AppLovin Shares Soar 15% to $466 After Short Seller Retracts Claims
AppLovin shares jumped 15% to $466 after short seller CapitalWatch retracted false allegations linking major shareholder Hao Tang to criminal groups and issued a public apology removing all related claims. Wall Street maintains bullish ratings with price targets up to $860 ahead of upcoming earnings.
1. CapitalWatch Retraction Sparks Share Rally
CapitalWatch issued a public apology and removed accusations linking shareholder Hao Tang to criminal organizations, acknowledging its prior report failed to meet publication standards. The retraction prompted AppLovin stock to surge approximately 15%, climbing to about $466 in early trading.
2. Strong Analyst Support
Despite last month’s controversy, Needham, Evercore, Morgan Stanley, Wells Fargo and Jefferies have all maintained or raised bullish ratings on AppLovin. Their price targets now range from $700 to $860, reflecting confidence in the company’s growth trajectory.
3. Reduced Overhang Ahead of Earnings
With the defamation allegations withdrawn, investor focus shifts back to AppLovin’s fundamentals and the upcoming earnings release. The removal of legal and reputational overhang is expected to bolster momentum heading into the report.