AppLovin (APP) closed the most recent trading day at $658.65, moving +1.69% from the previous trading session. This move outpaced the S&P 500's daily gain of 0.16%. On the other hand, the Dow registered a gain of 0.17%, and the technology-centric Nasdaq increased by 0.26%.
Coming into today, shares of the mobile app technology company had lost 3.42% in the past month. In that same time, the Business Services sector gained 3.4%, while the S&P 500 gained 1.89%.
The upcoming earnings release of AppLovin will be of great interest to investors. The company's earnings report is expected on February 11, 2026. On that day, AppLovin is projected to report earnings of $2.89 per share, which would represent year-over-year growth of 67.05%. Simultaneously, our latest consensus estimate expects the revenue to be $1.6 billion, showing a 16.86% escalation compared to the year-ago quarter.
For the annual period, the Zacks Consensus Estimates anticipate earnings of $9.32 per share and a revenue of $5.57 billion, signifying shifts of +105.74% and 0%, respectively, from the last year.
Investors should also take note of any recent adjustments to analyst estimates for AppLovin. Such recent modifications usually signify the changing landscape of near-term business trends. As such, positive estimate revisions reflect analyst optimism about the business and profitability.
Based on our research, we believe these estimate revisions are directly related to near-term stock moves. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, ranging from #1 (Strong Buy) to #5 (Strong Sell), possesses a remarkable history of outdoing, externally audited, with #1 stocks returning an average annual gain of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.31% higher within the past month. AppLovin is currently a Zacks Rank #2 (Buy).
Looking at its valuation, AppLovin is holding a Forward P/E ratio of 42.78. This represents a premium compared to its industry average Forward P/E of 17.5.
We can additionally observe that APP currently boasts a PEG ratio of 2.14. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. By the end of yesterday's trading, the Technology Services industry had an average PEG ratio of 1.44.
The Technology Services industry is part of the Business Services sector. Currently, this industry holds a Zacks Industry Rank of 155, positioning it in the bottom 37% of all 250+ industries.
The Zacks Industry Rank assesses the strength of our separate industry groups by calculating the average Zacks Rank of the individual stocks contained within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Ensure to harness Zacks.com to stay updated with all these stock-shifting metrics, among others, in the next trading sessions.
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AppLovin Corporation (APP): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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