AppFolio (NASDAQ:APPF) Stock Price Down 4.3% – Time to Sell?

AppFolio, Inc. (NASDAQ:APPF)’s share price fell 4.3% during trading on Tuesday. The company traded as low as $204.96 and last traded at $205.0240. 49,573 shares changed hands during trading, a decline of 87% from the average session volume of 385,666 shares. The stock had previously closed at $214.32.

Analysts Set New Price Targets

A number of brokerages have recently issued reports on APPF. UBS Group boosted their price target on shares of AppFolio from $220.00 to $240.00 and gave the stock a “neutral” rating in a research note on Friday. KeyCorp restated an “overweight” rating on shares of AppFolio in a research report on Wednesday, October 14th. DA Davidson increased their target price on AppFolio from $240.00 to $250.00 and gave the stock a “buy” rating in a research note on Friday. Guggenheim increased their target price on AppFolio from $232.00 to $239.00 and gave the stock a “buy” rating in a research note on Friday. Finally, Weiss Ratings raised AppFolio from a “hold (c-)” rating to a “hold (c)” rating in a report on Tuesday, August 11th. Nine analysts have rated the stock with a Buy rating and three have issued a Hold rating to the company’s stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and a consensus target price of $250.00.

AppFolio Price Performance

The stock has a market cap of $7.21 billion, a price-to-earnings ratio of 42.99 and a beta of 0.89. The company’s 50 day moving average is $212.29 and its 200 day moving average is $184.25.

AppFolio (NASDAQ:APPF) last issued its earnings results on Thursday, October 22nd. The software maker reported $1.82 earnings per share for the quarter, topping the consensus estimate of $1.79 by $0.03. AppFolio had a net margin of 15.62% and a return on equity of 33.56%. The company had revenue of $295.69 million for the quarter, compared to analyst estimates of $294.46 million. During the same period in the prior year, the business posted $1.31 earnings per share. The firm’s revenue for the quarter was up 18.5% compared to the same quarter last year. Sell-side analysts predict that AppFolio, Inc. will post 5.19 earnings per share for the current year.

Insider Activity at AppFolio

In related news, major shareholder Maurice J. Duca sold 2,656 shares of the firm’s stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $221.85, for a total value of $589,233.60. Following the completion of the transaction, the insider directly owned 8,000 shares of the company’s stock, valued at $1,774,800. This trade represents a 24.92% decrease in their position. The transaction was disclosed in a document filed with the SEC, which is available at this hyperlink. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Timothy Eaton sold 373 shares of the firm’s stock in a transaction that occurred on 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 directly owned 16,714 shares of the company’s stock, valued at $3,386,423.54. The trade was a 2.18% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Insiders have sold a total of 131,117 shares of company stock worth $25,999,585 in the last three months. Corporate insiders own 1.57% of the company’s stock.

Institutional Trading of AppFolio

Large investors have recently bought and sold shares of the company. Principal Financial Group Inc. increased its position in shares of AppFolio by 20.9% in the first quarter. Principal Financial Group Inc. now owns 1,505,882 shares of the software maker’s stock valued at $237,665,000 after buying an additional 259,933 shares in the last quarter. Wellington Management Group LLP purchased a new stake in shares of AppFolio in the 2nd quarter worth about $36,063,000. Lead Edge Capital Management LLC acquired a new stake in AppFolio in the 1st quarter valued at about $33,183,000. Bank of New York Mellon Corp acquired a new stake in AppFolio in the 2nd quarter valued at about $23,524,000. Finally, Renaissance Technologies LLC grew its position in shares of AppFolio by 55.1% in the first quarter. Renaissance Technologies LLC now owns 227,280 shares of the software maker’s stock valued at $35,869,000 after purchasing an additional 80,760 shares during the last quarter. Institutional investors and hedge funds own 85.19% of the company’s stock.

AppFolio Company Profile

AppFolio, Inc is a cloud-based software company that provides technology solutions for the real estate industry. Its platform is designed primarily for property management businesses, helping them manage accounting, leasing, maintenance, communications, payments, reporting and other operational activities through a centralized system.

The company’s products serve a range of property managers, including those overseeing residential, commercial, community association, student housing and senior living properties.