AppFolio (NASDAQ:APPF) Upgraded at Zacks Research

AppFolio (NASDAQ:APPF) was upgraded by equities research analysts at Zacks Research from a “hold” rating to a “strong-buy” rating in a report released on Tuesday,Zacks.com reports.

A number of other equities research analysts have also recently weighed in on APPF. Weiss Ratings cut AppFolio from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday, June 11th. UBS Group set a $210.00 price objective on AppFolio in a research note on Friday, April 24th. KeyCorp restated an “overweight” rating on shares of AppFolio in a report on Monday, July 6th. Benchmark raised their target price on AppFolio from $222.00 to $226.00 and gave the company a “buy” rating in a research note on Friday, April 24th. Finally, Guggenheim began coverage on AppFolio in a report on Wednesday, July 22nd. They issued a “buy” rating and a $232.00 price target for the company. Two research analysts have rated the stock with a Strong Buy rating, nine have given a Buy rating and one has assigned a Hold rating to the company’s stock. According to data from MarketBeat.com, AppFolio currently has an average rating of “Buy” and a consensus target price of $243.50.

AppFolio Trading Up 4.9%

Shares of AppFolio stock opened at $186.99 on Tuesday. The stock has a market capitalization of $6.61 billion, a price-to-earnings ratio of 42.69 and a beta of 0.79. AppFolio has a 1-year low of $142.56 and a 1-year high of $326.04. The firm’s 50-day moving average price is $165.82 and its two-hundred day moving average price is $172.41.

AppFolio (NASDAQ:APPF) last posted its earnings results on Thursday, July 23rd. The software maker reported $1.71 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.69 by $0.02. The company had revenue of $281.12 million during the quarter, compared to analysts’ expectations of $277.35 million. AppFolio had a net margin of 15.13% and a return on equity of 32.42%. AppFolio’s quarterly revenue was up 19.3% compared to the same quarter last year. During the same quarter in the previous year, the company posted $1.38 earnings per share. As a group, equities research analysts predict that AppFolio will post 5.16 EPS for the current year.

Insider Transactions at AppFolio

In other news, CFO Timothy Mathias Eaton sold 2,585 shares of the business’s stock in a transaction on Friday, June 12th. The stock was sold at an average price of $160.07, for a total transaction of $413,780.95. Following the completion of the sale, the chief financial officer owned 18,036 shares in the company, valued at $2,887,022.52. The trade was a 12.54% decrease in their ownership of the stock. The transaction was disclosed in a legal filing with the SEC, which is available through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CEO William Shane Trigg sold 3,584 shares of the company’s stock in a transaction on Friday, May 15th. The shares were sold at an average price of $152.50, for a total value of $546,560.00. Following the transaction, the chief executive officer directly owned 76,547 shares in the company, valued at $11,673,417.50. This trade represents a 4.47% decrease in their position. Additional details regarding this sale are available in the official SEC disclosure. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 43,357 shares of company stock valued at $7,614,340 over the last 90 days. 1.57% of the stock is currently owned by corporate insiders.

Institutional Trading of AppFolio

Institutional investors and hedge funds have recently added to or reduced their stakes in the company. EverSource Wealth Advisors LLC lifted its position in AppFolio by 101.8% during the 4th quarter. EverSource Wealth Advisors LLC now owns 111 shares of the software maker’s stock valued at $26,000 after purchasing an additional 56 shares during the period. Optiver Holding B.V. grew its position in shares of AppFolio by 827.8% during the 1st quarter. Optiver Holding B.V. now owns 167 shares of the software maker’s stock worth $26,000 after buying an additional 149 shares during the period. Northwestern Mutual Wealth Management Co. grew its position in shares of AppFolio by 48.8% during the 3rd quarter. Northwestern Mutual Wealth Management Co. now owns 192 shares of the software maker’s stock worth $53,000 after buying an additional 63 shares during the period. Advisory Services Network LLC bought a new stake in shares of AppFolio during the third quarter worth approximately $55,000. Finally, Employees Retirement System of Texas bought a new stake in shares of AppFolio during the third quarter worth approximately $58,000. 85.19% of the stock is owned by institutional investors.

Key Stories Impacting AppFolio

Here are the key news stories impacting AppFolio this week:

• Positive Sentiment: Zacks upgraded AppFolio to Rank #1 (Strong Buy), citing growing optimism around the company’s earnings prospects. The upgrade may be supporting renewed buying interest. AppFolio upgraded to Strong Buy
• Positive Sentiment: Zacks also characterized APPF as a solid growth stock, pointing to growth attributes that could support attractive long-term returns. AppFolio’s latest quarterly results showed revenue growth of 19.3% year over year, with earnings and revenue modestly exceeding consensus estimates. AppFolio growth stock analysis
• Positive Sentiment: Wall Street’s average price target implies approximately 25.5% potential upside from recent levels. While price targets are not guarantees, analysts’ positive earnings-estimate revisions provide an additional bullish signal. AppFolio analyst price target
• Positive Sentiment: APPF recently moved above its 20-day moving average, suggesting improving short-term momentum and helping reinforce the bullish trading narrative. AppFolio technical breakout
• Neutral Sentiment: Analyst coverage remains broadly favorable, with a consensus “Buy” rating and several targets above the current market level. However, one research firm recently downgraded the stock to “Hold,” while Piper Sandler lowered its target, highlighting valuation and execution risks.
• Negative Sentiment: Major shareholder Maurice Duca disclosed sales totaling 12,500 shares for roughly $2.27 million across July 17 and July 20. The transactions were made under a pre-arranged Rule 10b5-1 plan, which reduces their significance as a discretionary bearish signal, but insider selling can still weigh modestly on sentiment. AppFolio major shareholder share sales

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.