AppLovin stock roared higher on Monday after getting a pair of bullish analyst reports. Shares of the mobile app marketing platform hit an all-time high on the news.
BofA Securities analyst Omar Dessouky reiterated his buy rating on AppLovin stock and raised his price target to 210 from 120.
On the stock market today, AppLovin stock jumped 9.4% to close at 158.85. Earlier in the session, AppLovin notched a record high of 159.81.
In a client note, Dessouky said he believes the launch last year of Axon 2.0, AppLovin's AI engine, ushered in a growth and profitability transformation, which the "markets and the Street have been slow to recognize."
Dessouky said he has increased confidence in AppLovin's core business of mobile game ads. He raised his sales and earnings estimates for the next two years.
AppLovin's software platform enables app developers to market, monetize and analyze their apps. The company also makes mobile games such as "Wordscapes," "Matchington Mansion" and "Game of War."
AppLovin Stock On Tech Leaders List
Elsewhere on Wall Street, Jefferies analyst James Heaney maintained his buy rating on AppLovin stock and upped his price target to 175 from 108.
Heaney cited positive findings from his firm's quarterly mobile gaming ad tech survey. Respondents predicted accelerating growth of mobile game advertising spending in 2025, he said.
"The continually positive data points from our survey suggest that AppLovin should be able to sustain 20%-30% software platform revenue growth for at least the next two years," Heaney said in a client note.
AppLovin stock is on the IBD Tech Leaders list.
Follow Patrick Seitz on X, formerly Twitter, at @IBD_PSeitz for more stories on consumer technology, software and semiconductor stocks.
