5 Best Performing AI Stocks Over the Last 3 Years

3. AppLovin Corporation (NASDAQ:APP) 

AppLovin Corporation (NASDAQ:APP) is one of the best performing AI stocks over the last 3 years, with a 3Y CAGR of 168%. On June 29, Raymond James analyst Andrew Marok initiated coverage with a Strong Buy rating and a $640 price target. Marok identified expansion into e-commerce advertising as a significant long-term opportunity and tied his thesis to continued improvement in AppLovin’s AI models, monetization of mobile in-app advertising and a financial profile marked by high margins and cash conversion.

By July 2, AppLovin Ads had opened to all advertisers and removed its referral requirement. Broader distribution gives the company a clearer test of whether its AXON technology can work beyond its established gaming base. The opportunity is accompanied by execution risk: adding advertisers is different from retaining their budgets at attractive returns. Wells Fargo’s July 7 note kept an Overweight rating and nudged its target to $575, but flagged weaker mobile-game return on ad spend, modest web-advertiser growth and competitive pressure.

AppLovin Corporation (NASDAQ:APP) operates an advertising technology platform that uses AI-based tools to match advertisers with audiences, optimize campaigns, and support monetization across mobile apps, connected television, and e-commerce.