AppLovin (NASDAQ:APP) Given Outperform Rating at Royal Bank Of Canada

Royal Bank Of Canada reiterated their outperform rating on shares of AppLovin (NASDAQ:APP) in a research report sent to investors on Thursday morning,Benzinga reports. Royal Bank Of Canada currently has a $700.00 price objective on the stock.

Other equities research analysts have also issued reports about the stock. Morgan Stanley set a $720.00 price target on shares of AppLovin in a report on Thursday. BTIG Research lowered their target price on AppLovin from $771.00 to $640.00 and set a “buy” rating for the company in a research note on Thursday. Benchmark reaffirmed a “buy” rating on shares of AppLovin in a research report on Monday, February 2nd. Deutsche Bank Aktiengesellschaft set a $705.00 price target on AppLovin and gave the company a “buy” rating in a report on Wednesday, October 22nd. Finally, UBS Group set a $740.00 price objective on AppLovin in a report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, twenty have issued a Buy rating, three have assigned a Hold rating and one has issued a Sell rating to the company. Based on data from MarketBeat.com, the company currently has a consensus rating of “Moderate Buy” and an average target price of $651.77.

AppLovin Stock Down 19.7%

Shares of NASDAQ APP opened at $366.91 on Thursday. The stock has a fifty day moving average price of $602.52 and a 200 day moving average price of $570.18. The company has a current ratio of 3.25, a quick ratio of 3.25 and a debt-to-equity ratio of 2.38. AppLovin has a 12-month low of $200.50 and a 12-month high of $745.61. The company has a market cap of $124.00 billion, a P/E ratio of 37.63, a P/E/G ratio of 1.51 and a beta of 2.49.

AppLovin (NASDAQ:APP) last announced its earnings results on Wednesday, February 11th. The company reported $3.24 EPS for the quarter, beating the consensus estimate of $2.89 by $0.35. The business had revenue of $1.66 billion for the quarter, compared to the consensus estimate of $1.61 billion. AppLovin had a return on equity of 306.49% and a net margin of 57.42%.The company’s revenue was up 66.0% on a year-over-year basis. During the same period last year, the business posted $1.73 EPS. Research analysts anticipate that AppLovin will post 6.87 EPS for the current fiscal year.

Insider Activity

In other AppLovin news, insider Victoria Valenzuela sold 7,609 shares of AppLovin stock in a transaction that occurred on Thursday, December 18th. The stock was sold at an average price of $657.13, for a total value of $5,000,102.17. Following the completion of the transaction, the insider directly owned 277,110 shares in the company, valued at $182,097,294.30. The trade was a 2.67% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available at this link. Also, CEO Arash Adam Foroughi sold 30,888 shares of the stock in a transaction that occurred on Friday, November 21st. The stock was sold at an average price of $520.29, for a total value of $16,070,717.52. Following the sale, the chief executive officer owned 2,553,161 shares in the company, valued at $1,328,384,136.69. The trade was a 1.20% decrease in their ownership of the stock. Additional details regarding this sale are available in the official SEC disclosure. In the last three months, insiders sold 187,786 shares of company stock valued at $100,914,925. Company insiders own 13.66% of the company’s stock.

Institutional Inflows and Outflows

Institutional investors have recently added to or reduced their stakes in the stock. Lazard Freres Gestion S.A.S. acquired a new stake in shares of AppLovin during the third quarter valued at approximately $2,514,000. Mediolanum International Funds Ltd grew its position in AppLovin by 73.5% during the third quarter. Mediolanum International Funds Ltd now owns 76,736 shares of the company’s stock valued at $54,664,000 after purchasing an additional 32,510 shares in the last quarter. Thames Capital Management LLC increased its stake in AppLovin by 114.8% in the 3rd quarter. Thames Capital Management LLC now owns 16,702 shares of the company’s stock valued at $12,001,000 after buying an additional 8,925 shares during the period. CIBC Asset Management Inc increased its stake in AppLovin by 14.8% in the 3rd quarter. CIBC Asset Management Inc now owns 117,126 shares of the company’s stock valued at $84,160,000 after buying an additional 15,074 shares during the period. Finally, Rakuten Securities Inc. lifted its position in AppLovin by 118.0% in the 3rd quarter. Rakuten Securities Inc. now owns 10,540 shares of the company’s stock worth $7,573,000 after buying an additional 5,705 shares in the last quarter. 41.85% of the stock is currently owned by institutional investors.

Key AppLovin News

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: Q4 results beat on EPS and revenue, with strong margins and raised 2026 revenue guidance — underlying operating metrics were robust. AppLovin press release
• Positive Sentiment: Several sell-side firms reaffirmed or raised targets (Scotiabank raised to $775; Wedbush boosted to $640; Needham and RBC reaffirmed buy/outperform), signaling continued analyst confidence in medium/long-term growth. Scotiabank raise (The Fly)
• Positive Sentiment: Bullish commentary argues the sell-off is an overreaction — analysts and commentators point to high margins, strong free cash flow and buybacks as reasons long-term holders should be constructive. Seeking Alpha bullish take
• Neutral Sentiment: Some firms trimmed price targets (BTIG, Wells Fargo, Piper Sandler, Citi lowered/tweaked targets) but largely kept buy/overweight ratings — mixed signals on near-term upside while conviction remains among many analysts. Analyst moves roundup
• Neutral Sentiment: Short-interest data published in the period appears erroneous (0 shares / NaN changes) — no reliable signal of a short squeeze or coordinated short activity from the reported figures.
• Negative Sentiment: Despite the beat, shares plunged as investors flagged AI-related risk, competitive pressure in ad markets and perceived lack of clarity in management’s commentary/guidance — headlines emphasize “AI fears” and “guidance clarity” as the proximate causes of the sell-off. 247WallStreet coverage
• Negative Sentiment: Reports flagged softer-than-expected ad demand and competitive headwinds in ad tech, which weighed on investor confidence despite strong headline numbers. Reuters report

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.