AppLovin runs a software platform that helps mobile app developers grow by matching advertisers with ad space through real-time auctions, like a stock exchange for app ads.
Money comes from fees on ad auctions and analytics subscriptions, with gross margins around 88% and net margins near 64%, showing highly profitable, recurring revenue.
Network effects from many advertisers and publishers make the platform more valuable, but competitors like Google and Meta have larger ad networks, and Apple's privacy changes weaken targeting, so the moat is eroding.
Hold (sector percentile 39) — value B, growth A-, profitability A+, momentum F, revisions D. Updated daily, sector-relative, identical for every user.
Key events, in time order
JPMorgan acknowledges strong financials but questions gaming ad growth durability amid rising competition
Multiple outlets and X users note APP at $310.95 52-week low, citing Q2 revenue growth of 53% and 84% EBITDA margins as undervaluation
Analyst Omar Dessouky downgraded from Buy to Neutral, cutting PT from $430 to $400, citing concerns the company may not achieve growth expectations.
Stock hits 52-week low, down 52% YTD; PEG ratio at 0.55
Multiple sources confirm 53% revenue growth but miss, stock near 52-week low, focus on forward guidance.
Analysts lowered forecasts post-earnings, reflecting growth concerns
消费者业务广告支出创纪录，较2025年第四季度峰值高出28%。
消费者业务广告支出创纪录，较2025年第四季度峰值高出28%。
消费者业务广告支出创纪录，较2025年第四季度峰值高出28%。
Users reiterate APP's strong fundamentals, calling recent pullback overdone
SEC filing shows reduced holdings to 34,158 shares, a notable institutional move.
Rule of 40 score of 150 far exceeds threshold, some analysts see current price as undervalued
Zacks article notes software model creates operating leverage, translating AI-driven growth into stronger profitability and scalability.
Citi data shows eCommerce growth; BofA comments caused selloff but bounce, mixed signals
Q1 2026 revenue was $1.84 billion, up 59% year-over-year and 11% sequentially, beating guidance
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AppLovin is seen as undervalued and a long-term growth opportunity, with a focus on its cash flow generation and potential to reach $1 trillion in value. The discussion highlights its fundamental strength despite recent price drops.
Main discussion
Different voices
Some great names on this list but worth pointing out… $APP is the cheapest and second fastest growing behind $RDDT Both of these stocks are 40-50% undervalued at current prices https://t.co/l8j6MqU355
ADDED TO MY LONG TERM PORTFOLIO It’s that time of week again. Made a deposit into my long term compounding portfolio and added: Increased $IREN by 7% Increased $RDDT by 20% Started a position in $APP I’ll release a video on it this week. You can follow it for free on @EarningsHub
Adam immediately hopped on the pod with Giovanni to talk about how they are planning to take $APP to $1T: "To take it from this scale up and be worth a trillion, we've got to believe that we can get to $30 billion plus of cash flow a year." E-commerce and CTV are existential for
Every time I notice that AppLovin $APP only has 100 engineers, it scares the fxck out of me. A super lean team means it’s a company that’s more fragile when facing turnover and doesn’t have much redundancy to absorb outside uncertainties. It also means that despite being a huge c
Tiger Global files its Q2 13F with new positions in $AMD $SPCX $V, exits $APP $NFLX Top 5 Positions: 1. $TSM, 9.72% 2. $AMZN, 9.62% 3. $NVDA, 9.34% 4. $GOOGL, 8.65% 5. $META, 6.63% -Top Buys: $CBRS $AMD $INTC $STX $V -Top Sales: $GOOGL $AVGO $APP $TSM $Z -Top New Positions: $CBRS
Adam Foroughi was just asked how AppLovin becomes a $1T company. Here’s the clear roadmap he laid out: We’re already at a ~$7B+ EBITDA run-rate and convert ~75% of that into cash after SBC. To be worth a trillion dollars, we need to get to $30B+ of annual cash flow. That’s the nu
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