AppLovin stock weighs record Q3 growth against analyst targets
Published on 11/09/2026 at 13:24 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWSRecord Growth Meets Mixed Targets
- Third-quarter revenue rose 55 percent year over year and net income increased 72 percent.
- Fourth-quarter revenue guidance exceeds Wall Street expectations, while the buyback authorization increased to 3.6 billion US dollars.
- Analysts raised and lowered targets after the earnings release, keeping the outlook contested.
AppLovin reported record third-quarter results on Wednesday, November 4, as revenue growth in its advertising technology business accelerated and profitability remained high. The company also issued a stronger-than-expected fourth-quarter outlook and expanded its share repurchase authorization.
According to the AppLovin investor release, third-quarter revenue reached 2.185 billion US dollars, up 55 percent from the prior-year period. Net income rose 72 percent to 1.439 billion US dollars, while diluted earnings per share increased to 4.30 US dollars from 2.45 US dollars.
Outlook Stays Above Expectations
Adjusted EBITDA climbed 59 percent to 1.842 billion US dollars, producing an 84 percent margin. AppLovin generated 1.418 billion US dollars in third-quarter free cash flow, giving management substantial room to fund investment and shareholder returns.
For the fourth quarter, AppLovin guided to revenue of 2.365 billion to 2.395 billion US dollars and adjusted EBITDA of 1.995 billion to 2.025 billion US dollars. The company said the outlook reflects further scaling in its consumer business, model improvements already in use and continued investment in training compute for new model development.
The board also added 3.2 billion US dollars to the share repurchase authorization, taking the total remaining authorization to 3.6 billion US dollars at the end of October. AppLovin repurchased or withheld 4.1 million shares during the quarter for a total cost of 1.4 billion US dollars.
Analysts Split After Earnings
Analyst reactions have not been uniform. Yahoo Finance reported that RBC Capital raised its target to 520 US dollars from 500 US dollars, while Morgan Stanley lifted its target to 450 US dollars from 400 US dollars. Scotiabank moved in the opposite direction, cutting its target to 450 US dollars from 515 US dollars while retaining an Outperform rating.
The split reflects the central investor question: whether AppLovin can extend the recent gains from its advertising models at a pace that justifies the stock's elevated expectations. The quarterly figures and guidance eased concerns about slowing growth, but the market will continue to focus on model performance, customer demand and the durability of margins.
AppLovin stock traded at 346.60 euros on Lang & Schwarz at 13:18 CET on Monday, November 9, 2026.
AppLovin Corporation
- Company: AppLovin Corporation
- ISIN: US03831W1080
- Ticker: APP
- Home exchange: Nasdaq
- Quarter: Third quarter 2026, ended September 30
- Revenue: 2.185 billion US dollars, up 55 percent year over year
- Net income: 1.439 billion US dollars, up 72 percent year over year
- Fourth-quarter revenue outlook: 2.365 billion to 2.395 billion US dollars
- Share repurchase authorization: 3.6 billion US dollars at the end of October
Investors can follow the real-time quote of AppLovin stock as the market assesses the outlook. Broader sentiment remains linked to the S&P 500 and the performance of large-cap technology shares.
