AppFolio (NASDAQ:APPF) Share Price Breaks Below 50-Day Moving Average – What’s Next?

AppFolio, Inc. (NASDAQ:APPF)’s share price passed below its 50-day moving average during trading on Wednesday. The stock has a 50-day moving average of $210.07 and traded as low as $198.67. AppFolio shares last traded at $203.18, with a volume of 402,109 shares trading hands.

Analyst Upgrades and Downgrades

A number of equities analysts have weighed in on APPF shares. Guggenheim began coverage on shares of AppFolio in a research report on Wednesday, July 22nd. They set a “buy” rating and a $232.00 price objective for the company. KeyCorp reaffirmed an “overweight” rating on shares of AppFolio in a report on Wednesday. UBS Group lowered shares of AppFolio from a “buy” rating to a “neutral” rating and set a $220.00 target price on the stock. in a research report on Wednesday, October 7th. Zacks Research cut shares of AppFolio from a “strong-buy” rating to a “hold” rating in a research note on Wednesday, September 23rd. Finally, Wall Street Zen cut shares of AppFolio from a “buy” rating to a “hold” rating in a research note on Sunday, July 26th. One analyst has rated the stock with a Strong Buy rating, eight have assigned a Buy rating and three have given a Hold rating to the stock. Based on data from MarketBeat.com, the stock presently has an average rating of “Moderate Buy” and an average target price of $249.75.

AppFolio Stock Performance

The company has a market cap of $7.51 billion, a price-to-earnings ratio of 48.43 and a beta of 0.89. The firm’s 50 day simple moving average is $210.56 and its 200-day simple moving average is $180.67.

AppFolio (NASDAQ:APPF) last issued its 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 business 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%. The company’s quarterly revenue was up 19.3% compared to the same quarter last year. During the same period in the prior year, the business earned $1.38 earnings per share. As a group, sell-side analysts expect that AppFolio, Inc. will post 5.18 EPS for the current fiscal year.

Insider Activity at AppFolio

In related news, major shareholder Maurice Duca sold 2,656 shares of AppFolio stock in a transaction that occurred on Friday, August 21st. The stock was sold at an average price of $221.85, for a total transaction of $589,233.60. Following the transaction, the insider owned 8,000 shares in the company, valued at approximately $1,774,800. This trade represents a 24.92% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. The transaction was executed under a pre-arranged Rule 10b5-1 trading plan. Also, CFO Timothy Eaton sold 373 shares of the company’s stock in a transaction dated Wednesday, August 19th. The shares were sold at an average price of $202.61, for a total transaction of $75,573.53. Following the completion of the sale, the chief financial officer directly owned 16,714 shares of the company’s stock, valued at $3,386,423.54. This represents a 2.18% 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. In the last ninety days, insiders sold 143,817 shares of company stock valued at $28,302,484. Insiders own 1.57% of the company’s stock.

Institutional Inflows and Outflows

Large investors have recently added to or reduced their stakes in the business. Principal Financial Group Inc. grew its position in AppFolio by 20.9% in the first quarter. Principal Financial Group Inc. now owns 1,505,882 shares of the software maker’s stock worth $237,665,000 after acquiring an additional 259,933 shares during the period. Nellore Capital Management LLC increased its stake in AppFolio by 2.9% during the second quarter. Nellore Capital Management LLC now owns 654,865 shares of the software maker’s stock worth $105,008,000 after acquiring an additional 18,563 shares during the last quarter. Arrowstreet Capital Limited Partnership raised its position in AppFolio by 6.5% in the first quarter. Arrowstreet Capital Limited Partnership now owns 384,529 shares of the software maker’s stock valued at $60,686,000 after purchasing an additional 23,428 shares during the period. Bank of America Corp DE raised its position in AppFolio by 21.7% in the first quarter. Bank of America Corp DE now owns 345,603 shares of the software maker’s stock valued at $54,543,000 after purchasing an additional 61,641 shares during the period. Finally, Dimensional Fund Advisors LP raised its position in AppFolio by 3.3% in the first quarter. Dimensional Fund Advisors LP now owns 296,627 shares of the software maker’s stock valued at $46,812,000 after purchasing an additional 9,600 shares during the period. 85.19% of the stock is currently owned by institutional investors and hedge funds.

About AppFolio

AppFolio, Inc (NASDAQ:APPF) develops cloud-based software and technology solutions for the real estate industry. Its platform is designed primarily for property managers and real estate businesses, helping them manage operations, accounting, leasing, maintenance, communication, payments and other property-related workflows from a centralized system.

The company’s offerings include AppFolio Property Manager and related services for residential, commercial and community association properties.