What's Going On With Applovin Shares Thursday?

Applovin Corporation APP shares are trading higher on Thursday after the company reported better-than-expected 2024 fiscal-year fourth-quarter earnings on Wednesday.

What To Know: The company reported earnings per share of $1.73, beating analysts’ estimate of $1.25. In addition, it reported sales of $1.37 billion beating analysts’ estimate of $1.26 billion.

The company broke down its revenue further. Applovin reported advertising revenue of $999.48 million and apps revenue of $373.29 million. Furthermore, it reported free cash of $695 million and adjusted EBITDA of $848.02 million.

Applovin also issued guidance for the 2025 fiscal-year first-quarter. It sees revenue from $1.35 billion to $1.38 billion, versus analysts’ estimate of $1.31 billion. Additionally, the company sees adjusted EBITDA between $855 million and $885 million.

“We are driven by the belief that our technology can positively impact the global economy. By helping businesses of all kinds efficiently connect with their audiences, we unlock their potential to grow and thrive, said Adam Foroughi, CEO of Applovin.

“Given the opportunities in front of us our team is as hungry as ever to execute on our vision. Together, we will continue to deliver results that make a difference—for our customers, our shareholders, and the world.”

Analyst Changes: Following the earnings report, multiple analysts issued price target changes.

• UBS analyst John Hodulik maintained a Buy rating on AppLovin and raised the price target from $440 to $630.
• B of A Securities analyst Omar Dessouky maintained a Buy rating on AppLovin and raised the price target from $375 to $580.
• Needham analyst Bernie McTernan reiterated a Hold rating on AppLovin.

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APP Price Action: At the time of writing, Applovin stock is trading 27.6% higher at $485.40, according to data from Benzinga Pro.

Image: Courtesy of AppLovin Corporation