Latest news with #Axon2
Yahoo
6 days ago
- Business
- Yahoo
Will Top-Line Improvement Benefit AppLovin's Q2 Earnings?
AppLovin Corporation APP is set to announce its second-quarter 2025 results on Aug 6, after the bell. The company is expected to report strong year-over-year revenue growth, primarily driven by the strength of its Advertising segment. The consensus estimate for the Advertising revenues is pegged at $1.23 billion, indicating 72% year-over-year growth. This surge is likely to have been fueled by the company's advanced Axon 2 technology, which enhances ad targeting and optimization. Since its debut, Axon 2 has radically enhanced AppLovin's ad performance, helping to quadruple advertising spend on its platform. The Zacks Consensus Estimate for AppLovin's total revenues is expected to reach $1.21 billion, indicating a robust 12.3% increase from the year-ago quarter. AppLovin Corporation Price and EPS Surprise AppLovin Corporation price-eps-surprise | AppLovin Corporation Quote Profitability is also anticipated to have improved significantly. The consensus estimate for Advertising's adjusted EBITDA is pegged at $1000 million, implying 92.3% year-over-year growth. Earnings per share are expected to show a massive 123.6% increase, with the Zacks Consensus Estimate at $1.99. These projections highlight AppLovin's ability to capitalize on its technology-driven business model, reinforcing its position as a leading player in the digital advertising and gaming industries. APP currently carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here. Earnings Snapshot Fiserv, Inc. FI reported mixed second-quarter 2025 results, wherein earnings beat the Zacks Consensus Estimate, but revenues missed the same. FI's adjusted EPS of $2.47 topped the consensus mark by 2.5% and rose 16% year over year. Adjusted revenues of $5.2 billion missed the consensus estimate by a slight margin but gained 1.7% on a year-over-year basis. The Interpublic Group of Companies, Inc. IPG reported impressive second-quarter 2025 results. Both earnings and revenues beat the Zacks Consensus Estimate. IPG's adjusted earnings of 75 cents per share surpassed the Zacks Consensus Estimate by 36.4% and jumped 23% from the year-ago quarter. Revenues before billable expenses (net revenues) of $2.2 billion beat the consensus estimate by a slight margin but declined 19.8% year over year. Total revenues of $2.5 billion decreased 7.2% year over year but outpaced the Zacks Consensus Estimate of $2.2 billion. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Interpublic Group of Companies, Inc. (The) (IPG) : Free Stock Analysis Report AppLovin Corporation (APP) : Free Stock Analysis Report Fiserv, Inc. (FI) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
Yahoo
25-07-2025
- Business
- Yahoo
UiPath vs. AppLovin: Which AI-Driven Tech Stock is Purchase-Worthy?
UiPath PATH and AppLovin Corporation APP are two prominent players leveraging artificial intelligence to transform digital operations. UiPath leads the robotic process automation sector (RPA), applying AI to streamline enterprise on the other hand, operates in the mobile ad tech space, using AI to optimize app monetization and user acquisition. As AI becomes an integral part of modern business software, the key question is: Which of these AI-driven tech stocks presents a more compelling investment opportunity today? Let's examine their fundamentals, growth drivers and valuations. The Case for UiPath UiPath remains a strong force in the booming RPA market, which is poised for substantial expansion over the coming years. Its end-to-end automation platform positions the company to seize opportunities as demand for AI-driven solutions surges. A critical driver of PATH's success is its strategic alliances with top technology giants. Microsoft MSFT, Amazon AMZN and Salesforce CRM continue to play pivotal roles in expanding UiPath's reach and capabilities. These partnerships not only bolster PATH's credibility but also integrate its offerings into broader enterprise ecosystems powered by Microsoft Azure, Amazon's AWS and Salesforce Cloud solutions. The company boasts high customer retention, with net retention rates ranging between 110% and 115%, underscoring its ability to expand usage within existing accounts. In the first quarter of fiscal 2026, UiPath reported a 6% increase in revenues year over year, reaching $357 million. Additionally, its annual recurring revenue rose 12% to $1.69 billion, reflecting the strength of its subscription-based business model and customer loyalty. With a strong global presence, a robust partner ecosystem, particularly with Microsoft, Amazon, and Salesforce, and a continued focus on intelligent automation, UiPath is well-positioned to maintain its leadership in the evolving RPA and enterprise automation market. The Case for AppLovin AppLovin has solidified its leadership in mobile advertising, powered by its next-gen AI engine, Axon 2, which launched in the second quarter of 2023. Since its debut, Axon 2 has radically enhanced AppLovin's ad performance, helping to quadruple advertising spend on its platform. This explosive growth has led to an estimated $10 billion annual run rate in ad spend from gaming clients, pushing APP into the upper echelon of global ad tech firms by valuation. Axon 2's importance goes far beyond mere optimization. In a post-Identifier for Advertisers environment that disrupted mobile user acquisition strategies, Axon 2 served as a critical catalyst for recovery. While Western mobile gaming experienced stagnation in 2022, Axon 2 reignited ad-driven momentum. Though in-app purchases are seeing modest, mid-single-digit growth, AppLovin's MAX publisher base is expanding at a significantly faster rate, underscoring Axon 2's strategic advantage. Google, Microsoft and Salesforce are rapidly advancing generative AI. Microsoft integrates AI in Office via Copilot and expands Azure's AI. Google embeds AI in Workspace and enhances Vertex AI. Salesforce incorporates AI across its CRM, especially through Einstein Copilot and Data Cloud. Microsoft is also focusing on AI governance, while Google is strengthening AI security. Salesforce further refines dynamic customer experiences. While these giants focus on enterprise productivity and CRM, Applovintakes a different route, using AI to drive direct monetization in mobile advertising. How Do Zacks Estimates Compare for PATH & APP? The Zacks Consensus Estimate for UiPath's 2025 sales and EPS indicates year-over-year growth of 8.5% and 5.7%, respectively. EPS estimates have been trending flat over the past 60 days. Image Source: Zacks Investment Research The Zacks Consensus Estimate for AppLovin's 2025 sales and EPS indicates year-over-year growth of 16.3% and 85.4%, respectively. Both upward and downward EPS revisions have offset each other, keeping estimates flat over the past 60 days. Image Source: Zacks Investment Research UiPath's Valuation More Attractive Than AppLovin UiPath is trading at a forward sales multiple of 4.09X, below its 12-month median of 4.44X. AppLovin's forward sales multiple stands at 19.88X, above its median of 18.7X. Winner: UiPath UiPath emerges as the more compelling AI-driven investment. While AppLovin dazzles with Axon 2 and ad spend growth, UiPath's leadership in the fast-expanding RPA market, strong enterprise partnerships with Microsoft, Amazon, and Salesforce, and high customer retention offer long-term stability. Its subscription-based model ensures recurring revenue, and its valuation — trading at a much lower forward sales multiple than AppLovin — makes it a better value play. UiPath's enterprise focus and strategic alliances give it an edge in AI scalability and business relevance. For investors seeking sustainable, enterprise-grade AI exposure, UiPath stands out as the smarter buy. While PATH sports a Zacks Rank #1 (Strong Buy), APP carries a Zacks Rank #3 (Hold). You can see the complete list of today's Zacks #1 Rank stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Inc. (AMZN) : Free Stock Analysis Report Microsoft Corporation (MSFT) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report UiPath, Inc. (PATH) : Free Stock Analysis Report AppLovin Corporation (APP) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Yahoo
25-06-2025
- Business
- Yahoo
Spotify vs. AppLovin: Which Ad-Powered Tech Stock is the Better Buy?
Both Spotify Technology S.A. SPOT and AppLovin Corporation APP are leveraging AI within their respective ecosystems, offering compelling ad-tech strategies. Spotify's AI features are consumer-facing and engagement-oriented. They are deeply tied to the company's advertising business, enhancing user retention, collecting valuable data, and enabling more efficient, personalized ad delivery. Meanwhile, AppLovin employs AI to optimize in-app advertising across a vast network of mobile applications. Its algorithms analyze real-time user data to determine the most effective ad placements, formats, and timing, thereby maximizing click-through and conversion rates. While Spotify focuses on audio-driven personalization, AppLovin excels in visual and performance-based mobile ads. Together, they exemplify how AI can unlock scalable, high-margin digital advertising models. APP is accelerating its transformation from a mobile-first ad platform into a diversified, AI-powered advertising leader. At the heart of this evolution is its strategic push into web advertising, e-commerce, and connected TV (CTV), driven by the acquisition of Wurl, a streaming-focused content distribution and monetization platform. Wurl enables AppLovin to extend its AI-driven monetization capabilities beyond mobile, unlocking high-growth opportunities in smart TVs and digital commerce. The CTV market is witnessing rapid growth as viewers migrate from linear to streaming platforms. Wurl's infrastructure synergizes with AppLovin's advanced AXON AI engine, allowing the company to deliver hyper-targeted, performance-driven ad campaigns across CTV devices. This move enhances both ad efficiency and measurable outcomes for advertisers. On the mobile front, AppLovin's next-generation AI engine, Axon 2, launched in the second quarter of 2023, has dramatically improved ad performance. Since its rollout, Axon 2 has helped quadruple ad spend on the company's platform, powering an estimated $10 billion annual run rate from gaming clients and securing AppLovin's place among the top global ad tech firms by valuation. Axon 2's impact extends beyond optimization. In a post-Identifier for Advertisers world, where traditional user acquisition strategies were upended, Axon 2 emerged as a recovery engine. While Western mobile gaming experienced stagnation in 2022, Axon 2 has reignited ad-driven growth. Meanwhile, the company's MAX publisher base continues to expand rapidly, far outpacing modest in-app purchase growth, highlighting the strategic edge of AppLovin's AI-first approach. SPOT is harnessing the power of AI to redefine user experience and deepen engagement on its platform. Personalized AI features like Spotify Wrapped have become annual cultural phenomena, leveraging machine learning to analyze vast amounts of user listening data. This feature not only entertains but also strengthens brand loyalty by offering users a unique snapshot of their musical journey. SPOT's AI DJ is a dynamic tool that utilizes advanced algorithms to curate personalized playlists in real-time. By incorporating voice-command functionality, the AI DJ offers an interactive, radio-like experience that mimics human curation while adapting to individual tastes. This innovation fosters greater user retention and time spent on the platform, directly enhancing monetization potential. These AI-driven tools are not just boosting engagement; they're also expanding margins by reducing reliance on manual curation and enabling more targeted advertising. Furthermore, the massive troves of proprietary user data that power Spotify's AI form a defensible, data-driven moat that's difficult for competitors to replicate. As AI continues to evolve, Spotify's strategic integration of intelligent features positions it as a leading innovator in digital audio, setting the stage for long-term growth and sustainable competitive advantage. The Zacks Consensus Estimate for APP's 2025 sales and EPS indicates year-over-year growth of 17% and 89%, respectively. EPS estimates have been trending upward over the past 60 days. Image Source: Zacks Investment Research The Zacks Consensus Estimate for SPOT's 2025 sales suggests 818% year-over-year growth, while EPS is expected to grow 57%. EPS estimates have been trending downward over the past 60 days. Image Source: Zacks Investment Research SPOT is trading at a forward sales multiple of 7.03X, below its 12-month median of 5.05X. APP's forward sales multiple stands at 18.82X, below its median of 16.48X. While both Spotify and AppLovin are leveraging AI to drive ad-powered growth, AppLovin appears better positioned in the near term. Its Axon 2 engine is delivering massive gains in ad efficiency and spend, while Wurl expands its AI reach into fast-growing CTV and digital commerce markets. APP's stronger EPS growth estimates and AI-driven recovery in a post-IDFA world further support its momentum. Although Spotify offers deeper user engagement and a more attractive valuation, its downward-trending EPS estimates raise concerns. For investors seeking AI-led scalability and ad-tech upside, AppLovin currently stands out as the more compelling buy. While APP carries a Zacks Rank #1 (Strong Buy), SPOT carries a Zacks Rank #3 (Hold) at present. You can see the complete list of today's Zacks #1 Rank stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report AppLovin Corporation (APP) : Free Stock Analysis Report Spotify Technology (SPOT) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research Error in retrieving data Sign in to access your portfolio Error in retrieving data Error in retrieving data Error in retrieving data Error in retrieving data
Globe and Mail
11-06-2025
- Business
- Globe and Mail
AppLovin Stock Jumps 50% in 3 Months: Is it Too Late to Buy?
AppLovin Corporation APP has delivered a stunning 50% surge over the past three months, significantly outperforming the industry 's 21% rally. In contrast, heavyweights in the in-game mobile advertising space, such as Alphabet GOOGL and Meta Platforms META, have gained 7% and 14%, respectively, during the same period. < With digital ad giants regaining momentum, market sentiment appears to be turning favorable for ad tech firms. This article evaluates whether AppLovin remains a compelling buy amid this uptrend. APP: Dominating Mobile Ads With Axon 2 AppLovin has solidified its leadership in mobile advertising, powered by its next-gen AI engine, Axon 2, which launched in the second quarter of 2023. Since its debut, Axon 2 has radically enhanced AppLovin's ad performance, helping to quadruple advertising spend on its platform. This explosive growth has led to an estimated $10 billion annual run rate in ad spend from gaming clients, pushing AppLovin into the upper echelon of global ad tech firms by valuation. Axon 2's importance goes far beyond mere optimization. In a post-Identifier for Advertisers environment that disrupted mobile user acquisition strategies, Axon 2 served as a critical catalyst for recovery. While Western mobile gaming experienced stagnation in 2022, Axon 2 reignited ad-driven momentum. Though in-app purchases are seeing modest, mid-single-digit growth, AppLovin's MAX publisher base is expanding at a significantly faster rate, underscoring Axon 2's strategic advantage. Google, Microsoft MSFT and Salesforce CRM are rapidly advancing generative AI. Microsoft integrates AI in Office via Copilot and expands Azure's AI. Google embeds AI in Workspace and enhances Vertex AI. Salesforce incorporates AI across its CRM, especially through Einstein Copilot and Data Cloud. Microsoft is also focusing on AI governance, while Google is strengthening AI security. Salesforce further refines dynamic customer experiences. While these giants focus on enterprise productivity and CRM, Applovintakes a different route, using AI to drive direct monetization in mobile advertising. APP's Financial Results Speak Volumes AppLovin's financial performance has matched its technological breakthroughs. In the first quarter of 2025, revenues surged 40% year over year, reflecting strong market demand. Adjusted EBITDA jumped 83% year over year, showcasing improved operational efficiency. Net income skyrocketed 144% from the prior year, demonstrating APP's ability to translate revenue growth into significant profitability. For the full year 2024, revenues climbed 43% year over year, while adjusted EBITDA surged 81%, underscoring AppLovin's ability to seize market opportunities while maintaining efficiency. APP: Analyst Estimates Signal Further Upside Analyst expectations reflect continued optimism. The Zacks Consensus Estimate for second-quarter 2025 earnings is $2.01 per share, up 125.8% from the year-ago period. Revenue for the same quarter is expected to reach $1.45 billion, indicating 33.9% year-over-year growth. Looking further ahead, full-year 2025 earnings are projected to grow by 85.7%, with 2026 earnings expected to rise another 42.2%. Revenues are also expected to increase by 21.5% in 2025 and 19.2% in 2026. These projections underscore confidence in the company's monetization engine and its ability to deliver strong earnings amid digital ad market expansion. Bottom Line: APP Still a Buy AppLovin's recent rally is not merely hype; it is rooted in tangible performance, cutting-edge technology, and an expanding advertiser base. The success of Axon 2, coupled with soaring financial metrics and bullish analyst forecasts, supports a bullish outlook. While broader tech firms are steering AI toward enterprise productivity, AppLovin is capitalizing on AI's power to drive direct, scalable monetization in mobile advertising, a strategy that is paying off. AppLovin remains a strong buy for investors seeking exposure to high-growth AI-powered tech with proven execution. APP currently sports a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here. Zacks' Research Chief Names "Stock Most Likely to Double" Our team of experts has just released the 5 stocks with the greatest probability of gaining +100% or more in the coming months. Of those 5, Director of Research Sheraz Mian highlights the one stock set to climb highest. This top pick is a little-known satellite-based communications firm. Space is projected to become a trillion dollar industry, and this company's customer base is growing fast. Analysts have forecasted a major revenue breakout in 2025. Of course, all our elite picks aren't winners but this one could far surpass earlier Zacks' Stocks Set to Double like Hims & Hers Health, which shot up +209%. Free: See Our Top Stock And 4 Runners Up Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT): Free Stock Analysis Report Salesforce Inc. (CRM): Free Stock Analysis Report AppLovin Corporation (APP): Free Stock Analysis Report Alphabet Inc. (GOOGL): Free Stock Analysis Report Meta Platforms, Inc. (META): Free Stock Analysis Report
Yahoo
05-06-2025
- Business
- Yahoo
Axon 2 Drives AppLovin's Advertising Surge and Gaming Ecosystem
AppLovin Corporation APP has emerged as a dominant force in the mobile advertising ecosystem, thanks to the strong performance of its AI engine, Axon 2. Launched in the second quarter of 2023, Axon 2 has significantly transformed the company's ad platform. Since its rollout, advertising spend on AppLovin's platform has quadrupled, with ad spend for gaming clients reaching an estimated $10 billion annual run rate, a scale that now places AppLovin among the most highly valued ad tech firms globally. Axon 2's impact extends beyond the platform. In a post-Identifier for Advertisers environment that challenged mobile user acquisition, it became a key catalyst for recovery. While Western mobile gaming growth stalled in 2022, Axon 2 helped reignite the market. While in-app purchase revenues are seeing mid-single-digit annual growth, the company's MAX publishers are expanding at multiples of that rate. The financial results speak volumes. In the first quarter of 2025, revenue rose 40% year over year, adjusted EBITDA surged 83%, and net income grew 144%. Full-year 2024 figures were equally strong, with revenue up 43% and EBITDA up 81%. By directly addressing mobile advertising's toughest challenges, Axon 2 hasn't just improved performance; it has reshaped the economics of mobile game discovery and monetization. Alphabet's GOOGL Google, Microsoft MSFT, and Salesforce CRM are rapidly advancing generative AI. Microsoft integrates AI in Office via Copilot and expands Azure's AI. Google embeds AI in Workspace and enhances Vertex AI. Salesforce incorporates AI across its CRM, especially through Einstein Copilot and Data Cloud. Microsoft is also focusing on AI governance, while Google is strengthening AI security. Salesforce further refines dynamic customer experiences. While these giants focus on enterprise productivity and CRM, Applovintakes a different route, using AI to drive direct monetization in mobile advertising. The stock has surged 23% year to date, significantly outperforming the industry's 5% rally. Image Source: Zacks Investment Research From a valuation standpoint, APP trades at a forward price-to-earnings ratio of 40.31, well above the industry's 24.17. It carries a Value Score of F. Image Source: Zacks Investment Research The Zacks Consensus Estimate for APP's earnings has been on the rise over the past 30 days. Image Source: Zacks Investment Research APP stock currently carries a Zacks Rank #1 (Strong Buy). You can see the complete list of today's Zacks #1 Rank stocks here. Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report Microsoft Corporation (MSFT) : Free Stock Analysis Report Salesforce Inc. (CRM) : Free Stock Analysis Report AppLovin Corporation (APP) : Free Stock Analysis Report Alphabet Inc. (GOOGL) : Free Stock Analysis Report This article originally published on Zacks Investment Research ( Zacks Investment Research
