Handelsbanken Fonder AB Sells 14,919 Shares of AppLovin Corporation $APP

Handelsbanken Fonder AB trimmed its stake in shares of AppLovin Corporation (NASDAQ:APP) by 13.7% during the second quarter, according to its most recent disclosure with the Securities and Exchange Commission. The institutional investor owned 93,780 shares of the company’s stock after selling 14,919 shares during the period. Handelsbanken Fonder AB’s holdings in AppLovin were worth $48,318,000 at the end of the most recent reporting period.

Other hedge funds have also modified their holdings of the company. Cassaday & Co Wealth Management LLC bought a new position in AppLovin in the 1st quarter worth approximately $25,000. Washington Trust Advisors Inc. boosted its position in AppLovin by 160.0% in the 4th quarter. Washington Trust Advisors Inc. now owns 39 shares of the company’s stock valued at $27,000 after buying an additional 24 shares during the last quarter. Mcguire Capital Advisors Inc. bought a new position in AppLovin in the 4th quarter valued at $27,000. Laurel Wealth Advisors LLC acquired a new stake in shares of AppLovin in the 4th quarter valued at $32,000. Finally, First Pacific Financial acquired a new stake in shares of AppLovin in the 1st quarter valued at $33,000. 41.85% of the stock is owned by institutional investors.

Key Headlines Impacting AppLovin

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: Some analysts argue the selloff has created an attractive entry point. AppLovin delivered 53% year-over-year second-quarter revenue growth and margins above 75%, while expansion into consumer brands, non-gaming applications, web and connected TV could materially increase its addressable market. AppLovin: I Am Buying The Q2 Stock Plunge
• Positive Sentiment: Other commentary maintains that the market overreacted to AppLovin’s earnings and favors APP over Unity, citing the company’s scale, profitability and long-term artificial-intelligence-driven growth potential. AppLovin Vs. Unity: Buy The Former, The Market Got It Wrong On Earnings
• Neutral Sentiment: Bank of America reaffirmed a Neutral rating but reduced its price target to $400 from $430. The revised target remains above the recent trading level, suggesting potential upside, but reflects lower confidence in the company’s near-term execution. Benzinga analyst note
• Negative Sentiment: The main catalyst for the decline was Bank of America’s downgrade from Buy to Neutral. Analyst Omar Dessouky cited increased uncertainty about AppLovin’s ability to maintain its long-term 30% revenue-growth target. AppLovin shares drop on Bank of America downgrade
• Negative Sentiment: Although second-quarter EPS matched expectations and revenue grew 52.8% year over year, revenue came in slightly below estimates. Analysts also questioned the source of expected sequential growth, raising concerns that the recent slowdown may reflect execution issues rather than temporary timing. APP Stock Falls 17% Since Q2 Earnings
• Negative Sentiment: The stock’s high-growth valuation leaves it particularly sensitive to any evidence that the 30% long-term revenue goal is becoming harder to defend. The downgrade followed a substantial post-earnings pullback, with investors focusing more on growth durability than on AppLovin’s strong margins and upbeat outlook. AppLovin’s Growth Target Just Got Harder to Defend

Wall Street Analysts Forecast Growth

Several equities analysts have recently issued reports on APP shares. UBS Group cut their price target on AppLovin from $798.00 to $790.00 and set a “buy” rating on the stock in a research note on Thursday, August 6th. Royal Bank Of Canada lowered their price objective on AppLovin from $700.00 to $575.00 and set an “outperform” rating for the company in a research report on Thursday, August 6th. Needham & Company LLC dropped their price objective on AppLovin from $700.00 to $500.00 and set a “buy” rating for the company in a report on Thursday, August 6th. BTIG Research cut their target price on shares of AppLovin from $640.00 to $574.00 and set a “buy” rating on the stock in a research report on Thursday, August 6th. Finally, Benchmark reduced their target price on shares of AppLovin from $775.00 to $500.00 and set a “buy” rating on the stock in a research note on Thursday, August 6th. Two research analysts have rated the stock with a Strong Buy rating, fourteen have issued a Buy rating and eight have issued a Hold rating to the company. According to MarketBeat, AppLovin presently has an average rating of “Moderate Buy” and an average target price of $573.45.

Insider Activity at AppLovin

In related news, CFO Matthew Stumpf sold 9,052 shares of AppLovin stock in a transaction that occurred on Thursday, May 28th. The shares were sold at an average price of $600.00, for a total transaction of $5,431,200.00. Following the transaction, the chief financial officer owned 177,450 shares of the company’s stock, valued at $106,470,000. This trade represents a 4.85% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, insider Victoria Valenzuela sold 20,000 shares of AppLovin stock in a transaction that occurred on Thursday, June 4th. The stock was sold at an average price of $565.89, for a total transaction of $11,317,800.00. Following the transaction, the insider directly owned 243,961 shares in the company, valued at $138,055,090.29. The trade was a 7.58% decrease in their position. The disclosure for this sale is available in the SEC filing. In the last three months, insiders sold 393,000 shares of company stock worth $197,297,363. 12.81% of the stock is owned by company insiders.

AppLovin Stock Down 6.0%

NASDAQ:APP opened at $318.68 on Wednesday. The company has a quick ratio of 4.30, a current ratio of 4.30 and a debt-to-equity ratio of 1.11. AppLovin Corporation has a 12-month low of $318.12 and a 12-month high of $745.61. The stock’s fifty day simple moving average is $462.95 and its 200-day simple moving average is $460.08. The firm has a market capitalization of $107.06 billion, a P/E ratio of 24.50, a P/E/G ratio of 0.63 and a beta of 2.54.

AppLovin (NASDAQ:APP) last released its quarterly earnings data on Tuesday, August 4th. The company reported $3.76 EPS for the quarter, meeting analysts’ consensus estimates of $3.76. AppLovin had a return on equity of 193.10% and a net margin of 64.58%.The business had revenue of $1.92 billion during the quarter, compared to the consensus estimate of $1.94 billion. During the same quarter in the prior year, the company posted $2.39 earnings per share. The firm’s revenue was up 52.8% on a year-over-year basis. Equities research analysts expect that AppLovin Corporation will post 15.56 earnings per share for the current year.

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.