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AppLovin (APP) Stock Dips While Market Gains: Key Facts
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In the latest trading session, AppLovin (APP - Free Report) closed at $76.52, marking a -1.96% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.15%. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq added 0.32%.
Shares of the mobile app technology company witnessed a gain of 30.02% over the previous month, beating the performance of the Business Services sector with its loss of 0.73% and the S&P 500's gain of 1.65%.
Market participants will be closely following the financial results of AppLovin in its upcoming release. The company plans to announce its earnings on May 8, 2024. The company's earnings per share (EPS) are projected to be $0.56, reflecting a 5700% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $967.82 million, indicating a 35.28% upward movement from the same quarter last year.
APP's full-year Zacks Consensus Estimates are calling for earnings of $2.48 per share and revenue of $4.04 billion. These results would represent year-over-year changes of +153.06% and +23.17%, respectively.
Any recent changes to analyst estimates for AppLovin should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, AppLovin is carrying a Zacks Rank of #1 (Strong Buy).
Digging into valuation, AppLovin currently has a Forward P/E ratio of 31.45. For comparison, its industry has an average Forward P/E of 24.31, which means AppLovin is trading at a premium to the group.
Also, we should mention that APP has a PEG ratio of 1.57. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Technology Services industry had an average PEG ratio of 1.68.
The Technology Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 98, this industry ranks in the top 39% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.
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AppLovin (APP) Stock Dips While Market Gains: Key Facts
In the latest trading session, AppLovin (APP - Free Report) closed at $76.52, marking a -1.96% move from the previous day. The stock trailed the S&P 500, which registered a daily gain of 0.15%. Elsewhere, the Dow lost 0.02%, while the tech-heavy Nasdaq added 0.32%.
Shares of the mobile app technology company witnessed a gain of 30.02% over the previous month, beating the performance of the Business Services sector with its loss of 0.73% and the S&P 500's gain of 1.65%.
Market participants will be closely following the financial results of AppLovin in its upcoming release. The company plans to announce its earnings on May 8, 2024. The company's earnings per share (EPS) are projected to be $0.56, reflecting a 5700% increase from the same quarter last year. Alongside, our most recent consensus estimate is anticipating revenue of $967.82 million, indicating a 35.28% upward movement from the same quarter last year.
APP's full-year Zacks Consensus Estimates are calling for earnings of $2.48 per share and revenue of $4.04 billion. These results would represent year-over-year changes of +153.06% and +23.17%, respectively.
Any recent changes to analyst estimates for AppLovin should also be noted by investors. These revisions typically reflect the latest short-term business trends, which can change frequently. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To take advantage of this, we've established the Zacks Rank, an exclusive model that considers these estimated changes and delivers an operational rating system.
The Zacks Rank system, which ranges from #1 (Strong Buy) to #5 (Strong Sell), has an impressive outside-audited track record of outperformance, with #1 stocks generating an average annual return of +25% since 1988. Within the past 30 days, our consensus EPS projection remained stagnant. Currently, AppLovin is carrying a Zacks Rank of #1 (Strong Buy).
Digging into valuation, AppLovin currently has a Forward P/E ratio of 31.45. For comparison, its industry has an average Forward P/E of 24.31, which means AppLovin is trading at a premium to the group.
Also, we should mention that APP has a PEG ratio of 1.57. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. By the end of yesterday's trading, the Technology Services industry had an average PEG ratio of 1.68.
The Technology Services industry is part of the Business Services sector. With its current Zacks Industry Rank of 98, this industry ranks in the top 39% of all industries, numbering over 250.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Make sure to utilize Zacks.com to follow all of these stock-moving metrics, and more, in the coming trading sessions.