Analysts Slash AppFolio Targets to $245 and $275 After Q4 Revenue Jump
AppFolio’s Q4 revenue rose 22% YoY to $248M, lifting full-year 2025 sales 20% to $951M, with managed units up 8% to 9.4M and GAAP operating income of $153M (16.1% margin). DA Davidson cut its price target to $275 from $325 and Piper Sandler to $245 from $350, keeping bullish ratings.
1. Q4 and FY25 Financial Results
AppFolio delivered Q4 revenue of $248 million, up 22% year-over-year, and full-year 2025 revenue of $951 million, up 20%. Managed units under its platform grew 8% to 9.4 million, while GAAP operating income reached $153 million, representing a 16.1% margin.
2. Analyst Price Target Revisions
Following the earnings release, DA Davidson lowered its price target on AppFolio shares to $275 from $325 and maintained a Buy rating. Piper Sandler also cut its target to $245 from $350, retaining an Overweight stance despite recent share volatility.
3. Business Drivers and Outlook
The firms cited weaker-than-expected value-added services revenue and a conservative 2026 guide as reasons for the cuts, though both acknowledged strong upmarket new business trends. AppFolio continues to ramp premium subscription tiers and resident services to drive future growth.