AppFolio (NASDAQ:APPF) Trading Down 4.8% – Here’s Why

AppFolio, Inc. (NASDAQ:APPF)’s share price fell 4.8% during mid-day trading on Friday . The stock traded as low as $206.95 and last traded at $212.87. 58,108 shares traded hands during trading, a decline of 85% from the average session volume of 390,568 shares. The stock had previously closed at $223.57.

Analysts Set New Price Targets

APPF has been the topic of a number of research analyst reports. KeyCorp reissued an “overweight” rating on shares of AppFolio in a report on Monday, July 6th. Guggenheim assumed coverage on shares of AppFolio in a report on Wednesday, July 22nd. They set a “buy” rating and a $232.00 price objective for the company. Wall Street Zen lowered shares of AppFolio from a “buy” rating to a “hold” rating in a research report on Sunday, July 26th. DA Davidson set a $225.00 target price on shares of AppFolio in a research note on Friday, July 24th. Finally, Zacks Research raised shares of AppFolio from a “hold” rating to a “strong-buy” rating in a research report on Tuesday, July 28th. Two analysts have rated the stock with a Strong Buy rating, nine have assigned a Buy rating and one has given a Hold rating to the company’s stock. According to MarketBeat.com, the stock presently has a consensus rating of “Buy” and an average target price of $243.50.

AppFolio Stock Down 4.0%

The firm has a market capitalization of $7.61 billion, a PE ratio of 49.04 and a beta of 0.85. The stock has a 50-day simple moving average of $191.39 and a 200-day simple moving average of $173.53.

AppFolio (NASDAQ:APPF) last issued its quarterly earnings results on Thursday, July 23rd. The software maker reported $1.71 EPS for the quarter, beating analysts’ consensus estimates of $1.69 by $0.02. The firm had revenue of $281.12 million for the quarter, compared to analysts’ expectations of $277.35 million. AppFolio had a return on equity of 32.42% and a net margin of 15.13%.The business’s revenue for the quarter was up 19.3% compared to the same quarter last year. During the same quarter in the prior year, the firm earned $1.38 EPS. Equities analysts forecast that AppFolio, Inc. will post 5.17 earnings per share for the current fiscal year.

Insider Activity

In other news, CFO Timothy Eaton sold 373 shares of AppFolio stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $202.61, for a total value of $75,573.53. Following the completion of the transaction, the chief financial officer owned 16,714 shares in the company, valued at $3,386,423.54. This trade represents a 2.18% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, major shareholder Maurice J. Duca sold 2,656 shares of the business’s stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of $221.85, for a total transaction of $589,233.60. Following the completion of the sale, the insider directly owned 8,000 shares in the company, valued at approximately $1,774,800. This trade represents a 24.92% decrease in their position. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Over the last ninety days, insiders have sold 179,612 shares of company stock worth $34,697,503. Insiders own 1.57% of the company’s stock.

Institutional Investors Weigh In On AppFolio

Hedge funds and other institutional investors have recently bought and sold shares of the business. Royal Bank of Canada lifted its position in shares of AppFolio by 22.6% during the first quarter. Royal Bank of Canada now owns 45,452 shares of the software maker’s stock worth $9,993,000 after acquiring an additional 8,367 shares in the last quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. grew its position in shares of AppFolio by 23.5% in the first quarter. MIRAE ASSET GLOBAL ETFS HOLDINGS Ltd. now owns 384 shares of the software maker’s stock valued at $84,000 after purchasing an additional 73 shares in the last quarter. Millennium Management LLC grew its position in shares of AppFolio by 237.7% in the first quarter. Millennium Management LLC now owns 18,055 shares of the software maker’s stock valued at $3,970,000 after purchasing an additional 12,709 shares in the last quarter. Jones Financial Companies Lllp raised its stake in shares of AppFolio by 164.8% during the 1st quarter. Jones Financial Companies Lllp now owns 654 shares of the software maker’s stock valued at $144,000 after purchasing an additional 407 shares during the period. Finally, Goldman Sachs Group Inc. raised its stake in shares of AppFolio by 322.5% during the 1st quarter. Goldman Sachs Group Inc. now owns 66,777 shares of the software maker’s stock valued at $14,684,000 after purchasing an additional 50,970 shares during the period. Institutional investors own 85.19% of the company’s stock.

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.