AppLovin (NASDAQ:APP) Stock Price Up 5.5% – Here’s What Happened

AppLovin Corporation (NASDAQ:APP)’s share price shot up 5.5% during mid-day trading on Thursday . The stock traded as high as $445.90 and last traded at $444.93. Approximately 5,835,874 shares changed hands during 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: Market commentators argue AppLovin’s AI-driven ad engine and proprietary data create a durable moat, framing the recent selloff as narrative panic rather than fundamental damage — a key reason momentum buyers stepped in.
• Positive Sentiment: Some analysts/upgrades see a buying opportunity after the correction: a recent upgrade from Hold to Buy cites strong Q4 revenue, margin expansion and a reset valuation that supports upside. AppLovin: Time To Load Up Again (Rating Upgrade)
• Positive Sentiment: Analyst and trade publications comparing AppLovin to other AI‑exposed names highlight APP’s superior Q4 growth (66% revenue growth; large EBITDA improvement) and argue it looks more attractively valued versus some peers — supporting constructive sentiment. ARM vs. APP: Which AI-Exposed Tech Stock to Consider Right Now?
• Neutral Sentiment: Sector technicals: Raymond James sees a tradeable bounce across software names as the group stabilizes at technical support — this broader software relief trade helped APP join a rally. Tradeable bounce is developing in software stocks
• Neutral Sentiment: News roundups and market stories (MSN, finance outlets) amplified these bullish takes and the stock’s momentum, which can attract short‑term flows from momentum traders. AppLovin Stock Surges Wednesday: What’s Driving The Action?
• Neutral Sentiment: Reported short‑interest data in the feed is inconsistent (showing zero), so there’s no clear short‑squeeze signal — treat that data point as inconclusive for today’s move.
• Negative Sentiment: Some analysts trimmed price targets and flagged a valuation de‑rating after the earnings call; while many maintained Buy ratings, target cuts (e.g., BofA reducing its target) remind investors that consensus valuation and growth assumptions are being re‑priced. Analysts Remain Bullish on AppLovin Corporation (APP) Despite Target Cuts
• Negative Sentiment: Macro skepticism about “AI hype” and concerns over stretched multiples have driven a >30% correction since the December peak; these remain risks that could cap rallies if sentiment reverses. Is AppLovin Still An AI Winner After The Recent Selloff?

Analyst Upgrades and Downgrades

APP has been the topic of a number of research analyst reports. Zacks Research lowered shares of AppLovin from a “strong-buy” rating to a “hold” rating in a research report on Thursday, February 12th. Needham & Company LLC reissued a “buy” rating and set a $700.00 price objective on shares of AppLovin in a report on Thursday, February 12th. Evercore restated a “buy” rating on shares of AppLovin in a research report on Friday, January 30th. Weiss Ratings upgraded AppLovin from a “hold (c+)” rating to a “buy (b-)” rating in a research report on Friday, February 20th. Finally, Benchmark reissued a “buy” rating on shares of AppLovin in a research note on Monday, February 2nd. Twenty-one investment analysts have rated the stock with 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 stock presently has a consensus rating of “Moderate Buy” and an average price target of $651.77.

AppLovin Stock Performance

The stock has a market capitalization of $150.36 billion, a P/E ratio of 45.63, a price-to-earnings-growth ratio of 0.81 and a beta of 2.49. The company has a 50-day moving average price of $550.18 and a two-hundred day moving average price of $571.84. The company has a current ratio of 3.32, a quick ratio of 3.32 and a debt-to-equity ratio of 1.65.

AppLovin (NASDAQ:APP) last issued its quarterly earnings results on Wednesday, February 11th. The company reported $3.24 earnings per share (EPS) for the quarter, beating the consensus estimate of $2.89 by $0.35. The firm had revenue of $1.66 billion for the quarter, compared to analyst estimates of $1.61 billion. AppLovin had a return on equity of 245.64% and a net margin of 57.42%.The company’s revenue was up 66.0% compared to the same quarter last year. During the same period in the previous year, the firm earned $1.73 earnings per share. On average, equities analysts forecast that AppLovin Corporation will post 6.87 earnings per share for the current year.

Insiders Place Their Bets

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 sale, the director directly owned 2,829 shares of the company’s stock, valued at approximately $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 accessible through this hyperlink. Also, insider Victoria Valenzuela sold 7,609 shares of the company’s stock in a transaction dated Thursday, December 18th. The shares were sold at an average price of $657.13, for a total transaction of $5,000,102.17. Following the transaction, the insider owned 277,110 shares in the company, valued at $182,097,294.30. This represents a 2.67% decrease in their position. The disclosure for this sale is available in the SEC filing. Company insiders own 13.66% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in APP. MidFirst Bank bought a new stake in shares of AppLovin during the fourth quarter valued at approximately $456,000. DGS Capital Management LLC increased its stake in AppLovin by 17.8% during the 4th quarter. DGS Capital Management LLC now owns 1,291 shares of the company’s stock valued at $870,000 after purchasing an additional 195 shares in the last quarter. Anderson Financial Strategies LLC increased its stake in AppLovin by 9.5% during the 4th quarter. Anderson Financial Strategies LLC now owns 2,739 shares of the company’s stock valued at $1,846,000 after purchasing an additional 237 shares in the last quarter. Ketron Financial acquired a new position in AppLovin during the fourth quarter worth $222,000. Finally, Astoria Portfolio Advisors LLC. lifted its stake in shares of AppLovin by 205.5% in the fourth quarter. Astoria Portfolio Advisors LLC. now owns 1,558 shares of the company’s stock valued at $1,050,000 after buying an additional 1,048 shares in the last quarter. Institutional investors own 41.85% of the company’s stock.

About AppLovin

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.