AppLovin price target raised to $57 from $41 at BofA

BofA analyst Omar Dessouky raised the firm’s price target on AppLovin to $57 from $41 and keeps a Buy rating on the shares after concluding that the firm’s prior FY24 Software segment estimates were 20% too low. AppLovin is entering the $29B CTV advertising market and benefitting from a sea change in how mobile ads are auctioned, though previously “neither opportunity was accurately reflected in our CY24 model,” the analyst tells investors.