NEW YORK, Jan 17, 2026, 16:32 EST — Market closed.
- AppLovin shares dropped 6.3% on Friday, ending the day at $568.76.
- The stock has dropped roughly 15% in the past three sessions, with trading volume increasing amid the selloff.
- Investors remain focused on interest rates, looming regulatory pressures, and the upcoming earnings report for clues on what’s next.
AppLovin Corp (APP.O) shares dropped 6.3% Friday, closing at $568.76 as high-growth software stocks continued to slide. The stock fluctuated between $615.98 and $560.05, with roughly 8.6 million shares traded.
The slide marked the third day in a row of losses, pushing the stock down roughly 15% since Tuesday’s close. AppLovin now trades about 24% under its 52-week peak of $745.61. Friday’s volume nearly doubled compared to the session before. 1
Investors are pulling back from software stocks amid rising interest rates. Adam Turnquist, chief technical strategist at LPL Financial, noted that the “software-to-semis ratio is now oversold and approaching a major support zone,” which some chart analysts see as a potential trigger for a near-term rebound despite climbing yields. 2
Analyst interest hasn’t halted the slide. Evercore ISI kicked off coverage with an “outperform” rating, signaling expectations the stock will outpace the market, and placed a $835 price target on AppLovin. The firm highlighted the company’s expansion from mobile gaming ads into e-commerce performance advertising. 3
Other ad-tech and app-economy stocks also pulled back. Unity Software dropped 6.9% on Friday, while The Trade Desk slid 2.1%, extending the group’s weakness heading into the weekend.
AppLovin provides tools for app developers and publishers to trade ads and has promoted its Axon ad engine as a means to boost revenue per impression. The question now is whether demand can expand beyond gaming, particularly if concerns over interest rates continue to pressure software valuations.
A director reported a minor equity grant in a Form 4 — the SEC document for insider trades. Maynard Webb was awarded 28 restricted stock units, which convert into shares, and the units vested right away, according to the filing. 4
Regulatory pressure continues to weigh on the stock. Last year, Bloomberg News reported that the U.S. Securities and Exchange Commission was investigating AppLovin’s data-collection methods. That cloud came back into focus this week, sending shares into renewed volatility. 5
The downside is clear: rising yields could continue to weigh on expensive software stocks, while tougher tracking rules or platform policies might squeeze ad targeting and growth. If upcoming earnings or guidance don’t ease these concerns, the stock’s reaction to sentiment could intensify the sell-off.
U.S. markets remain closed Monday for a holiday, pushing trading back to Tuesday with few fresh company updates expected before then. The next major event comes Feb. 11, when AppLovin will release its fourth-quarter and full-year results after the market close. CEO Adam Foroughi and CFO Matthew Stumpf will lead a webinar that day. 6
