Jim Cramer Discusses These 11 Stocks & Shares ChatGPT’s Flaws

5. AppLovin Corporation (NASDAQ:APP)

Number of Hedge Fund Holders In Q4 2024: 95

AppLovin Corporation (NASDAQ:APP) is a software company that enables businesses to run advertisements on non-linear mediums such as video games. It’s been one of the best-performing stocks on Wall Street, as the shares have gained 426% over the past year. AppLovin Corporation (NASDAQ:APP)’s stock jumped by 73% in November after the firm grew its Q3 profit by a whopping 300% to $434 million. However, the shares are down by 4% year-to-date following short seller claims of fraudulent practices. Here’s what Cramer said about AppLovin Corporation (NASDAQ:APP):

“Yeah, all back. And whether it’s Bitcoin. Is it Bitcoin, is it the GE Vernova piece out today, is there a quantum, Amazon piece?”

“That was two reports saying that it was just outright fraud.”

“I mean those two reports were so negative that I chose to not actually say the charges.”

“The EBITDA is there, but if you say listen, they inserted themselves when they shouldn’t have. . .”

“I know, I mean look they did find a way to be able to get people, gamers, place advertising anyone who could place advertising. David, you raised a great point. Linear advertising, going down. So what do you do? Does that just mean fewer people are advertising? No. You have an oddity placing ads at Instagram, you’ve got a lot of TikTok. And, you might want to work with Applovin. Because you can get people you couldn’t get otherwise. The charges that were made were, scurrilous, how about that. They were scurrilous charges.”