 3rd quarter valued at about $29,000. Finally, Quest Partners LLC bought a new position in AppLovin in the 2nd quarter valued at about $33,000. 41.85% of the stock is 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.