10 AI Stocks Surging on News and Analyst Calls

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 20, Loop Capital raised the firm’s price target on the stock to $650 from $450 and kept a “Buy” rating on the shares.

The analyst told investors in a research note that some investors are skeptical about Applovin’s stock price appreciation and high sell-side targets, but the firm is hard-pressed to “punch serious holes” in the bull thesis. The firm further stated that advertisers are continuing to give out positive feedback, and therefore it views the momentum continuing for the business.

The company recently reported an earnings beat and strong guidance in Q4, 2024, leading to positive comments from several analyst firms.

“Blowing past expectations, the company proved its AI-driven platform is monetizing better than even bulls anticipated. With ad revenue surging and margins expanding, it’s clear that advertisers are prioritizing AppLovin’s targeting tools over competitors.”

-Goldman Sachs.