AppLovin (NASDAQ:APP) Trading Up 5.5% – Here’s Why

AppLovin Corporation (NASDAQ:APP)’s stock price traded up 5.5% during trading on Thursday . The stock traded as high as $445.90 and last traded at $444.93. 5,835,874 shares traded hands during mid-day trading, a decline of 15% from the average session volume of 6,871,273 shares. The stock had previously closed at $421.63.

Key AppLovin News

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: MarketBeat / Altimetry argues AppLovin’s data moat and AI optimization leave it mispriced after a sharp drop; they see durable earnings growth potential versus current market fear. AI Is Separating Software Winners From Losers, 2 Experts Explain (APP)
• Positive Sentiment: Analysts remain broadly bullish — several broker notes keep Buy ratings even after model/valuation adjustments, signaling institutional confidence that recent weakness may be sentiment-driven rather than structural. Analysts Remain Bullish on AppLovin Corporation (APP) Despite Target Cuts
• Positive Sentiment: Short-term buying interest has shown up in headlines describing intraday surges, indicating episodic demand that can create bounce opportunities for traders. AppLovin Stock Surges Wednesday: What’s Driving The Action?
• Neutral Sentiment: Raymond James notes a developing tradeable bounce across software names as the group attempts to stabilise at technical support—this helps explain cross-stock flows impacting APP. Tradeable bounce is developing in software stocks, Raymond James says
• Neutral Sentiment: Coverage pieces from Zacks and Forbes are driving attention/volume but don’t deliver new company-specific catalysts; they can amplify trading but aren’t decisive fundamentals. Is Trending Stock AppLovin Corporation (APP) a Buy Now? AppLovin Vs. Synopsys: Which Software Stock Is The Better Buy?
• Neutral Sentiment: Macro/sector context: coverage noting multiple tech names down sharply year‑to‑date helps explain broad selling pressure rather than APP‑specific insolvency. Wall Street Sees Major Upside in These 4 Beaten-Down Tech Stocks — Is the Selloff Overdone?
• Negative Sentiment: Price-target trims (e.g., BofA cutting its APP target from $780 to $705) reduce near-term upside expectations and can pressure sentiment even when ratings remain Buy. Analysts Remain Bullish on AppLovin Corporation (APP) Despite Target Cuts
• Negative Sentiment: AI‑narrative fear—headlines about “vibe‑coded” AI ad platforms—has driven indiscriminate selling; that sentiment swing is the clearest near‑term driver of today’s decline. AI Is Separating Software Winners From Losers, 2 Experts Explain (APP)
• Neutral Sentiment: Short‑interest reports in these feeds show contradictory/invalid values (0 shares / NaN); treat those data items as unreliable until corrected—no clear short‑squeeze signal.

Wall Street Analysts Forecast Growth

A number of equities research analysts have recently issued reports on the company. Morgan Stanley set a $720.00 target price on AppLovin in a report on Thursday, February 12th. Evercore reiterated a “buy” rating on shares of AppLovin in a research note on Friday, January 30th. Royal Bank Of Canada reissued an “outperform” rating and set a $700.00 target price on shares of AppLovin in a research report on Thursday, February 12th. Needham & Company LLC restated a “buy” rating and issued a $700.00 target price on shares of AppLovin in a research note on Thursday, February 12th. Finally, Scotiabank lifted their price target on shares of AppLovin from $750.00 to $775.00 and gave the stock an “outperform” rating in a research note on Thursday, February 12th. Twenty-one equities research analysts have rated the stock with a Buy rating, three have assigned a Hold rating and one has assigned a Sell rating to the company’s stock. According to data from MarketBeat.com, the company presently has a consensus rating of “Moderate Buy” and a consensus price target of $651.77.

AppLovin Stock Performance

The company’s fifty day simple moving average is $539.46 and its two-hundred day simple moving average is $570.75. The company has a market capitalization of $146.93 billion, a price-to-earnings ratio of 44.59, a price-to-earnings-growth ratio of 0.91 and a beta of 2.49. The company has a debt-to-equity ratio of 1.65, a quick ratio of 3.32 and a current ratio of 3.32.

AppLovin (NASDAQ:APP) last issued its quarterly earnings results on Wednesday, February 11th. The company reported $3.24 EPS for the quarter, topping the consensus estimate of $2.89 by $0.35. The business had revenue of $1.66 billion for the quarter, compared to analysts’ expectations of $1.61 billion. AppLovin had a net margin of 57.42% and a return on equity of 245.64%. The company’s quarterly revenue was up 66.0% compared to the same quarter last year. During the same quarter last year, the company posted $1.73 earnings per share. Equities research analysts predict that AppLovin Corporation will post 6.87 earnings per share for the current fiscal year.

Insider Buying and Selling

In other AppLovin news, Director Dawson Alyssa Harvey sold 150 shares of AppLovin stock in a transaction on Monday, December 8th. The shares were sold at an average price of $693.32, for a total value of $103,998.00. Following the completion of the transaction, the director owned 2,829 shares of the company’s stock, valued at $1,961,402.28. The trade was a 5.04% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the SEC, which is available through this link. Also, insider Victoria Valenzuela sold 7,609 shares of the stock in a transaction on Thursday, December 18th. The stock was sold at an average price of $657.13, for a total transaction of $5,000,102.17. Following the sale, the insider directly owned 277,110 shares in the company, valued at $182,097,294.30. This trade represents a 2.67% decrease in their ownership of the stock. The SEC filing for this sale provides additional information. 13.66% of the stock is currently owned by insiders.

Institutional Investors Weigh In On AppLovin

A number of institutional investors have recently modified their holdings of the business. LFA Lugano Financial Advisors SA bought a new position in shares of AppLovin during the second quarter valued at approximately $26,000. Board of the Pension Protection Fund acquired a new stake in AppLovin in the fourth quarter worth $27,000. Washington Trust Advisors Inc. lifted its stake in AppLovin by 160.0% in the fourth quarter. Washington Trust Advisors Inc. now owns 39 shares of the company’s stock valued at $27,000 after buying an additional 24 shares during the last quarter. Mcguire Capital Advisors Inc. acquired a new position in shares of AppLovin during the fourth quarter valued at $27,000. Finally, Chilton Capital Management LLC bought a new position in shares of AppLovin during the third quarter worth about $29,000. Institutional investors own 41.85% of the company’s stock.

AppLovin Company Profile

AppLovin Corporation is a Palo Alto–based mobile technology company that provides software and services to help app developers grow and monetize their businesses. The company operates a data-driven advertising and marketing platform that connects app publishers and advertisers, delivering tools for user acquisition, monetization, analytics and creative optimization. AppLovin’s technology is integrated into a broad set of mobile applications through software development kits (SDKs) and ad products designed to maximize revenue and engagement for developers.

Key components of AppLovin’s offering include an ad mediation and exchange platform that enables publishers to manage and monetize inventory across multiple demand sources, and a user-acquisition platform that helps advertisers target and scale campaigns.