AppFolio (NASDAQ:APPF) Shares Down 4.7% – Here’s Why

AppFolio, Inc. (NASDAQ:APPF)’s share price was down 4.7% on Thursday . The company traded as low as $160.03 and last traded at $160.42. Approximately 189,776 shares traded hands during trading, a decline of 51% from the average daily volume of 388,546 shares. The stock had previously closed at $168.32.

Wall Street Analyst Weigh In

Several research analysts recently commented on APPF shares. UBS Group set a $210.00 price objective on shares of AppFolio in a report on Friday, April 24th. Wall Street Zen raised shares of AppFolio from a “hold” rating to a “buy” rating in a report on Sunday, March 15th. Benchmark raised their price objective on shares of AppFolio from $222.00 to $226.00 and gave the stock a “buy” rating in a report on Friday, April 24th. Weiss Ratings downgraded shares of AppFolio from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday. Finally, Piper Sandler cut their price objective on shares of AppFolio from $245.00 to $210.00 and set an “overweight” rating for the company in a report on Friday, April 24th. Nine equities research analysts have rated the stock with a Buy rating and one has issued a Hold rating to the company. Based on data from MarketBeat, the stock has an average rating of “Moderate Buy” and a consensus target price of $252.29.

AppFolio Stock Performance

The firm has a market capitalization of $5.70 billion, a PE ratio of 38.38 and a beta of 0.80. The company’s 50 day simple moving average is $160.95 and its 200-day simple moving average is $188.11.

AppFolio (NASDAQ:APPF) last posted its earnings results on Thursday, April 23rd. The software maker reported $1.61 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.47 by $0.14. AppFolio had a net margin of 15.27% and a return on equity of 32.35%. The business had revenue of $262.21 million for the quarter, compared to analysts’ expectations of $258.13 million. During the same period in the prior year, the company posted $1.21 EPS. The business’s revenue for the quarter was up 20.7% compared to the same quarter last year. On average, equities research analysts forecast that AppFolio, Inc. will post 5.04 earnings per share for the current fiscal year.

Insider Buying and Selling at AppFolio

In other news, insider Elizabeth Erin Barat sold 1,978 shares of the firm’s stock in a transaction on Tuesday, May 12th. The shares were sold at an average price of $158.12, for a total transaction of $312,761.36. Following the sale, the insider owned 21,545 shares in the company, valued at approximately $3,406,695.40. This trade represents a 8.41% decrease in their position. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Also, CEO William Shane Trigg sold 3,584 shares of the firm’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $152.50, for a total transaction of $546,560.00. Following the sale, the chief executive officer owned 76,547 shares in the company, valued at approximately $11,673,417.50. This trade represents a 4.47% decrease in their position. The SEC filing for this sale provides additional information. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Company insiders own 1.57% of the company’s stock.

Hedge Funds Weigh In On AppFolio

A number of large investors have recently added to or reduced their stakes in the business. Vanguard Group Inc. raised its position in AppFolio by 4.1% in the 4th quarter. Vanguard Group Inc. now owns 2,560,460 shares of the software maker’s stock worth $595,691,000 after purchasing an additional 101,466 shares during the period. Principal Financial Group Inc. raised its position in AppFolio by 20.9% in the 1st quarter. Principal Financial Group Inc. now owns 1,505,882 shares of the software maker’s stock worth $237,665,000 after purchasing an additional 259,933 shares during the period. State Street Corp raised its position in AppFolio by 1.1% in the 4th quarter. State Street Corp now owns 685,656 shares of the software maker’s stock worth $159,518,000 after purchasing an additional 7,585 shares during the period. Price T Rowe Associates Inc. MD raised its position in AppFolio by 17.2% in the 4th quarter. Price T Rowe Associates Inc. MD now owns 669,317 shares of the software maker’s stock worth $155,717,000 after purchasing an additional 98,230 shares during the period. Finally, William Blair Investment Management LLC raised its position in AppFolio by 15.6% in the 4th quarter. William Blair Investment Management LLC now owns 638,241 shares of the software maker’s stock worth $148,487,000 after purchasing an additional 86,272 shares during the period. Hedge funds and other institutional investors own 85.19% of the company’s stock.

About AppFolio

AppFolio, Inc is a Santa Barbara–based provider of cloud-based software solutions for the property management and legal industries. Founded in 2006 by former software executives, the company went public on the NASDAQ under the symbol APPF in 2015. Its original offering, AppFolio Property Manager, automates accounting, marketing, leasing, and maintenance functions for residential, commercial, student housing, and community association managers.

In 2019, AppFolio expanded its portfolio with the acquisition of MyCase, a web-based legal practice management platform for small to mid-size law firms.