News
Deutsche Bank initiates AppLovin at buy rating, sees growth within ‘best in class’ e-commerce advertising
Published
4 months agoon
By
admin
Deutsche Bank believes that AppLovin could extend its reign of dominance going forward. Analyst Benjamin Black initiated the mobile advertising stock at a buy rating and price target of $705, which implies an upside of 28% ahead for the stock. Shares of AppLovin have surged 71% this year and rose 1.4% in premarket trading Wednesday. APP YTD mountain APP YTD chart As a catalyst, Black pointed to AppLovin’s position as the dominant player within the mobile games’ user acquisition advertising space, adding that its moat has grown increasingly deep. He noted that the company currently has about 80% market share on the supply side and over 55% on the demand side. “Other than select walled gardens, no other ad platform can rival its +1bn-strong DAU reach. APP has built best-in-class ad tech that becomes more performant the larger the company’s scale,” Black wrote. Meantime, the analyst applauded AppLovin’s expansion into e-commerce advertising, which has a total addressable market that is multiple times the size of the mobile game in-app advertising market. This could also increase the diversity of AppLovin’s ads. “Moving further down the road, we don’t discount the possibility of the company penetrating other larger categories like financial services, media & entertainment, healthcare, and any transactional service on the web,” Black added. In the near to medium term, the analyst expects AppLovin to deliver top line growth of between 20% to 30%, year over year. The company’s improving performance of its ad tech can be seen through it growing its revenue at an annual rate of 69% over the last three years, with virtually no incremental costs, Black noted. ( Learn the best 2026 strategies from inside the NYSE with Josh Brown and others at CNBC PRO Live. Tickets and info here . )
This industrial giant is emerging as a big AI play, says Wells Fargo
Novo Nordisk’s strategy tested as investors push back on board revamp
Alibaba plans AI subscriptions, stablecoin-like payments with JPMorgan
UK borrowing costs spike on report government to scrap plans to raise income tax
Trump’s threatened the BBC with a $1B lawsuit: Here’s what’s going on
UBS’s picks for global returns next year
Wells Fargo sees Caterpillar continuing to roar higher, emerging as an artificial intelligence play. The bank initiated shares of...
Flags with the logos of Danish drugmaker Novo Nordisk, maker of the blockbuster diabetes and weight-loss treatments Ozempic...
Key Points Alibaba plans to use “tokenization” of payments for cross-border transactions in its business-to-business arm. Kuo Zhang, president...
Rachel Reeves, U.K. chancellor of the exchequer, delivers a speech in London, UK, on Tuesday, Nov. 4, 2025. Bloomberg...
US President Donald Trump speaks to reporters as he arrives at Palm Beach International Airport on Oct. 31,...
Investors looking for global diversification opportunities should look to a specific subset of stocks in Europe, according to UBS...
Eakarat Buanoi | Istock | Getty Images LISBON, Portugal — Top tech executives told CNBC they’re concerned about...
Tan Su Shan, deputy chief executive officer and managing director of institutional banking at DBS Group Holdings Ltd., speaks during...
CHENGDU, CHINA – OCTOBER 18: People walk past the Louis Vuitton store at Taikoo Li, a high-end shopping area that...
The United States said Thursday it will remove tariffs on some foods and other imports from Argentina, Ecuador, Guatemala and...
