No, it’s no secret that the technological sector has recently been broken. As of March 12, the Closed SPDR Sector SecTOR Sector Foundation NYSEARCA: XLK decreased by almost 13% with the closure of February 19.
Many actions that showed good results and reached new maximums at the beginning of 2025 were widely sold. This includes Ad-Tech Company Applovin NASDAQ: App and Legacy Tech Company Hewlett Packard Enterprise NYSE: HPEThe Applovin field decreased by 48% compared to the height of February 13, and the HPE retreated by 39% from a high level of January 22.
Given the huge drops observed in these two promotions, which currently looks most attractive? Below is a breakdown of what led to a fall in these shares, and which, most likely, can be very bounced.
Applovin: Short sellers are aimed at the promotion, despite the strong results
We will start with one of the most beloved shares of 2024, Applovin. The price of the company’s shares pulled out more than 700% per year. The shares increased even more at this point after the last report on the company’s income on February 12, increasing by 24%. The company impressed the revenue, income and management.
He also shared positive comments about his early efforts to advertise e -commerce. Since then, the shares have moved almost exclusively in one direction: down. This was facilitated by a mixture of fears in evaluation and general fear in the stock market.
Applovin shares forecast today
$ 438,28
61.13% growthModerate purchase
Based on 20 analysts ratings
| The current price | $ 272.00 |
|---|---|
| High forecast | $ 650.00 |
| Average forecast | $ 438,28 |
| Low forecast | $ 70.00 |
Applovin shares forecast details
Nevertheless, the Applovin fall was significantly accelerated by two bear short reports about the company.
The reports states that Applovin steals data from the meta -platform NASDAQ: met for its e -commerce. They argued that the company’s advertising automatically uploads applications to users without their consent, which led to income to the company. They also claimed that fraud in accounting.
These claims seem to be flaws. Accounting firms check the company’s financial reports, and they did not raise any problems. In addition, it seems unlikely that Appleivin could use false practices for a long time without encountering consequences. The company received $ 3.2 billion from its software segment in 2024, increasing the revenue by 75%. It is hard to imagine that his customers will not go to his fraudulent practice. They will stop directing the business to the company, not to mention a large -scale increase in their expenses.
In addition, Meta clearly has an incentive to crush competitors, such as Applovin, with trials if these claims are correct. Nevertheless, this did not take court claims. In addition, these short sellers want the action to fall. This makes them likely exaggerate any nuggets of truth in their reports. Nevertheless, it is possible that more legal evidence confirming these claims may appear.
Hewlett Packard: weak guidance and consolidation concerns the crater
The HPE fall was largely associated with a disappointing report on income on March 6. The leadership was much lower than the expectations for the financial year in 2025.
Hewlett Packard Enterprise Promotion Forecast Today
$ 21.27
43.98% growthModerate purchase
Based on 16 ratings of analysts
| The current price | $ 14.77 |
|---|---|
| High forecast | $ 29.00 |
| Average forecast | $ 21.27 |
| Low forecast | $ 15.00 |
Hewlett Packard Enterprise Promotion forecasts
The company is also faced with unexpected problems from the Ministry of Justice (Ministry of Justice) regarding its Juniper purchase plan NYSE: JNPRThe field of this acquisition is important for the strategic success of HPE in the future.
The complaint states that the merger will lead to HPE and Cisco systems NASDAQ: CSCO Control 70% of the market of the network of a wireless local network. This is a very high percentage, which makes antimonopoly law enforcement a significant problem.
Nevertheless, the Ministry of Justice published a complaint only 10 days later in the Trump administration. In addition, Key Quotes came to the complaint from the acting official and the Biden administration. This indicates that the Trump administration did not affect the announcement little.
On March 12, the Senate confirmed the actual choice of Trump for the same position in the antimonopoly unit of the Ministry of Justice. The view of the Ministry of Justice can now change significantly, providing the HPE rescue boat.
App by HPE: evidence draws two very different pictures
Both Applevin and HPE have succeeded in shifting their business. Applovin switched from a mobile game developer to a company focused on advertising, which led to impressive growth. For HPE, the growth of its server business by 30% accelerated the total growth of up to 16% compared to -14% at the end of 2023.
Negative events surrounding use seem less supported by sorted evidence. The fall of the HPE came from actual income and negative news about the merger. Applevin’s was related to claims with a short seller with significant evidence, pushing against them.
A change in general technologies and market moods affected both firms.
Recent targeted prices for Wall Stegdrates, tracked by Marketbeat, show a large difference on the average implied potential for two promotions.
The figure for Appleivin is about 98%, while for HPE it is only 5%. In general, the case for a rebound in Applevin looks much stronger at this stage.
Before considering Appleivin, you will want to hear this.
Marketbeat monitors the highest and most effective analysts with the most effective Wall Street analysts and promotions that they recommend to their customers daily. Marketbeat has identified five shares that leading analysts quietly whisper to their clients to buy now before the wider market wins … and Applovin was not on the list.
While Applovin currently has an average purchase rating among analysts, analysts with the highest rating believe that these five promotions are better buying.
View five shares here
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