Needham analyst Bernie McTernan has maintained their neutral stance on APP stock, giving a Hold rating on October 23.
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Bernie McTernan has given his Hold rating due to a combination of factors influencing AppLovin’s performance. The company reported a strong quarter, surpassing expectations with improvements in their business model that accelerated growth in mobile gaming advertising. However, despite these positive developments, the guidance for sequential growth was set higher than usual, which might have raised concerns among investors who anticipated a more modest growth projection.
Additionally, while the company’s management has set ambitious revenue targets for the coming years, including significant growth in ecommerce, there remains uncertainty about the sustainability of such growth rates. These elements contribute to a cautious outlook, leading McTernan to maintain a Hold rating as he weighs the potential risks and rewards of investing in AppLovin at this time.
In another report released on October 23, TR | OpenAI – 4o also downgraded the stock to a Hold with a $618.00 price target.
Based on the recent corporate insider activity of 117 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of APP in relation to earlier this year.