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    AI Ad Tech Rollout and Analyst Support Could Be A Game Changer For AppLovin (APP)

    Simply Wall St·12/13/2025 13:31:53
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    • Earlier this month, AppLovin presented at the UBS Global Technology and AI Conference in Arizona and the Nasdaq Investor Conference in London, where management outlined the continuing rollout of its AI-powered ad tech and self-serve tools across gaming and e-commerce advertisers.
    • These events, alongside upbeat commentary from multiple Wall Street analysts and a recent credit rating upgrade, underscored growing confidence in AppLovin’s ability to scale its AXON platform and broaden its advertiser base.
    • Against this backdrop, we’ll now explore how the strong focus on self-serve AXON tools could influence AppLovin’s broader investment narrative.

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    AppLovin Investment Narrative Recap

    To own AppLovin, you need to believe its AXON AI platform can keep attracting more advertisers beyond gaming, while withstanding tightening privacy rules and tough competition from larger ad platforms. The latest conference updates and upbeat analyst commentary support AXON’s self-serve rollout as a key short term catalyst, but do not materially change the core execution and platform risk that still anchors the story.

    Among the recent updates, Fitch’s upgrade of AppLovin’s long term rating to BBB stands out, as it reflects confidence in the company’s financial footing while it invests in scaling AXON and expanding into e commerce and other verticals. That stronger balance sheet could matter if regulatory changes or platform policy shifts start to weigh on growth or require heavier investment to keep AXON competitive.

    But while AXON’s momentum is encouraging, investors should also be aware that growing regulatory pressure on data privacy could...

    Read the full narrative on AppLovin (it's free!)

    AppLovin's narrative projects $10.5 billion revenue and $6.2 billion earnings by 2028. This requires 22.2% yearly revenue growth and a $3.7 billion earnings increase from $2.5 billion today.

    Uncover how AppLovin's forecasts yield a $728.25 fair value, a 9% upside to its current price.

    Exploring Other Perspectives

    APP 1-Year Stock Price Chart
    APP 1-Year Stock Price Chart

    Thirty fair value estimates from the Simply Wall St Community span roughly US$318 to almost US$989, with opinions clustering in several distinct bands. As you weigh those views, keep in mind that much of the bullishness rests on AXON’s continued self serve rollout into e commerce, which may ultimately be constrained by changing data privacy rules worldwide.

    Explore 30 other fair value estimates on AppLovin - why the stock might be worth less than half the current price!

    Build Your Own AppLovin Narrative

    Disagree with existing narratives? Create your own in under 3 minutes - extraordinary investment returns rarely come from following the herd.

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    This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.