AppFolio (NASDAQ:APPF) Issues Quarterly Earnings Results, Beats Expectations By $0.02 EPS

AppFolio (NASDAQ:APPF) posted its earnings results on Thursday. The software maker reported $1.71 earnings per share for the quarter, topping the consensus estimate of $1.69 by $0.02, FiscalAI reports. The firm had revenue of $281.12 million during the quarter, compared to analysts’ expectations of $277.35 million. AppFolio had a return on equity of 32.35% and a net margin of 15.27%.

AppFolio Price Performance

Shares of NASDAQ:APPF traded up $1.74 during trading on Thursday, reaching $163.95. The company had a trading volume of 917,735 shares, compared to its average volume of 387,744. AppFolio has a fifty-two week low of $142.56 and a fifty-two week high of $326.04. The stock’s fifty day moving average price is $164.22 and its 200 day moving average price is $174.44. The firm has a market capitalization of $5.80 billion, a price-to-earnings ratio of 39.04 and a beta of 0.79.

Insiders Place Their Bets

In other news, General Counsel Evan Pickering sold 660 shares of the business’s stock in a transaction dated Friday, June 12th. The shares were sold at an average price of $155.25, for a total transaction of $102,465.00. Following the transaction, the general counsel directly owned 6,555 shares in the company, valued at $1,017,663.75. The trade was a 9.15% decrease in their ownership of the stock. The sale 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, insider Elizabeth Erin Barat sold 1,978 shares of the stock in a transaction dated Tuesday, May 12th. The stock was sold at an average price of $158.12, for a total transaction of $312,761.36. Following the transaction, the insider directly owned 21,545 shares of the company’s stock, valued at $3,406,695.40. This represents a 8.41% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. The sale was made to cover tax withholding obligations related to the vesting of equity awards. Over the last quarter, insiders have sold 30,657 shares of company stock valued at $5,310,740. Corporate insiders own 1.57% of the company’s stock.

Hedge Funds Weigh In On AppFolio

Hedge funds have recently added to or reduced their stakes in the business. Northwestern Mutual Wealth Management Co. grew its position in shares of AppFolio by 48.8% in the third quarter. Northwestern Mutual Wealth Management Co. now owns 192 shares of the software maker’s stock valued at $53,000 after purchasing an additional 63 shares during the period. Advisory Services Network LLC purchased a new position in shares of AppFolio in the 3rd quarter valued at $55,000. Employees Retirement System of Texas purchased a new position in AppFolio in the third quarter valued at about $58,000. Harvest Fund Management Co. Ltd purchased a new stake in shares of AppFolio in the third quarter worth about $69,000. Finally, Kestra Advisory Services LLC purchased a new stake in shares of AppFolio in the fourth quarter worth about $72,000. 85.19% of the stock is currently owned by hedge funds and other institutional investors.

Wall Street Analysts Forecast Growth

A number of analysts have weighed in on the stock. Weiss Ratings cut shares of AppFolio from a “hold (c)” rating to a “hold (c-)” rating in a report on Thursday, June 11th. UBS Group set a $210.00 target price on shares of AppFolio in a research report on Friday, April 24th. Piper Sandler cut their price target on shares of AppFolio from $245.00 to $210.00 and set an “overweight” rating on the stock in a research note on Friday, April 24th. KeyCorp reissued an “overweight” rating on shares of AppFolio in a research report on Monday, July 6th. Finally, Benchmark raised their price objective on AppFolio from $222.00 to $226.00 and gave the stock a “buy” rating in a report on Friday, April 24th. Nine equities research analysts have rated the stock with a Buy rating and two have assigned a Hold rating to the company. According to data from MarketBeat.com, AppFolio has a consensus rating of “Moderate Buy” and an average price target of $249.75.

AppFolio Company Profile

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.