Needham & Company LLC Cuts AppLovin (NASDAQ:APP) Price Target to $475.00

AppLovin (NASDAQ:APP) had its price objective lowered by Needham & Company LLC from $500.00 to $475.00 in a research note released on Wednesday morning, MarketBeat Ratings reports. The brokerage currently has a buy rating on the stock.

Several other brokerages have also commented on APP. BTIG Research decreased their price target on AppLovin from $574.00 to $408.00 and set a “buy” rating on the stock in a research note on Wednesday, August 12th. UBS Group cut their price objective on AppLovin from $798.00 to $790.00 and set a “buy” rating for the company in a research report on Thursday, August 6th. The Goldman Sachs Group reduced their price objective on shares of AppLovin from $585.00 to $465.00 and set a “neutral” rating on the stock in a report on Thursday, August 6th. Royal Bank Of Canada lowered their target price on shares of AppLovin from $700.00 to $575.00 and set an “outperform” rating for the company in a research note on Thursday, August 6th. Finally, Raymond James Financial assumed coverage on shares of AppLovin in a research report on Monday, June 29th. They set a “strong-buy” rating and a $640.00 price target for the company. Three research analysts have rated the stock with a Strong Buy rating, thirteen have issued a Buy rating and eight have given a Hold rating to the company. Based on data from MarketBeat, the company presently has an average rating of “Moderate Buy” and an average price target of $552.74.

AppLovin Stock Up 1.6%

Shares of NASDAQ APP opened at $317.76 on Wednesday. The company has a market capitalization of $106.34 billion, a P/E ratio of 24.42, a P/E/G ratio of 0.63 and a beta of 2.54. The company has a debt-to-equity ratio of 1.11, a current ratio of 4.30 and a quick ratio of 4.30. The company has a 50 day simple moving average of $409.53 and a 200-day simple moving average of $444.27. AppLovin has a 1 year low of $297.50 and a 1 year high of $745.61.

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. The firm had revenue of $1.92 billion for the quarter, compared to analysts’ expectations of $1.94 billion. AppLovin had a return on equity of 193.10% and a net margin of 64.58%.The firm’s quarterly revenue was up 52.8% on a year-over-year basis. During the same period in the prior year, the firm posted $2.39 earnings per share. On average, equities research analysts predict that AppLovin will post 15.53 earnings per share for the current year.

Insider Transactions at AppLovin

In related news, Director Maynard G. Webb, Jr. sold 3,076 shares of the business’s stock in a transaction on Monday, July 6th. The stock was sold at an average price of $521.29, for a total value of $1,603,488.04. Following the sale, the director owned 120,444 shares in the company, valued at approximately $62,786,252.76. The trade was a 2.49% decrease in their position. The transaction was disclosed in a filing with the Securities & Exchange Commission, which can be accessed through this hyperlink. Also, Director Eduardo Vivas sold 163,910 shares of the stock in a transaction dated Tuesday, June 16th. The stock was sold at an average price of $504.06, for a total value of $82,620,474.60. Following the transaction, the director directly owned 6,785,087 shares in the company, valued at approximately $3,420,090,953.22. The trade was a 2.36% decrease in their position. The disclosure for this sale is available in the SEC filing. Over the last three months, insiders sold 294,228 shares of company stock valued at $148,403,985. Corporate insiders own 12.81% of the company’s stock.

Institutional Trading of AppLovin

Several hedge funds have recently made changes to their positions in APP. California State Teachers Retirement System increased its stake in AppLovin by 50,874.8% during the 2nd quarter. California State Teachers Retirement System now owns 178,017,633 shares of the company’s stock worth $91,720,025,000 after buying an additional 177,668,406 shares during the period. State Street Corp boosted its position in AppLovin by 111.1% in the 3rd quarter. State Street Corp now owns 11,852,466 shares of the company’s stock valued at $8,516,471,000 after buying an additional 6,237,051 shares during the period. Corient Private Wealth LLC grew its stake in shares of AppLovin by 3,118.6% in the fourth quarter. Corient Private Wealth LLC now owns 4,194,071 shares of the company’s stock worth $2,826,049,000 after acquiring an additional 4,063,763 shares in the last quarter. Norges Bank acquired a new position in shares of AppLovin in the fourth quarter worth $2,040,321,000. Finally, Bank of New York Mellon Corp purchased a new stake in shares of AppLovin during the second quarter worth $730,015,000. Institutional investors and hedge funds own 41.85% of the company’s stock.

AppLovin News Summary

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: Options activity was unusually heavy, with traders purchasing 47,438 call options—about 32% above the average call volume. The activity may indicate renewed speculative interest or expectations for a recovery, although options flow is not a definitive forecast. Do Options Traders Know Something About AppLovin Stock We Don’t?
• Positive Sentiment: AppLovin’s valuation has become more supportable after a roughly 54% year-to-date selloff. Its reported fundamentals remain strong, including 52.8% year-over-year revenue growth, a high net margin and substantial cash generation, helping fuel the value-oriented rebound thesis. AppLovin Rises After Year-to-Date Slide
• Neutral Sentiment: A comparison with Meta Platforms highlights AppLovin’s faster percentage growth but Meta’s much larger scale. Investors are assessing whether AppLovin can sustain its growth advantage.
• Negative Sentiment: Needham & Company lowered its expectations for AppLovin’s stock price, potentially limiting the recovery and reinforcing concerns about valuation or future growth.
• Negative Sentiment: Recent analysis emphasizes that AppLovin has historically experienced sharper declines than the broader market. Another comparison found Coherent more attractive based on faster expected growth, stronger earnings-estimate momentum and a lower valuation, despite AppLovin’s superior margins and cash flow. AppLovin Stock Has Already Taken a Shock-Sized Fall

About AppLovin

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.