Wall Street firm Piper Sandler has turned its attention to AppLovin (APP, Financial), a prominent player in mobile advertising and app technology, praising the company's stock for its potential substantial growth despite already reaching new heights. The firm has set a target price of $400 for AppLovin. Recently, AppLovin's stock climbed 1.25% to $325.22, achieving an intraday record of $342.507.
This year, AppLovin's shares have skyrocketed by an astounding 700%, far surpassing the 200% increase of major AI player NVIDIA (NVDA). The company has significantly impacted the global stock markets, spurring investor interest in AI applications and causing notable price surges in AI-leaders across various markets.
AppLovin is renowned for its AI-enhanced advertising solutions, which include user engagement, monetization, creative design, and marketing analytics. The firm recently unveiled its AXON 2.0 AI advertising engine, offering intelligent advertising solutions to advertisers and app developers alike. AppLovin's robust AI software has markedly improved its commercial performance, intensifying market "fear of missing out" (FOMO) sentiments and driving speculative trading in AI software stocks.
Recent surveys indicate a growing integration of generative AI tools in business operations, with 72% of executives using AI weekly. This trend reflects a shift from initial hype to practical application, primarily in document writing, data analysis, and customer service.
According to IDC, global AI spending is projected to double by 2028, reaching $632 billion, with AI software leading the charge. The sector is anticipated to grow annually by 29.0% from 2024 to 2028. Investors remain optimistic about AI software stocks, including AppLovin, foreseeing further gains despite potential short-term volatility.
