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 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 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.
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This article is originally published at Insider Monkey.
