AppFolio (NASDAQ:APPF) Reaches New 12-Month Low – Should You Sell?

AppFolio, Inc. (NASDAQ:APPF) shares reached a new 52-week low on Monday . The stock traded as low as $142.56 and last traded at $143.4770, with a volume of 231948 shares. The stock had previously closed at $151.50.

Analyst Upgrades and Downgrades

A number of equities research analysts have recently issued reports on the stock. Benchmark upped their target price on shares of AppFolio from $222.00 to $226.00 and gave the company a “buy” rating in a research note on Friday, April 24th. Weiss Ratings lowered AppFolio from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday, June 11th. UBS Group set a $210.00 price objective on AppFolio in a research note on Friday, April 24th. Wall Street Zen raised AppFolio from a “hold” rating to a “buy” rating in a report on Sunday, March 15th. Finally, Piper Sandler decreased their target price on AppFolio from $245.00 to $210.00 and set an “overweight” rating for the company in a research report on Friday, April 24th. Nine analysts have rated the stock with a Buy rating and one has assigned a Hold rating to the stock. Based on data from MarketBeat.com, AppFolio has a consensus rating of “Moderate Buy” and an average price target of $252.29.

AppFolio Trading Up 1.5%

The firm has a market cap of $5.26 billion, a P/E ratio of 35.43 and a beta of 0.80. The business’s 50-day moving average is $160.59 and its two-hundred day moving average is $183.96.

AppFolio (NASDAQ:APPF) last issued its earnings results on Thursday, April 23rd. The software maker reported $1.61 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.47 by $0.14. AppFolio had a net margin of 15.27% and a return on equity of 32.35%. The firm had revenue of $262.21 million for the quarter, compared to analysts’ expectations of $258.13 million. During the same quarter last year, the company posted $1.21 earnings per share. AppFolio’s revenue was up 20.7% on a year-over-year basis. On average, analysts anticipate that AppFolio, Inc. will post 5.04 earnings per share for the current year.

Insider Buying and Selling

In related news, insider Elizabeth Erin Barat sold 1,978 shares of the business’s stock in a transaction that occurred on Tuesday, May 12th. The stock was sold at an average price of $158.12, for a total transaction of $312,761.36. Following the completion of the transaction, the insider owned 21,545 shares in the company, valued at $3,406,695.40. The trade was a 8.41% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available through this hyperlink. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CFO Timothy Mathias Eaton sold 2,585 shares of the company’s stock in a transaction on Friday, June 12th. The stock was sold at an average price of $160.07, for a total value of $413,780.95. Following the transaction, the chief financial officer owned 18,036 shares of the company’s stock, valued at approximately $2,887,022.52. The trade was a 12.54% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. In the last 90 days, insiders sold 8,957 shares of company stock worth $1,399,501. Company insiders own 1.57% of the company’s stock.

Institutional Trading of AppFolio

Large investors have recently modified their holdings of the company. Pacer Advisors Inc. lifted its holdings in AppFolio by 1,913.2% in the first quarter. Pacer Advisors Inc. now owns 71,790 shares of the software maker’s stock worth $11,330,000 after purchasing an additional 68,224 shares during the period. Optiver Holding B.V. grew its position in AppFolio by 827.8% in the 1st quarter. Optiver Holding B.V. now owns 167 shares of the software maker’s stock valued at $26,000 after buying an additional 149 shares in the last quarter. Bank of America Corp DE increased its stake in AppFolio by 21.7% during the 1st quarter. Bank of America Corp DE now owns 345,603 shares of the software maker’s stock valued at $54,543,000 after buying an additional 61,641 shares during the period. Edgestream Partners L.P. raised its position in shares of AppFolio by 90.6% during the 1st quarter. Edgestream Partners L.P. now owns 70,110 shares of the software maker’s stock worth $11,065,000 after buying an additional 33,331 shares in the last quarter. Finally, South Dakota Investment Council raised its position in shares of AppFolio by 37.0% during the 1st quarter. South Dakota Investment Council now owns 6,660 shares of the software maker’s stock worth $1,051,000 after buying an additional 1,800 shares in the last quarter. Institutional investors and hedge funds own 85.19% of the company’s stock.

About AppFolio

AppFolio, Inc is a Santa Barbara–based provider of cloud-based software solutions for the property management and legal industries. Founded in 2006 by former software executives, the company went public on the NASDAQ under the symbol APPF in 2015. Its original offering, AppFolio Property Manager, automates accounting, marketing, leasing, and maintenance functions for residential, commercial, student housing, and community association managers.

In 2019, AppFolio expanded its portfolio with the acquisition of MyCase, a web-based legal practice management platform for small to mid-size law firms.