BofA Securities Lifts AppLovin (APP) Target to $860 from $580, Keeps Buy

AppLovin Corporation (NASDAQ:APP) is one of the best stocks to buy according to Jim Simons’ Renaissance Technologies. On October 1, BofA Securities raised its price target for AppLovin Corporation (NASDAQ:APP) from $580 to $860. The firm maintained a “Buy” rating on the stock, which it said is supported by a detailed review of about 400 direct-to-consumer eCommerce merchant websites using AppLovin’s advertising technology. The analysis identified specific product categories that are highly compatible with mobile game advertisements, including Apparel, Beauty & Fitness, Home & Garden, and Health & Wellness.

BofA Securities Lifts AppLovin (APP) Target to $860 from $580, Keeps Buy

BofA now expects AppLovin to generate $3 billion in eCommerce net revenue for the calendar year 2026. This expectation is based on $7 billion in anticipated ad spend targeting these areas. The analysts projected that approximately 4,000 large advertisers will adopt AppLovin’s platform as a new advertising channel. They triangulated the figures using Shopify disclosures and market research. BofA highlighted potential upside if merchants with less than $10 million in gross merchandise value and additional product categories adopt AppLovin’s services.

AppLovin Corporation (NASDAQ:APP) is a software-based advertising and app monetization company. It operates through two segments, Advertising and Apps. The company also develops and publishes free-to-play mobile games through its studios and partners.

While we acknowledge the potential of AppLovin Corporation (NASDAQ: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 AI stock that is more promising than APP and that has 100x upside potential, check out our report about the cheapest AI stock.

READ NEXT: 13 Best Performing NASDAQ Stocks According to Hedge Funds and 10 High-Growth Semiconductor Stocks That Are Profitable in 2025.

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