AppLovin stock slips as targets and Q2 growth reset

Published on 09/07/2026 at 12:24 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

AppLovin stock is trading after a Bank of America cut and a Q2 print that showed $1.92 billion in revenue, $3.76 EPS and 52.8 percent growth.

Modernes Tech-Büro mit Entwicklern an Dual-Monitor-Workstations und Serverräumen im Hintergrund — AppLovin Corp. ISIN US03782L1017 zeigt Entwickler in einem modernen Software Büro mit Servern im Hintergrund, Illustration mit AI erstellt.

AppLovin Corp. (US03782L1017) stock is under pressure after Bank of America cut its target to USD 400 from USD 430 and MarketBeat showed a consensus target of USD 538.61 on September 7, 2026. The latest quarter still delivered USD 1.92 billion in revenue and USD 3.76 in EPS, but sales came in below the USD 1.94 billion estimate.

Q2 still grew fast

AppLovin's second quarter 2026 revenue rose 52.8 percent year over year to USD 1.92 billion, while net margin reached 64.58 percent and return on equity stood at 193.10 percent, according to MarketBeat. That combination matters more than the headline beat-or-miss debate: growth remained exceptionally high, yet the quarter did not clear consensus on sales.

For the full current year, analysts cited by MarketBeat expect EPS of 15.53, which gives the stock a far richer runway than the single-quarter miss implies. The comparison is concrete: revenue grew 52.8 percent year over year, but the quarter trailed the USD 1.94 billion consensus by USD 20 million.

Guidance points higher

StockTitan said AppLovin guided third-quarter 2026 revenue to USD 2.055 billion to USD 2.085 billion and Adjusted EBITDA to USD 1.710 billion to USD 1.740 billion, with an 83 percent margin. Against Q2 revenue of USD 1.924 billion, that guidance implies another step up in scale and keeps profitability near the 80 percent level.

That is the key investor split in the name: analysts have trimmed targets, but the company still points to USD 2.0 billion-plus quarterly sales and an EBITDA margin above 80 percent. The market is now weighing whether growth near 53 percent can keep supporting that valuation.

Platform keeps scale

AppLovin's ad software platform remains the business core, and the company also reported USD 869.0 million in operating cash flow and USD 863.3 million in free cash flow for Q2 2026, according to StockTitan. It also repurchased and withheld 1.1 million Class A shares for USD 551.3 million, leaving 335 million shares outstanding.

Stock level to watch

MarketBeat showed the shares opening at USD 320.56 and gave the company a market capitalization of USD 107.28 billion, with a one-year range of USD 297.50 to USD 745.61. For AppLovin stock, that puts the debate squarely on valuation, not survival.