PALO ALTO, CA—Victoria Valenzuela, Chief Legal Officer and Corporate Secretary at AppLovin Corp (NASDAQ:APP), executed a significant stock transaction on December 19, 2024. Valenzuela sold 15,971 shares of AppLovin's Class A common stock at a price of $313.07 per share, amounting to a total transaction value of approximately $5 million. The sale comes as AppLovin, now valued at over $115 billion, has seen its stock surge more than 727% over the past year. According to InvestingPro analysis, the company currently appears overvalued relative to its Fair Value.
Following the sale, Valenzuela's direct ownership stands at 372,205 shares. The transaction involved contributing the shares to an exchange fund, where she relinquished voting control and investment decisions over the transferred shares. The shares were initially moved into an escrow account earlier in December before the official exchange. InvestingPro data shows AppLovin maintains a "GREAT" financial health score, with strong profitability metrics and liquid assets exceeding short-term obligations. Discover 18 additional exclusive insights about APP with an InvestingPro subscription.
In other recent news, AppLovin Corp has been the subject of numerous financial firms' attention due to its impressive growth. Loop Capital, Oppenheimer, and Stifel have all raised their price targets for the company, maintaining positive ratings. Loop Capital's upgraded target is $450, Oppenheimer's is $480, and Stifel's is $435. These adjustments follow AppLovin's recent financial performance, with revenue growing 41.48% in the last twelve months.
The company has also issued $3.55 billion in senior notes and secured a new $1 billion unsecured revolving credit facility with JPMorgan Chase (NYSE:JPM). This strategy is part of AppLovin's transition to an all unsecured debt capital structure following investment grade ratings from S&P Global Ratings and Fitch Ratings.
AppLovin's third-quarter results showcased a 39% year-over-year increase in revenue, reaching $1.2 billion. Projections for Q4 2024 revenue are between $1.24 billion and $1.26 billion, with adjusted EBITDA expectations of $740 million to $760 million. These recent developments highlight AppLovin's financial health and growth prospects.
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