Citigroup Has Lowered Expectations for AppLovin (NASDAQ:APP) Stock Price

AppLovin (NASDAQ:APP) had its price objective dropped by Citigroup from $600.00 to $500.00 in a research report issued on Monday, Benzinga reports. The firm currently has a “buy” rating on the stock. Citigroup’s target price would indicate a potential upside of 85.79% from the company’s previous close.

APP has been the topic of a number of other research reports. Daiwa Securities Group cut their price objective on shares of AppLovin from $569.00 to $345.00 and set an “outperform” rating on the stock in a research report on Wednesday, August 19th. The Goldman Sachs Group lowered their target price on shares of AppLovin from $465.00 to $400.00 and set a “neutral” rating for the company in a report on Wednesday, October 14th. Morgan Stanley lowered their target price on shares of AppLovin from $450.00 to $400.00 and set an “overweight” rating for the company in a report on Tuesday, October 13th. Scotiabank reaffirmed a “sector outperform” rating and set a $515.00 price target (down from $775.00) on shares of AppLovin in a research note on Thursday, August 6th. Finally, Bank of America reiterated a “neutral” rating and set a $400.00 price target (down from $430.00) on shares of AppLovin in a report on Tuesday, August 11th. Three investment analysts have rated the stock with a Strong Buy rating, seventeen have given a Buy rating and eight have assigned a Hold rating to the company’s stock. According to MarketBeat.com, the company has a consensus rating of “Moderate Buy” and an average price target of $507.75.

AppLovin Trading Up 1.1%

Shares of NASDAQ APP traded up $2.99 during trading hours on Monday, hitting $269.12. 2,905,672 shares of the company traded hands, compared to its average volume of 5,574,310. The stock has a market capitalization of $90.06 billion, a price-to-earnings ratio of 20.69, a price-to-earnings-growth ratio of 0.56 and a beta of 2.56. The company has a current ratio of 4.30, a quick ratio of 4.30 and a debt-to-equity ratio of 1.11. The company’s 50 day moving average price is $305.16 and its 200 day moving average price is $411.53. AppLovin has a 12 month low of $260.59 and a 12 month high of $738.01.

AppLovin (NASDAQ:APP) last issued its quarterly earnings results on Wednesday, August 5th. The company reported $3.76 earnings per share (EPS) for the quarter, hitting analysts’ consensus estimates of $3.76. The company had revenue of $1.92 billion during the quarter, compared to the consensus estimate of $1.94 billion. AppLovin had a return on equity of 193.10% and a net margin of 64.58%. AppLovin’s revenue was up 52.8% on a year-over-year basis. During the same period last year, the company earned $2.39 earnings per share. On average, equities research analysts anticipate that AppLovin will post 15.67 earnings per share for the current fiscal year.

Institutional Inflows and Outflows

Hedge funds have recently made changes to their positions in the stock. Signature Estate & Investment Advisors LLC raised its stake in AppLovin by 3,695.3% in the second quarter. Signature Estate & Investment Advisors LLC now owns 76,361 shares of the company’s stock valued at $39,345,000 after buying an additional 74,349 shares during the last quarter. Insight Wealth Strategies LLC purchased a new stake in shares of AppLovin during the second quarter worth about $6,939,000. Generate Investment Management Ltd purchased a new stake in shares of AppLovin during the second quarter worth about $7,226,000. Nykredit A S acquired a new position in shares of AppLovin during the second quarter valued at about $41,902,000. Finally, Saudi Central Bank increased its holdings in shares of AppLovin by 88.7% during the second quarter. Saudi Central Bank now owns 16,070 shares of the company’s stock valued at $8,280,000 after acquiring an additional 7,555 shares in the last quarter. 41.85% of the stock is currently owned by institutional investors.

More AppLovin News

Here are the key news stories impacting AppLovin this week:

• Positive Sentiment: AppLovin’s second-quarter revenue increased 53% year over year to approximately $1.92 billion, and profitability grew faster than revenue. Some analysts argue the recent selloff may have created an attractive discount if the company can sustain rapid growth ahead of its expected third-quarter results in early November. Why AppLovin’s Discount May Be Unwarranted Ahead of Q3
• Neutral Sentiment: An AppLovin director reportedly acquired 67 restricted stock units. Because the transaction involved RSUs rather than a significant open-market purchase, it provides limited evidence of management’s view of the stock’s valuation. AppLovin Director Acquires 67 RSUs
• Negative Sentiment: Several investor-rights firms are promoting a securities class action covering purchases from February 12 through August 5, 2026, with a November 16 lead-plaintiff deadline. The allegations involve potentially misleading statements about projected AI-product growth, the self-service application, and the rollout of AppLovin’s generative-AI video creative tool. These are allegations, not established findings, but the litigation adds legal, reputational, and uncertainty risks. AppLovin Faces Securities Fraud Class Action
• Negative Sentiment: The lawsuit campaign follows a reported second-quarter revenue miss and concerns that machine-learning improvements and AI feature deployment may not be progressing quickly enough to support AppLovin’s exceptionally high margins and earnings expectations. The stock has fallen sharply from its 12-month high and remains below its 50-day and 200-day moving averages, reflecting continued investor skepticism. AppLovin Securities Class Action Deadline

AppLovin Company Profile

AppLovin Corporation is a technology company that provides software and services designed to help mobile application developers grow, monetize and operate their businesses. Its platform supports user acquisition, advertising, mediation, analytics and other functions across the mobile app ecosystem.

The company’s principal products include AppDiscovery, which helps developers market their applications and acquire users; MAX, an in-app bidding and monetization platform; and its AXON technology, an artificial intelligence-powered engine intended to improve advertising performance and match users with relevant applications and content.