AppLovin Corporation (APP) has seen its stock surge 34% in the past three months. This impressive rise has outpaced the industry's 28% rally.Compared with its competitors in the in-game mobile advertising space, APP’s performance is notably stronger. Alphabet Inc. (GOOGL) has gained 4.5%, and Meta Platforms (META) has returned 25.5% over the same period.Image Source: Zacks Investment ResearchNow, the key question for investors is whether the stock’s growth trajectory justifies a “Buy” at its current level o ...

“The inescapable fact is that the value of an asset, whatever its character, cannot over the long-term grow faster than its earnings do.” – Warren BuffettCorporate earnings are one of the main drivers of stock market activity over time. That’s why earnings expectations and estimates are so important.It’s always a good idea to keep an eye on upcoming earnings releases.Find the latest EPS estimates and surprises on Zacks Earnings Calendar.Zacks receives daily electronic data feeds and printed research reports ...

Shares of digital advertising company AppLovin (APP 24.00%) absolutely skyrocketed on Thursday after the company smashed expectations with its financial report for the fourth quarter of 2024. As of 11 a.m. ET, AppLovin stock was up 31% and had hit an all-time high at over $500 per share.The growth rate just acceleratedOnly founded in 2011, AppLovin now has a market capitalization of over $160 billion as of today. The company managed to generate revenue of $4.7 billion in 2024, which was up 43% from 2023. An ...

Shares of Applovin ripped more than 30% higher Thursday after the company reported a fourth-quarter earnings beat, causing many analysts to lift their price targets.The ad tech company said on its earnings call it was divesting its apps business, as the company aims to move into other verticals for their AI-powered AXON advertising software like fintech, insurance and automotive.Analysts at Wolfe praised the sale of the apps segment, saying the company's financials "gets cleaner at a time when its growth ou ...

The optimism around AppLovin (NASDAQ: APP ) remains massive, and the stock soared by almost 30% yesterday to $492 after the fresh earnings release. This made my previous 'Strong sell' recommendation looking not good at all because the share price was around $300Coming from an IT background, I have dived into the U.S. stock market seven years ago by managing portfolio of my family. Starting managing real money has been challenging for the first time, but long hours of mastering fundamental analysis of public ...

AppLovin Corp (NASDAQ: APP) — a company providing a full suite of solutions for mobile app developers, including marketing, monetization, and analytics — recently posted strong quarterly results. The company reported earnings of $1.73 per share on revenue of $1.37 billion for Q4, surpassing analyst expectations of $1.24 per share on $1.26 billion in revenue. Additionally, its optimistic outlook drove the stock up nearly 30% in after-hours trading.CHONGQING, CHINA - FEBRUARY 9: In this photo illustration, th ...

Financial Data and Key Metrics Changes - Total revenue increased by 44% year-over-year to $1.37 billion, while adjusted EBITDA rose by 78% to $848 million, achieving a 62% adjusted EBITDA margin [21][49]. - Free cash flow for Q4 was $695 million, up 105% year-over-year, with a quarter-over-quarter growth of 28% [22][50]. - The company ended Q4 with $741 million in cash and cash equivalents [23][51]. Business Line Data and Key Metrics Changes - The Advertising business generated $999 million in revenue and $777 million in adjusted EBITDA, achieving a 78% margin [23][51]. - Apps revenue for the quarter was $373 million, a 1% decrease from last year, with $71 million in adjusted EBITDA, representing a 19% margin [26][54]. Market Data and Key Metrics Changes - The company is expanding its focus beyond gaming to serve the entire global advertising economy, with a platform that reaches over 1 billion people daily [10][14]. - The early pilots for ecommerce advertisers showed positive outcomes, indicating a broader market opportunity [12][40]. Company Strategy and Development Direction - The company is transitioning to a pure advertising platform, emphasizing productivity, automation, and building lean teams [19][47]. - An exclusive term sheet has been signed to sell the Apps business for an estimated $900 million, including $500 million in cash [25][53]. - The focus for 2025 includes developing automated tools to allow more businesses to utilize the platform effectively [15][44]. Management's Comments on Operating Environment and Future Outlook - Management expressed confidence in the growth potential of the ecommerce segment, anticipating it to contribute materially to revenue in 2025 [84]. - The company aims to leverage AI and automation to enhance operational efficiency and drive growth [65][86]. Other Important Information - The company reported an adjusted EBITDA per employee of approximately $3 million in the Advertising business, with expectations for this metric to rise as processes are refined [19][47]. - The company has repurchased or withheld a total of 25.7 million shares for a total cost of $2.1 billion during the year [28][56]. Q&A Session Summary Question: Insights on ecommerce growth and scaling - Management confirmed that the platform's technology works across various categories, indicating confidence in scaling beyond DTC marketers [62][64]. Question: Model enhancements and their impact on growth - Management noted ongoing improvements in their models contributed to growth, alongside seasonal factors during Q4 [76][80]. Question: Expectations for ecommerce contribution in 2025 - Management remains confident in ecommerce's material contribution to revenue in 2025, though specifics on timing and amount remain uncertain [84][85]. Question: Inventory conversion for ecommerce vs gaming - Management clarified that the same inventory is used for both ecommerce and gaming, with full-screen video ads being the primary format [125]. Question: Take rate dynamics between gaming and ecommerce - Management indicated that as monetization improves, the take rate naturally increases, but they do not optimize for it [131][132].

AppLovin (APP) reported $1.37 billion in revenue for the quarter ended December 2024, representing a year-over-year increase of 44%. EPS of $1.73 for the same period compares to $0.49 a year ago.The reported revenue represents a surprise of +8.62% over the Zacks Consensus Estimate of $1.26 billion. With the consensus EPS estimate being $1.34, the EPS surprise was +29.10%.While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine the ...

Wednesday, February 12, 2025Market indexes fought back courageously today, after sinking an hour before the opening bell on hotter-than-expected Consumer Price Index (CPI) numbers. Although it demonstrates a stronger economy than most analysts had predicted we’d be in by this time, higher CPI is an inflationary metric — not good for interest rates nor the price of eggs coming down.The Dow, which had been down more than -400 points to start the trading session, finished down -225 points. The S&P 500 closed - ...

AppLovin (APP) came out with quarterly earnings of $1.73 per share, beating the Zacks Consensus Estimate of $1.34 per share. This compares to earnings of $0.49 per share a year ago. These figures are adjusted for non-recurring items.This quarterly report represents an earnings surprise of 29.10%. A quarter ago, it was expected that this mobile app technology company would post earnings of $0.95 per share when it actually produced earnings of $1.25, delivering a surprise of 31.58%.Over the last four quarters ...