AppLovin Corporation (NASDAQ:APP) Receives Average Recommendation of "Moderate Buy" from Brokerages

Key Points

• AppLovin has a consensus analyst rating of “Moderate Buy” from 23 brokerages, with 17 buy ratings, 1 strong buy, and 5 holds. The average 12-month price target is $664.35.
• The company delivered a strong quarterly update, reporting EPS of $3.56 versus $3.44 expected and revenue of $1.84 billion versus $1.77 billion expected. Revenue also jumped 58.9% year over year.
• Management issued upbeat guidance for Q2, forecasting $1.915 billion to $1.945 billion in revenue and adjusted EBITDA margins of roughly 84% to 85%. That outlook, along with positive analyst commentary, has helped support bullish sentiment despite some near-term stock volatility.

AppLovin Corporation (NASDAQ:APP - Get Free Report) has been given a consensus recommendation of "Moderate Buy" by the twenty-three brokerages that are covering the company, MarketBeat.com reports. Five analysts have rated the stock with a hold rating, seventeen have assigned a buy rating and one has assigned a strong buy rating to the company. The average 12-month target price among analysts that have updated their coverage on the stock in the last year is $664.35.

A number of equities research analysts recently issued reports on APP shares. Arete Research set a $340.00 price target on AppLovin and gave the stock a "neutral" rating in a research note on Monday, March 2nd. Deutsche Bank Aktiengesellschaft reissued a "buy" rating and set a $660.00 price target on shares of AppLovin in a research note on Thursday. Citigroup decreased their price target on AppLovin from $820.00 to $710.00 and set a "buy" rating for the company in a research note on Thursday, February 12th. UBS Group decreased their target price on AppLovin from $740.00 to $716.00 and set a "buy" rating for the company in a research report on Thursday. Finally, BTIG Research reaffirmed a "buy" rating and set a $640.00 target price on shares of AppLovin in a research report on Thursday.

AppLovin Price Performance

Shares of APP stock opened at $468.55 on Friday. AppLovin has a 52-week low of $320.00 and a 52-week high of $745.61. The company has a debt-to-equity ratio of 1.49, a quick ratio of 3.32 and a current ratio of 3.24. The firm has a market capitalization of $158.03 billion, a P/E ratio of 40.25, a P/E/G ratio of 0.85 and a beta of 2.37. The stock has a 50 day moving average price of $442.83 and a 200 day moving average price of $532.96.

AppLovin (NASDAQ:APP - Get Free Report) last issued its quarterly earnings results on Wednesday, May 6th. The company reported $3.56 earnings per share (EPS) for the quarter, topping analysts' consensus estimates of $3.44 by $0.12. AppLovin had a return on equity of 219.37% and a net margin of 64.29%.The firm had revenue of $1.84 billion during the quarter, compared to analyst estimates of $1.77 billion. During the same period last year, the company earned $1.67 EPS. AppLovin's quarterly revenue was up 58.9% compared to the same quarter last year. As a group, sell-side analysts predict that AppLovin will post 15.92 earnings per share for the current year.

Trending Headlines about AppLovin

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: AppLovin posted a strong Q1 2026 beat, with revenue up 59% year over year to $1.84 billion and adjusted EPS of $3.56, both above expectations. AppLovin Beats Quarterly Revenue Expectations. The Stock is Up.
• Positive Sentiment: Management’s outlook also impressed, with Q2 revenue guidance of $1.915 billion to $1.945 billion and adjusted EBITDA margins of roughly 84% to 85%, reinforcing confidence in AppLovin’s profitability. AppLovin expects Q2 2026 revenue of $1.915B-$1.945B...
• Positive Sentiment: Several reports highlighted accelerating e-commerce and AI ad growth, while Morgan Stanley said the quarter made it more convinced AppLovin is still early in a larger growth story. Morgan Stanley spills beans on what's next for AppLovin stock
• Positive Sentiment: Brokerage coverage stayed upbeat, including Needham reaffirming a Buy rating and Wedbush and Wells Fargo raising price targets, which supports sentiment around the name. Analyst rating and price target updates
• Neutral Sentiment: Despite the strong results, the stock has shown volatile post-earnings trading as investors digest the numbers and the near-term setup for the June Axon platform launch. AppLovin Stock Jumps, Then Reverses, Following Q1 Results
• Negative Sentiment: Some commentary warned that the growth story may need more time to fully play out, with consumer/e-commerce still a relatively small part of sales, which may be limiting enthusiasm in the near term. AppLovin: Growth Story Has A Patience Problem (Downgrade)

Insider Buying and Selling at AppLovin

In other AppLovin news, CTO Vasily Shikin sold 5,231 shares of AppLovin stock in a transaction on Tuesday, March 10th. The stock was sold at an average price of $477.47, for a total transaction of $2,497,645.57. Following the completion of the sale, the chief technology officer directly owned 30,658 shares of the company's stock, valued at $14,638,275.26. The trade was a 14.58% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available at this hyperlink. Also, CEO Arash Adam Foroughi sold 40,704 shares of AppLovin stock in a transaction on Thursday, March 12th. The shares were sold at an average price of $459.85, for a total value of $18,717,734.40. Following the sale, the chief executive officer directly owned 2,430,414 shares of the company's stock, valued at approximately $1,117,625,877.90. This trade represents a 1.65% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Insiders sold a total of 365,244 shares of company stock valued at $169,584,607 in the last ninety days. Corporate insiders own 13.66% of the company's stock.

Institutional Investors Weigh In On AppLovin

Institutional investors and hedge funds have recently bought and sold shares of the company. Washington Trust Advisors Inc. raised its position in AppLovin by 160.0% during the 4th quarter. Washington Trust Advisors Inc. now owns 39 shares of the company's stock valued at $27,000 after purchasing an additional 24 shares in the last quarter. Chilton Capital Management LLC bought a new position in shares of AppLovin in the 3rd quarter worth $29,000. Board of the Pension Protection Fund bought a new position in shares of AppLovin in the 4th quarter worth $27,000. Mcguire Capital Advisors Inc. bought a new position in shares of AppLovin in the 4th quarter worth $27,000. Finally, Activest Wealth Management raised its position in shares of AppLovin by 760.0% in the 3rd quarter. Activest Wealth Management now owns 43 shares of the company's stock worth $31,000 after acquiring an additional 38 shares in the last quarter. 41.85% of the stock is owned by institutional investors.

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.

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