10 AI Stocks on Wall Street’s Radar Right Now

6. AppLovin Corporation (NASDAQ:APP)

Number of Hedge Fund Holders: 95

AppLovin Corporation (NASDAQ:APP) provides a leading marketing platform powered by AI technology. On February 26, two short sellers, Fuzzy Panda and Culper Research published reports against AppLovin Corporation, claiming that it has been misrepresenting the benefits of its AI advertising platform. The following day, Wells Fargo commented that both company front-running Meta (META) campaigns and AppLovin-driven downloads are not fraudulent.

It further stated how Meta audits AppLovin technology to avoid channel conflict, and that AppLovin gets paid on partner revenue, not for downloads. The analyst also told investors in a research note that Meta is already aware of the potential channel conflict by bidding into MAX and has established safeguards for it. Wells Fargo also pointed out that AppLovin can’t generate revenue on fraudulent downloads since it primarily charges advertisers based on user spend. The firm kept an Overweight rating on the shares with a $538 price target.