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AppLovin (APP) Exceeds Market Returns: Some Facts to Consider
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In the latest market close, AppLovin (APP - Free Report) reached $72.24, with a +1.13% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.03%. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq increased by 0.12%.
Shares of the mobile app technology company witnessed a gain of 4.81% over the previous month, beating the performance of the Business Services sector with its loss of 4.2% and the S&P 500's loss of 0.9%.
Investors will be eagerly watching for the performance of AppLovin in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 8, 2024. In that report, analysts expect AppLovin to post earnings of $0.56 per share. This would mark year-over-year growth of 5700%. In the meantime, our current consensus estimate forecasts the revenue to be $969.05 million, indicating a 35.45% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.47 per share and a revenue of $4.05 billion, representing changes of +152.04% and +23.34%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for AppLovin. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.29% fall in the Zacks Consensus EPS estimate. AppLovin currently has a Zacks Rank of #3 (Hold).
In terms of valuation, AppLovin is currently trading at a Forward P/E ratio of 28.87. This indicates a premium in contrast to its industry's Forward P/E of 23.1.
We can also see that APP currently has a PEG ratio of 1.44. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services industry currently had an average PEG ratio of 1.63 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 100, positioning it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
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AppLovin (APP) Exceeds Market Returns: Some Facts to Consider
In the latest market close, AppLovin (APP - Free Report) reached $72.24, with a +1.13% movement compared to the previous day. The stock's performance was ahead of the S&P 500's daily gain of 0.03%. On the other hand, the Dow registered a gain of 0.41%, and the technology-centric Nasdaq increased by 0.12%.
Shares of the mobile app technology company witnessed a gain of 4.81% over the previous month, beating the performance of the Business Services sector with its loss of 4.2% and the S&P 500's loss of 0.9%.
Investors will be eagerly watching for the performance of AppLovin in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on May 8, 2024. In that report, analysts expect AppLovin to post earnings of $0.56 per share. This would mark year-over-year growth of 5700%. In the meantime, our current consensus estimate forecasts the revenue to be $969.05 million, indicating a 35.45% growth compared to the corresponding quarter of the prior year.
For the entire fiscal year, the Zacks Consensus Estimates are projecting earnings of $2.47 per share and a revenue of $4.05 billion, representing changes of +152.04% and +23.34%, respectively, from the prior year.
Investors should also take note of any recent adjustments to analyst estimates for AppLovin. These latest adjustments often mirror the shifting dynamics of short-term business patterns. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Based on our research, we believe these estimate revisions are directly related to near-team stock moves. To utilize this, we have created the Zacks Rank, a proprietary model that integrates these estimate changes and provides a functional rating system.
The Zacks Rank system, spanning from #1 (Strong Buy) to #5 (Strong Sell), boasts an impressive track record of outperformance, audited externally, with #1 ranked stocks yielding an average annual return of +25% since 1988. Over the past month, there's been a 0.29% fall in the Zacks Consensus EPS estimate. AppLovin currently has a Zacks Rank of #3 (Hold).
In terms of valuation, AppLovin is currently trading at a Forward P/E ratio of 28.87. This indicates a premium in contrast to its industry's Forward P/E of 23.1.
We can also see that APP currently has a PEG ratio of 1.44. This metric is used similarly to the famous P/E ratio, but the PEG ratio also takes into account the stock's expected earnings growth rate. The Technology Services industry currently had an average PEG ratio of 1.63 as of yesterday's close.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 100, positioning it in the top 40% of all 250+ industries.
The Zacks Industry Rank gauges the strength of our individual industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.