NEW YORK, Jan 15, 2026, 17:42 ET — After-hours
- AppLovin’s decline stretched into a second day despite Evercore ISI kicking off coverage with an Outperform rating.
- Chip stocks lifted the broader market, yet APP fell behind.
- Attention shifts to AppLovin’s results and outlook set for Feb. 11.
AppLovin Corp shares dipped once more on Thursday, ending the day 1.8% lower at $606.99, following a steep 7.6% tumble on Wednesday.
The recent drop is significant since AppLovin has been behaving like a momentum stock — fast surges followed by steep falls. Just two sessions can inflict serious damage, especially with investors jittery over big-tech valuations and the direction of ad spending this quarter.
AppLovin’s stock, which surged roughly 104% in 2025, has hit a rough patch in early 2026. The price action has been volatile recently.
Evercore ISI stepped in on Wednesday, kicking off coverage with an Outperform rating and a $835 price target. Analyst Robert Coolbrith called AppLovin “the dominant ad tech platform for mobile gaming with an emerging e-commerce performance channel.” Investors
Evercore is betting big on the e-commerce angle. The firm said this channel could broaden AppLovin’s total addressable market — that’s Wall Street speak for the realistic revenue opportunity. It also pointed out the stiff competition from Google, Meta, and Amazon in this digital ad space. Evercore described the risk of deplatforming as “truly remote,” though it acknowledged changes to platform rules could still have an impact. Investing.com
U.S. stocks fell on Wednesday, dragged down by tech shares, as investors moved toward defensive sectors following a mixed set of bank earnings.
Wall Street bounced back Thursday, led by a semiconductor surge after Taiwan Semiconductor Manufacturing Co. posted strong earnings and optimistic forecasts. The rally boosted chip stocks and banks alike. AppLovin bucked the trend, ending the day in the red despite the broader gains.
On Wednesday, software stocks slid with the broader market, pushing AppLovin and Unity to the front of the declines.
Investors are still wary of a regulatory cloud hanging over AppLovin. Bloomberg News reported in October, citing sources, that the U.S. Securities and Exchange Commission is investigating the company’s data-collection practices.
AppLovin is set to release its fourth-quarter and full-year 2025 earnings on Feb. 11, after the U.S. market closes. Investors will be watching closely for updates on the company’s progress in e-commerce advertising and its future outlook.
