AppLovin Stock is Soaring Today: What's Going On?

Shares of mobile app technology company AppLovin Corp APP are ripping higher Thursday after the company reported mixed fourth-quarter results and issued strong guidance. Multiple analysts also raised price targets on the stock following the company's quarterly results.

What Happened: AppLovin reported fourth-quarter revenue of $702.31 million, which beat average analyst estimates of $689.86 million, according to Benzinga Pro. The company reported a quarterly net loss of 21 cents per share, which missed estimates for earnings of 5 cents per share.

"Our business performed as expected in the fourth quarter with steady results in our Software Platform segment and the operational optimization of our Apps segment nearing completion. Underlying trends in the mobile gaming and app market remained soft but stable as compared to the third quarter," the company said in a letter to shareholders.

AppLovin expects the mobile ad market to remain stable in the first quarter. The company expects first-quarter revenue to be between $685 million and $705 million versus estimates of $682.17 million. First-quarter adjusted EBITDA is expected to be in a range of $250 million to $270 million.

See Also: What's Going On With PepsiCo Stock Today?

Analyst Assessment:

• Keybanc analyst Tyler Parker maintained AppLovin with an Overweight and raised the price target from $20 to $22.
• Morgan Stanley analyst Matthew Cost maintained AppLovin with an Equal-Weight and raised the price target from $15 to $16.
• Oppenheimer analyst Martin Yang maintained AppLovin with an Outperform and raised the price target from $15 to $20.

APP Price Action: AppLovin has a 52-week high of $76.38 and a 52-week low of $9.14.

The stock was up 28.1% at $16.25 Thursday morning, according to Benzinga Pro.

Photo: courtesy of AppLovin.