AppLovin Shares Slide 8% After Kantar Study Highlights Daily Gamer Ad Reach
AppLovin shares fell 8.15% after the company published a Kantar study showing 70% of US gamers play daily and lead household purchasing decisions, with over half of households earning above $200,000 responding positively to in-game ads. Oppenheimer kept its Overweight rating but cut its price target to $660 from $740.
1. Stock Price Movement
AppLovin shares declined 8.15% to around $475 on Tuesday, reflecting investor caution despite the company’s recent rally and bullish ad-tech narrative.
2. Kantar Study Findings
A commissioned Kantar study for the Axon platform found 70% of US mobile gamers play daily and lead household purchase decisions, with over half of respondents from households earning above $200,000 expressing very positive sentiment toward in-game ads.
3. Analyst Price Target Adjustment
On March 5, Oppenheimer maintained an Overweight rating on AppLovin but reduced its 12-month price target from $740 to $660, citing valuation considerations amid slower near-term growth expectations.
4. Next-Generation Social Platform
AppLovin has posted job listings for a “next-generation social platform” designed for media delivery and real-time interaction, signaling a strategic push to compete with Meta, TikTok and Snap.