Baker Avenue Asset Management LP Increases Stake in AppFolio, Inc.

Baker Avenue Asset Management LP has increased its investment in AppFolio, Inc. (NASDAQ:APPF) by 16.5% during the third quarter, as reported in a recent filing with the Securities and Exchange Commission (SEC). After acquiring an additional 3,038 shares, Baker Avenue now holds a total of 21,483 shares in the software company. This investment is valued at roughly $5,057,000, representing about 0.06% of AppFolio's total shares.

Other institutional investors are also adjusting their positions in AppFolio. Brighton Jones LLC raised its investment in the company by 0.9% during the second quarter, now owning 5,805 shares valued at $1,420,000 after purchasing 49 additional shares. Meanwhile, Blue Trust Inc. made a substantial increase of 85.7% in its holdings during the third quarter, bringing its total to 117 shares valued at $29,000, having acquired an extra 54 shares.

ProShare Advisors LLC and CWM LLC also incrementally raised their stakes in AppFolio during the second quarter by 2.9% and 238.6%, respectively. GAMMA Investing LLC saw an impressive 589.5% increase during the same period, ending with 131 shares worth $32,000. Overall, institutional and hedge fund investors collectively own about 62.34% of AppFolio’s stock.

Current Stock Performance

As of Friday's midday trading, AppFolio's stock was down by 0.1%, trading at $228.20. During the day, the trading volume was recorded at 195,392 shares, which is lower than its average volume of 318,012. AppFolio has a market capitalization of $8.29 billion and a price-to-earnings ratio of 63.57. The stock has fluctuated within a 12-month range, reaching a low of $164.29 and a high of $274.56. Additionally, the 50-day moving average is currently $221.31, while the 200-day moving average is $230.97.

On October 24th, AppFolio released its latest quarterly earnings report, announcing earnings per share (EPS) of $1.29, which exceeded analysts' expectations of $1.03 by $0.26. The company reported quarterly revenue of $206.00 million, surpassing the anticipated $199.11 million. This reflects a year-over-year increase in revenue of 24.5%, showcasing significant growth compared to the previous year when it generated an EPS of $0.26.

Analyst Opinions

A number of financial institutions have recently published their analyses regarding AppFolio. Keefe, Bruyette & Woods downgraded the firm from a "market perform" to an "underperform" rating and decreased their price target from $255.00 to $193.00 in a report on October 15th. On the opposite spectrum, JPMorgan Chase & Co. lifted their price target from $260.00 to $328.00, rating the stock as "overweight" in July.

Piper Sandler Companies reaffirmed their "overweight" rating, setting a price target of $300.00 initially before adjusting it down to $265.00 in late October. DA Davidson also increased their price target on AppFolio from $285.00 to $300.00, encouraging a buy rating. Overall, one analyst rates the stock as a sell, one as hold, and seven analysts award it a buy rating, culminating in a consensus rating of "Moderate Buy" and a target price estimate of $261.75 according to MarketBeat.

Insider Transactions

In recent insider activity, major shareholder Maurice J. Duca sold 2,968 shares on August 26th at an average price of $234.87, resulting in a total sale of approximately $697,094.16. Following this sale, he retains ownership of 24,500 shares, valued at $5,754,315, marking no change in his overall position. Another insider, Matthew S. Mazza, sold 2,371 shares on August 15th at an average price of $221.22. He continues to hold 39,980 shares worth around $8,844,375.60 following this transaction. In total, insiders have sold 17,652 shares worth $4,053,818 in the last three months, with corporate insiders owning 5.24% of the company's shares.

About AppFolio, Inc.

AppFolio, Inc. is known for providing cloud-based business management solutions specifically designed for the real estate industry across the United States. The company's services include a platform that helps streamline and manage workflows, alongside tools for leasing, maintenance, and accounting functions.

Baker, Asset, Management