Applovin-AppLovin (APP) Sees a More Significant Dip Than Broader Market: Some Facts to Know

Company Performance - AppLovin's stock closed at $375.72, reflecting a -1.29% change from the previous trading day's close, underperforming the S&P 500's daily loss of 0.95% [1] - Over the past month, AppLovin's shares have gained 15.62%, outperforming the Business Services sector's gain of 8.87% and the S&P 500's gain of 1.86% [1] Upcoming Earnings - AppLovin is set to release its earnings report on February 12, 2025, with an expected EPS of$ 1.28, indicating a 161.22% increase from the same quarter last year [2] - The consensus estimate for revenue is $1.26 billion, representing a 32.32% increase compared to the same quarter of the previous year [2] Analyst Estimates - Recent adjustments to analyst estimates for AppLovin reflect short-term business trends, with positive revisions indicating analyst optimism about the company's profitability [3] - The Zacks Rank system, which considers these estimate changes, has assigned AppLovin a rank of 2 (Buy) [5] Valuation Metrics - AppLovin has a Forward P/E ratio of 61.98, significantly higher than the industry average of 24.4, indicating it is trading at a premium [6] - The company has a PEG ratio of 3.1, compared to the Technology Services industry's average PEG ratio of 1.61 [7] Industry Ranking - The Technology Services industry, part of the Business Services sector, holds a Zacks Industry Rank of 85, placing it in the top 34% of over 250 industries [7] - The strength of individual industry groups is measured by the Zacks Industry Rank, with top-rated industries outperforming lower-rated ones by a factor of 2 to 1 [8]