AppLovin stock slips after Fed minutes as year-end tech rotation hits APP shares

AppLovin stock slips after Fed minutes as year-end tech rotation hits APP shares

NEW YORK, December 30, 2025, 16:58 ET — After-hours

  • AppLovin shares were last down 0.8% at $693.71 in after-hours trading.
  • U.S. stocks ended slightly lower after Federal Reserve minutes highlighted divisions over the path of interest rates. Reuters+2Reuters+2
  • Investors are looking ahead to AppLovin’s next earnings window, with data providers estimating a mid-February report date. Nasdaq

AppLovin shares eased in after-hours trading on Tuesday, last down 0.8% at $693.71.

The pullback lands as investors thin out risk into year-end and recalibrate expectations for interest rates after the Federal Reserve’s latest meeting minutes. Higher rates typically pressure richly valued growth stocks because future profits are discounted more heavily. Reuters+1

AppLovin has been a standout in 2025, up about 121% year-to-date, leaving the stock more exposed to profit-taking during holiday-light trading. MarketBeat+1

The Fed’s minutes — the detailed account of policymakers’ debate — showed deep divisions at the December 9–10 meeting, with some officials saying the decision to cut was “finely balanced.” The benchmark overnight rate was lowered to a 3.5%–3.75% range, but some participants signaled a preference to keep policy steady for a period after the move. Reuters+1

Broader markets were subdued. The S&P 500 fell 0.14% and the Nasdaq lost 0.23% as technology stocks ended slightly lower in choppy, holiday-thinned trade. Reuters

“The valuation gap is so wide, it absolutely is justified to see repositioning,” said Mark Hackett, chief market strategist at Nationwide. Reuters

AppLovin traded in a wide band on Tuesday, with an intraday low of $684.00 and a high of $699.47, before settling lower after the close. Volume was about 2.24 million shares.

Ad-tech peers were mixed late Tuesday. The Trade Desk was down about 0.7% while Unity and Magnite were little changed.

AppLovin markets software that helps businesses reach and monetize audiences, positioning itself as an advertising technology company with AI tools baked into its platform. SEC

In its most recent quarterly update, AppLovin reported third-quarter revenue of $1.41 billion and diluted earnings of $2.45 per share. It guided fourth-quarter revenue to $1.57 billion to $1.60 billion, and forecast an adjusted EBITDA margin of 82%–83% — a profitability measure that strips out items such as interest, taxes and certain non-cash charges. AppLovin+1

Looking ahead, AppLovin has not announced the date for its next results, but Nasdaq’s earnings calendar lists February 11, 2026 as an estimate. Traders will also keep an eye on interest-rate expectations ahead of the Fed’s next policy meeting in late January. Nasdaq+1

For now, the stock is hovering below the $700 level after Tuesday’s dip to $684. In thin year-end volume, investors will watch whether AppLovin steadies into Wednesday’s session or extends the pullback as the market digests the Fed minutes. Reuters+1

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