William Blair Has Optimistic Outlook of AppLovin Q1 Earnings

AppLovin Co. (NASDAQ:APP - Free Report) - Research analysts at William Blair increased their Q1 2025 earnings per share (EPS) estimates for shares of AppLovin in a research report issued to clients and investors on Thursday, February 13th. William Blair analyst R. Schackart now forecasts that the company will post earnings of $1.42 per share for the quarter, up from their prior estimate of $1.37. The consensus estimate for AppLovin's current full-year earnings is $6.64 per share. William Blair also issued estimates for AppLovin's Q2 2025 earnings at $1.46 EPS, Q3 2025 earnings at $1.66 EPS and FY2025 earnings at $6.46 EPS.

APP has been the topic of several other research reports. Bank of America increased their price objective on AppLovin from $375.00 to $580.00 and gave the stock a "buy" rating in a research report on Thursday, February 13th. Citigroup raised their price target on shares of AppLovin from $460.00 to $600.00 and gave the stock a "buy" rating in a research report on Wednesday. The Goldman Sachs Group boosted their price objective on shares of AppLovin from $220.00 to $335.00 and gave the company a "neutral" rating in a report on Monday, January 27th. Loop Capital raised their target price on shares of AppLovin from $385.00 to $450.00 and gave the stock a "buy" rating in a report on Monday, December 16th. Finally, Piper Sandler increased their price target on AppLovin from $400.00 to $575.00 and gave the stock an "overweight" rating in a research report on Thursday, February 13th. Four analysts have rated the stock with a hold rating, fourteen have given a buy rating and one has given a strong buy rating to the company's stock. Based on data from MarketBeat, AppLovin presently has an average rating of "Moderate Buy" and a consensus target price of $430.41.

AppLovin Stock Performance

Shares of NASDAQ APP traded up $4.26 during trading hours on Monday, reaching $500.26. 2,776,585 shares of the stock were exchanged, compared to its average volume of 4,999,068. The firm has a market capitalization of $167.88 billion, a price-to-earnings ratio of 110.04, a P/E/G ratio of 3.84 and a beta of 2.30. The stock's fifty day simple moving average is $358.18 and its 200 day simple moving average is $237.58. The company has a debt-to-equity ratio of 3.70, a quick ratio of 2.41 and a current ratio of 2.41. AppLovin has a 52 week low of $54.50 and a 52 week high of $525.15.

AppLovin (NASDAQ:APP - Get Free Report) last released its quarterly earnings results on Wednesday, February 12th. The company reported $1.73 earnings per share for the quarter, beating the consensus estimate of $1.12 by $0.61. AppLovin had a net margin of 33.54% and a return on equity of 188.55%.

Hedge Funds Weigh In On AppLovin

Several institutional investors and hedge funds have recently added to or reduced their stakes in the business. JFS Wealth Advisors LLC grew its stake in shares of AppLovin by 38.2% in the fourth quarter. JFS Wealth Advisors LLC now owns 105 shares of the company's stock worth $34,000 after purchasing an additional 29 shares during the last quarter. HighPoint Advisor Group LLC grew its position in shares of AppLovin by 1.7% in the 4th quarter. HighPoint Advisor Group LLC now owns 1,822 shares of the company's stock valued at $590,000 after buying an additional 31 shares during the last quarter. Quadrant Capital Group LLC increased its stake in shares of AppLovin by 6.7% in the fourth quarter. Quadrant Capital Group LLC now owns 526 shares of the company's stock valued at $170,000 after buying an additional 33 shares during the period. Forum Financial Management LP raised its position in shares of AppLovin by 0.9% during the fourth quarter. Forum Financial Management LP now owns 3,776 shares of the company's stock worth $1,223,000 after acquiring an additional 33 shares during the last quarter. Finally, Truvestments Capital LLC lifted its stake in shares of AppLovin by 0.7% in the fourth quarter. Truvestments Capital LLC now owns 5,236 shares of the company's stock worth $1,696,000 after acquiring an additional 38 shares during the period. 41.85% of the stock is currently owned by institutional investors and hedge funds.

Insider Buying and Selling

In other AppLovin news, insider Victoria Valenzuela sold 17,925 shares of the stock in a transaction dated Tuesday, December 3rd. The stock was sold at an average price of $354.15, for a total value of $6,348,138.75. Following the completion of the transaction, the insider now directly owns 405,676 shares in the company, valued at approximately $143,670,155.40. This trade represents a 4.23 % decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Herald Y. Chen sold 99,000 shares of the business's stock in a transaction dated Thursday, December 12th. The stock was sold at an average price of $329.50, for a total value of $32,620,500.00. Following the sale, the director now owns 621,209 shares in the company, valued at approximately $204,688,365.50. This trade represents a 13.75 % decrease in their ownership of the stock. The disclosure for this sale can be found here. Insiders sold a total of 828,991 shares of company stock worth $267,640,144 in the last three months. 14.69% of the stock is owned by corporate insiders.

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.