AppLovin (APP) Non-Inclusion In S&P 500 Dents Share Price

We recently published a list of 10 Stocks Investors Dumped Fast. In this article, we are going to take a look at where AppLovin Corporation (NASDAQ:APP) stands against other worst-performing stocks.

AppLovin dropped its share prices by 8.21 percent on Monday to finish at $383.60 apiece as investor sentiment was dampened by its non-inclusion in the S&P 500 rebalancing.

The drop followed earlier optimism from Bank of America and Barclays, which expected AppLovin Corporation (NASDAQ:APP) to join the S&P 500’s recent rebalancing.

The analysts expected AppLovin Corporation’s (NASDAQ:APP) inclusion in the index after meeting the criteria of at least $20.5 billion in market value and GAAP profitability over the past four quarters.

Getting included in the S&P 500 can be advantageous to stock components as it exposes them to a wider group of investors.

In the first quarter of the year, AppLovin Corporation (NASDAQ:APP) expanded its net income by 144 percent to $576 million from $236 million in the same period last year.

Revenues increased by 40 percent to $1.48 billion from $1.058 billion year-on-year.

Overall, APP ranks 2nd on our list of worst-performing stocks. While we acknowledge the potential of APP as an investment, our conviction lies in the belief that some AI stocks hold greater promise for delivering higher returns and have limited downside risk. If you are looking for an extremely cheap AI stock that is also a major beneficiary of Trump tariffs and onshoring, see our free report on the best short-term AI stock.

READ NEXT: 20 Best AI Stocks To Buy Now and 30 Best Stocks to Buy Now According to Billionaires.

Disclosure: None. This article is originally published at Insider Monkey.