After hitting an all-time high of $525.15 last February, AppLovin Corp.'s (NASDAQ: APP) share price tumbled more than 35% due to a pending class action lawsuit and to short seller reports. ...

Core Insights - AppLovin has transitioned from a game development company to a technology infrastructure firm focused on AI-driven advertising, marking a significant shift in its business model [1][2][3] Company Transformation - The divestiture of the Apps segment to Tripledot Studios in June 2025 represents a decisive break from AppLovin's previous identity, allowing it to operate as a pure technology company [1][7] - The MAX mediation platform and AXON machine learning system enable real-time ad placement, enhancing the efficiency of ad inventory management [2][7] Market Position and Competition - AppLovin's integration of AI in mobile gaming ad monetization has led to superior revenue growth compared to peers like The Trade Desk and Magnite, although these competitors maintain strong market positions [5] - The Trade Desk focuses on programmatic advertising and connected TV, while Magnite emphasizes supply-side platform expansion across various devices [4][5] Financial Performance - AppLovin's stock has increased by 113% over the past year, significantly outperforming the industry average growth of 21% [6][7] - The company's forward price-to-earnings ratio stands at 48.5X, well above the industry average of 27X, indicating a premium valuation [9] Earnings Estimates - The Zacks Consensus Estimate for AppLovin's earnings has been rising, with current estimates for the upcoming quarters and years showing consistent figures [10]

Information in Investor's Business Daily is for informational and educational purposes only and should not be construed as an offer, recommendation, solicitation, or rating to buy or sell securities. The information has been obtained from sources we believe to be reliable, but we make no guarantee as to its accuracy, timeliness, or suitability, including with respect to information that appears in closed captioning. Historical investment performances are no indication or guarantee of future success or perfo ...

BREAKING: Dow Jones, S&P 500 Hit Record Highs On Christmas Eve More News Today's Spotlight IBD's 12 Days of Holiday Deals Celebrate the holidays with big discounts on IBD's premium products every day from Dec. 13-24. Get Market Insights on IBD Live Join IBD Live to watch and discuss the market action in real time with a team of top market analysts. Is the Santa Claus Rally Real? Something big may be coming to town—check out IBD's guide to the Santa Claus Rally. Stock Market Predictions For 2026? Worthless. ...

Key Takeaways AppLovin is expanding beyond mobile into web and CTV, driving strong revenue.APP posted Q3 revenues of $1.41B, up 68% year over year, with EBITDA margins above 82%.Duolingo leverages AI and learner data to scale courses rapidly, supporting strong growth.In the rapidly evolving mobile technology landscape, AppLovin (APP) and Duolingo (DUOL) have emerged as prominent growth-focused companies drawing strong investor interest. AppLovin capitalizes on its robust marketing and monetization platform ...

BREAKING: Tech Stocks Extend Bullish Market Shift Today's Spotlight Partner Center IBD's 12 Days of Holiday Deals Celebrate the holidays with big discounts on IBD's premium products every day from Dec. 13-24. Get Market Insights on IBD Live Join IBD Live to watch and discuss the market action in real time with a team of top market analysts. Is the Santa Claus Rally Real? Something big may be coming to town—check out IBD's guide to the Santa Claus Rally. More News (© Chris Gash) Next Data Center Roadblock Fo ...

AppLovin stock price has had a strong performance this year, continuing a bull run that started a few years ago when it was trading at $9.20. It has jumped to $720, giving it a market capitalization o... ...

Core Insights - AppLovin's total revenue for Q3 increased by 68% year-on-year to $1.4 billion, primarily driven by model upgrades in the gaming sector [1] - Adjusted EBITDA rose 79% YoY to $1.16 billion, with a remarkable margin of 82%, while net income surged 92% to $836 million [1] - The company has made significant strides in international expansion, enhancing its advertising reach ahead of schedule [1] Financial Performance - Free cash flow reached $1.049 billion, marking a 92% increase YoY, indicating strong profitability and disciplined capital management [7] - The company ended the quarter with $1.7 billion in cash and cash equivalents, and repurchased approximately 1.3 million shares for $571 million [7] - For 2025, revenue is projected to be between $1.57 billion and $1.6 billion, reflecting a sequential growth of 12% to 14% [8] Market Position and Growth Potential - AppLovin's inclusion in the S&P 500 has increased its visibility and is expected to attract long-term investors [9] - The company is recognized for its AI-powered ad platform, which enhances user acquisition for app developers, leading to higher returns on ad spend [2][5] - Analysts forecast a revenue increase of 22.1% to $5.7 billion and a doubling of earnings (up 106.4%) by 2025, with continued strong growth expected into 2026 [8] Analyst Ratings and Stock Performance - AppLovin stock has surged 122% year-to-date, outperforming many peers in the tech sector [4] - The stock holds an overall "Strong Buy" rating on Wall Street, with 19 out of 26 analysts recommending it as a "Strong Buy" [10][11] - The average target price is $720.46, with a high estimate of $860, suggesting potential for a 20% rally over the next 12 months [11]

AppLovin Corporation (NASDAQ:APP) is one of the Best Stocks to Invest in for the Next 3 Years. On December 17, BTIG lifted the price target on the company’s stock to $771 from $705, while keeping a “Buy” rating. As per the analyst, moving into 2026, the firm remains constructive about the setup for gaming and gambling end markets the company covers. Furthermore, the increased price target demonstrates stronger gaming user acquisition trends in Q4 and beyond. BTIG Lifts PT on AppLovin (APP) Stock In a sep ...

TRENDING: The Next Big AI Roadblock Is On Main Street Today's Spotlight IBD's 12 Days of Holiday Deals Celebrate the holidays with big discounts on IBD's premium products every day from Dec. 13-24. Get Market Insights on IBD Live Join IBD Live to watch and discuss the market action in real time with a team of top market analysts. Is the Santa Claus Rally Real? Something big may be coming to town—check out IBD's guide to the Santa Claus Rally. More News Partner Center Palantir (PLTR), Willdan Group (WLDN), A ...