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Applovin today

$ 238.22 +8.41 (+3.66%)

As of 04/17/2025 21:00

52-week range

$ 60.67

▼

$ 525.15

P/e ratio.

52.47

Value is valuable

$ 424.84

Applevin Corporation NASDAQ: AppMobile marketing platform, introduced a contrasting image for Investors of the technical sectorField The price of the company’s shares increased after $ 500 After the announcement of outstanding financial results in 2024 in 2024 in February 2025. However, this peak was short -lived, since the price of Applovin shares has fallen from then to about $ 245, despite the fact that the company reported about triple percentage of net profit and expansion above the average in its main advertising business.

A high amount of bidding, often one of the most active in volume in dollars, emphasizes Intensive market interest in the company. Nevertheless, investors, apparently, are faced with the contradiction of excellent basic principles compared to significant obstacles in the market, including evaluation problems, a short seller’s check and a change in the mood of analysts.

Inclevin profit increase

The financial indicators of Applovin in the 2024 financial year, especially its segment of advertising technologies, initially strengthened its bull forecast. The company dated February 12, 2025, the release of income showed 43% of total income up to 4.71 billion dollars. USA, With an advertising segment (previously “software platform”), contributing to an increase with an increase in revenue by 75% to 3.22 billion dollars.

The application segment has more modest revenue growth by 3% to 1.49 billion dollars, which reflects the company’s strategic attention on its advertising platform with a higher margin platform.

The leadership expressed confidence in a long impulse, providing strong management during the first quarter of 2025. IT total income from 1.355 billion dollars. USA to 1.385 billion dollars. USA and adjusted EBITDA from 855 to 885 million dollars. USA. implying a stable high margin from 63% to 64%. This strong productivity is largely associated with increasing efficiency and adoption of an advertising engine of the Appleovin AI engine.

Why is the Appleivin supply is under pressure?

Despite the powerful financial results and optimistic guidelines issued in February, the Appleivin narrative for everything. A significant rollback from his post-Believer shows that the market weighs several powerful meetings compared to registered basic principles. The assessment remains the central point of discussion. Even after a decrease in Appleivin, it is traded with the requirement.

As of mid -2025, its next twelve -month ratio of price and profit (P/E) stood near 54With a price of sale price (p/s), which exceeds 17. While the forward p/e is about 36 below, which expects severe income growth, these levels indicate that a significant future success is already included in the price of shares, leaving little space for operational errors or macroeconomic pressure. High beta -version of the action of 2.39 even more confirms its increased sensitivity to market fluctuations.

A recent study of short sellers added to the pressure. On March 28, 2025, Applovin announced that she retained the outstanding law firm Quinn Emanuel Urquhart & Sullivan, in particular, the partner of Alex Spiro to conduct an independent investigation of the “recent short report activities”. While the company did not describe the specific content of the short report in detail, the step itself signals a protective position against charges in the market.

This development coincided with the breakdown of ads of various law firms of plaintiffs who called on investors for training claims that affirm potential fraud with securities. Firms often quoted the leading deadline for the plaintiff dated May 5, 2025. Such legal problems are introduced by uncertainty and potential financial risk.

Despite the fact that it still leans on the whole with the average level of consensus, the mood of analysts showed recent signs of increased caution. The average target price of the analytics is approximately $ 424 offers potential growth from current levels. Nevertheless, in April 2025, an important counter-trend appeared when several influential firms released remarkable reductions in their corresponding target price targets for Applevin.

While most firms retained their existing ratings, such as Neutral or buy/excess weight– reducing changes in target prices suggest a more cautious look or increased risk perception. In addition, the data show a significant sale by insiders of the company over the past twelve months, amounting to approximately 1.93 billion dollars. USA for 11 managers and directors, separately from large persons from early investors. Although insider sales can occur for various reasons, it should be noted that the volume sold was significant.

Appleivin board is moving

Applovin recently appointed Maynard Webb, founder of Webb Investment Network, his board of directors. Webb brings extensive experience, with current roles of the board of directors on Visa and Salesforce and past senior positions in Yahoo and Ebay. He will also work in the audit, appointment and corporate governance committees. This step is designed for Strengthen the corporate control of Applevin During rapid growth and market control.

At the same time, Ted Obervager, representing the early investor KKR, will not advocate a re -election at the annual meeting of 2025. This is typical, since private investment sponsors seek to reduce participation in the company after IPO.

What is next for Applevin shares?

Applevin stands right at a crossroads. On one way lies an impressive track record of execution, which led to Significant growth in revenue and expansion of profitability. On the other hand, it draws significant funds in the market: it requires numerous assessments, consequences due to short-term accusations, climaxial in internal investigation and external trials, recent warning analysts by reducing price goals and noticeable insider shares.

While the technological skill of the company and the market position long -term potential, Recent pressure creates significant short -term uncertainty for shareholders.

The next major control point will be the release of financial results of the 2025 company in the first quarter, previously expected around May 7, 2025. Investors will be focused on whether the company will be able to maintain its high growth trajectory, maintain its profits and provide comments that solve problems that currently affect their shares.

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