Selling a small part (7,5% aprox) of my $APP (-3,21 %) position.
After a spectacular run of more than 1.500% since I added it, i’m letting go a bit due to rebalancing of my portfolio (it was more than 9% at this point). It is the second time I sell a small portion of Applovin.
To be clear, its still my biggest position and I still think it is a great company, but valuation is not so great (78 P/E TTM, 52 P/E FW1, 41 P/E FW2) and although we’re used to see them beating earnings with ease, any small underperformance on the ernings would possibly trigger a big dip on the price… and we have yet to see the real new revenue in their expansion to retail and e-commerce (specially DTC brands).
I’ll keep selling more if it keeps going up at this path, and I would probably repurchase if an important dip happens (unless that dip is due something really concerning).