AppLovin (NASDAQ:APP) Posts Quarterly Earnings Results, Beats Expectations By $0.12 EPS

AppLovin (NASDAQ:APP) released its earnings results on Wednesday. The company reported $0.89 earnings per share (EPS) for the quarter, topping the consensus estimate of $0.77 by $0.12, Briefing.com reports. The firm had revenue of $1.08 billion during the quarter, compared to analysts’ expectations of $1.08 billion. AppLovin had a return on equity of 51.55% and a net margin of 16.46%. The firm’s revenue was up 44.0% on a year-over-year basis. During the same quarter last year, the business posted $0.22 earnings per share. AppLovin updated its Q3 2024 guidance to EPS.

AppLovin Stock Up 0.8 %

Shares of NASDAQ:APP traded up $0.65 on Friday, reaching $77.38. The company had a trading volume of 4,906,833 shares, compared to its average volume of 4,142,467. The firm has a market capitalization of $25.46 billion, a PE ratio of 45.67, a PEG ratio of 1.27 and a beta of 1.86. The firm’s 50 day simple moving average is $80.08 and its 200-day simple moving average is $70.89. The company has a current ratio of 2.11, a quick ratio of 2.11 and a debt-to-equity ratio of 4.59. AppLovin has a 52-week low of $33.17 and a 52-week high of $91.91.

Insider Activity

In related news, CMO Katie Kihorany Jansen sold 12,755 shares of the company’s stock in a transaction dated Thursday, May 23rd. The stock was sold at an average price of $79.01, for a total value of $1,007,772.55. Following the completion of the transaction, the chief marketing officer now owns 1,236,703 shares of the company’s stock, valued at approximately $97,711,904.03. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through the SEC website. In other AppLovin news, Director Craig Scott Billings sold 5,620 shares of the business’s stock in a transaction that occurred on Monday, May 13th. The stock was sold at an average price of $84.97, for a total transaction of $477,531.40. Following the completion of the sale, the director now directly owns 1,780 shares in the company, valued at approximately $151,246.60. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, CMO Katie Kihorany Jansen sold 12,755 shares of the business’s stock in a transaction that occurred on Thursday, May 23rd. The stock was sold at an average price of $79.01, for a total value of $1,007,772.55. Following the sale, the chief marketing officer now owns 1,236,703 shares of the company’s stock, valued at $97,711,904.03. The disclosure for this sale can be found here. Insiders sold a total of 17,709,742 shares of company stock valued at $1,477,073,771 in the last quarter. 14.69% of the stock is currently owned by company insiders.

Analyst Upgrades and Downgrades

Several equities research analysts have recently issued reports on APP shares. Needham & Company LLC reaffirmed a “hold” rating on shares of AppLovin in a research note on Thursday, May 9th. Morgan Stanley raised their price objective on AppLovin from $55.00 to $70.00 and gave the company an “equal weight” rating in a research note on Tuesday, April 16th. Jefferies Financial Group raised their price objective on AppLovin from $93.00 to $105.00 and gave the company a “buy” rating in a research note on Thursday, May 9th. Stifel Nicolaus raised their price objective on AppLovin from $85.00 to $98.00 and gave the company a “buy” rating in a research note on Thursday, May 9th. Finally, Citigroup raised their price objective on AppLovin from $80.00 to $98.00 and gave the company a “buy” rating in a research note on Friday, May 10th. One research analyst has rated the stock with a sell rating, five have issued a hold rating and twelve have given a buy rating to the company’s stock. According to MarketBeat, the stock has an average rating of “Moderate Buy” and an average target price of $71.60.

AppLovin Company Profile

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.