Latest news with #mobileadvertising
Bloomberg
6 days ago
- Business
- Bloomberg
SoftBank-Backed InMobi Is Said to Aim for $1 Billion India IPO
InMobi Pte, a mobile advertising platform backed by SoftBank Group Corp., aims to raise as much as $1 billion in an initial public offering in India, according to people familiar with the matter. The company plans to hire arrangers for an IPO in Mumbai and file an initial draft prospectus with regulators this year, the people said, asking not to be identified because the discussions are private. InMobi could seek a valuation of $5 billion to $6 billion in a share offering, they said, adding that considerations are ongoing and no final decisions have been made.
Yahoo
19-07-2025
- Business
- Yahoo
Jim Cramer Says AppLovin Has 'No Real Competition'
AppLovin Corporation (NASDAQ:APP) is one of the stocks on Jim Cramer's radar. During the episode, Cramer noted that the company has 'no real competition.' He commented: 'AppLovin is a hugely profitable way for companies to advertise through mobile video games, which are typically free as long as you watch the ads. This company's got software and AI solutions that make its model unassailable. They have no real competition. The revenue growth is stunning. It was a $10 billion company two years ago. Now it's $120 billion, as this is the company that can get your ad in front of everyone who plays games on their phone. I know it's richly valued. I don't care. When you have no competition, well, guess what? You do pretty darn well.' A close-up of a mobile device, showing an advertiser reaching out to a consumer via a software-based platform. AppLovin (NASDAQ:APP) provides a software platform that supports app marketing, monetization, and distribution through advertising solutions, analytics tools, and connected TV services. The company also operates mobile games and offers tools for app developers and publishers. While we acknowledge the potential of APP as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you're looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock. READ NEXT: 30 Stocks That Should Double in 3 Years and 11 Hidden AI Stocks to Buy Right Now. Disclosure: None. This article is originally published at Insider Monkey.
Yahoo
09-07-2025
- Business
- Yahoo
AppLovin (APP) Stock Is Up, What You Need To Know
Shares of mobile app advertising platform AppLovin (NASDAQ: APP) jumped 3.3% in the afternoon session after analysts at Scotiabank upgraded the stock to a "strong-buy" rating. The investment bank's positive reassessment of the mobile technology company has signaled renewed confidence in its growth prospects. This upgrade is the latest in a series of optimistic analyst ratings for AppLovin. Scotiabank's analyst highlighted that AppLovin has "blown through the Rule of 40," a key metric for software investors that balances revenue growth with profit margins. To pass the test, a company's combined growth rate and profit margin should exceed 40%. After the initial pop the shares cooled down to $356.45, up 3.3% from previous close. Is now the time to buy AppLovin? Access our full analysis report here, it's free. AppLovin's shares are extremely volatile and have had 62 moves greater than 5% over the last year. In that context, today's move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business. AppLovin is up 4.3% since the beginning of the year, but at $356.45 per share, it is still trading 30.1% below its 52-week high of $510.13 from February 2025. Investors who bought $1,000 worth of AppLovin's shares at the IPO in April 2021 would now be looking at an investment worth $5,467. Here at StockStory, we certainly understand the potential of thematic investing. Diverse winners from Microsoft (MSFT) to Alphabet (GOOG), Coca-Cola (KO) to Monster Beverage (MNST) could all have been identified as promising growth stories with a megatrend driving the growth. So, in that spirit, we've identified a relatively under-the-radar profitable growth stock benefiting from the rise of AI, available to you FREE via this link. 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
Forbes
17-06-2025
- Business
- Forbes
AppLovin Stock: Worth It At $365?
The AppLovin Corporation logo appears on a smartphone screen in this illustration photo in Reno, ... More United States, on December 20, 2024. (Photo by Jaque Silva/NurPhoto via Getty Images) AppLovin (NASDAQ:APP), a firm that assists mobile app developers in publishing and promoting their applications, has excelled over the past year, though it has experienced some ups and downs in 2025. While the stock dropped nearly 57% from the peaks observed in early February 2025 following a report from a short-seller claiming AppLovin violated service terms and exaggerated the success of its e-commerce operations, these claims have yet to be substantiated, and the stock saw a strong recovery after reporting solid earnings in the first quarter. The stock is currently approximately 7% up year-to-date in 2025 and has increased nearly 4.5x over the previous year. Demand for Axon 2.0, AppLovin's exclusive machine learning algorithm for ad placement, has surged. The software effectively determines which ad to show, to which user, and at what time in order to optimize click-through rates or user engagement. While this resembles the strategies employed by Meta and Google, Axon is specifically designed for mobile app advertising. The company's advertising platform reported impressive revenue growth of 71% year-over-year in Q1 2025, achieving $1.16 billion. Overall financial results have also been strong, with revenue soaring nearly 40% year-over-year, and adjusted EBITDA experiencing an increase close to 83%. Although the bulk of the company's revenue still comes from advertisements for mobile gaming applications, it is concentrating on expanding its e-commerce sector. Nevertheless, it remains uncertain how effective this initiative will be, as AppLovin possesses an extensive dataset in gaming but may lack the comprehensive first-party e-commerce data that competitors like Meta and Alphabet have. That being said, despite its impressive growth and success, the AppLovin stock may be a challenging choice at its current price of approximately $360. We believe there is little reason for concern regarding APP stock, which makes it appealing, but it is also very responsive to negative events due to its elevated valuation. We reached this conclusion by comparing APP's current valuation with its operational performance over the past few years, as well as its current and historical financial positions. Our evaluation of AppLovin according to key metrics such as Growth, Profitability, Financial Stability, and Downturn Resilience indicates that the company possesses a very strong operational performance and financial standing, as elaborated below. Nonetheless, if you are looking for potential with lower volatility than individual stocks, the Trefis High Quality portfolio offers a viable alternative - having outperformed the S&P 500 and delivered returns greater than 91% since its founding. Separately, see – Should You Buy CRWV Stock After A Whopping 4x Rise? Based on the amount you pay per dollar of sales or profit, APP stock appears to be very expensive relative to the overall market. • AppLovin has a price-to-sales (P/S) ratio of 25.1 compared to a figure of 3.0 for the S&P 500 • Additionally, the company's price-to-free cash flow (P/FCF) ratio stands at 50.8 compared to 20.5 for the S&P 500 • Furthermore, it has a price-to-earnings (P/E) ratio of 67.1 compared to the benchmark's 26.4 AppLovin's Revenues have substantially increased over the last few years. • AppLovin has experienced an average revenue growth rate of 23.2% over the last 3 years (versus an increase of 5.5% for the S&P 500) • Its revenues have risen 41.6% from $3.6 billion to $5.1 billion in the past 12 months (compared to a rise of 5.5% for the S&P 500) • Moreover, its quarterly revenues increased by 40.3% to $1.5 billion in the most recent quarter from $1.1 billion a year prior (versus a 4.8% increase for the S&P 500) AppLovin's profit margins are significantly higher than most companies within the Trefis coverage universe. • AppLovin's Operating Income over the last four quarters was $2.4 billion, indicating a significantly high Operating Margin of 46.5% (compared to 13.2% for the S&P 500) • AppLovin's Operating Cash Flow (OCF) for this period was $2.5 billion, indicating a significantly high OCF Margin of 49.4% (versus 14.9% for the S&P 500) • For the last four-quarter span, AppLovin's Net Income was $1.9 billion - reflecting a significantly high Net Income Margin of 37.4% (compared to 11.6% for the S&P 500) AppLovin's balance sheet appears solid. • AppLovin reported a Debt figure of $3.7 billion at the end of the most recent quarter, while its market capitalization is $124 billion (as of 6/13/2025). This results in a very strong Debt-to-Equity Ratio of 2.9%(in contrast to 19.9% for the S&P 500). [Note: A low Debt-to-Equity Ratio is preferable] • Cash (including cash equivalents) constitutes $551 million of the $5.7 billion in Total Assets for AppLovin. This gives rise to a moderate Cash-to-Assets Ratio of 9.7% (in comparison to 13.8% for the S&P 500) APP stock has underperformed compared to the benchmark S&P 500 index during several recent downturns. While investors remain hopeful for a smooth economic adjustment in the U.S., the potential consequences of another recession could be severe. Our dashboard How Low Can Stocks Go During A Market Crash illustrates the performance of key stocks during and after the last six market crashes. • APP stock declined 91.9% from a high of $114.85 on 11 November 2021 to $9.30 on 27 December 2022, compared to a peak-to-trough drop of 25.4% for the S&P 500 • The stock completely rebounded to its pre-Crisis peak by 16 September 2024 • Since then, the stock has risen to a maximum of $510.13 on 17 February 2025 and currently trades at around $360 • APP stock dropped 36.7% from a high of $88.22 on 17 June 2021 to $55.88 on 16 August 2021, in comparison to a peak-to-trough decline of 33.9% for the S&P 500 • The stock completely recovered to its pre-Crisis high by 14 October 2021 In conclusion, AppLovin's performance across the parameters mentioned previously can be summarized as follows: • Growth: Extremely Strong • Profitability: Extremely Strong • Financial Stability: Very Strong • Downturn Resilience: Weak • Overall: Very Strong Therefore, despite its high valuation, the stock seems attractive yet volatile due to its poor downturn resilience. This leads us to affirm that APP is a challenging stock to purchase. Not satisfied with the volatility associated with APP stock? The Trefis High Quality (HQ) Portfolio, which consists of 30 stocks, has demonstrated a history of comfortably outperforming the S&P 500 over the past four years. Why is this the case? As a collective, HQ Portfolio stocks have provided superior returns with less risk compared to the benchmark index; offering a smoother experience, as shown in the HQ Portfolio performance metrics.
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
