AppLovin faces securities lawsuit as Citi keeps Buy rating on AppLovin stock

Published on 10/06/2026 at 11:16 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

Q2 revenue hit USD 1.92 billion versus USD 1.26 billion. AppLovin stock costs EUR 252.73 on October 6, 2026, plus 0.42 percent versus EUR 251.68.

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AppLovin (ISIN US03831W1080) was trading at EUR 252.73 at Lang & Schwarz on October 6, 2026, plus 0.42 percent versus the prior close of EUR 251.68. The company faces a securities class action filed on October 5, 2026, while Citi maintained a Buy rating on AppLovin stock.

Lawsuit puts AI disclosures under review

According to GlobeNewswire on October 5, 2026, Levi & Korsinsky said a class action had been filed for investors who bought AppLovin securities between February 12, 2026 and August 5, 2026. The complaint alleges that AppLovin overstated the pace of AI model improvements and the development status of its generative AI video tool.

The filing points to a USD 1.92 billion second-quarter revenue report against USD 1.94 billion in consensus expectations, according to GlobeNewswire. The lead plaintiff deadline named in the notice is November 16, 2026.

Revenue still shows a large comparison

For the second quarter of 2026, AppLovin reported USD 1.92 billion in revenue and USD 1.27 billion in net income. The revenue figure compares with USD 1.26 billion in the second quarter of 2025, while net income compares with USD 819.53 million, according to Markets Insider.

That comparison gives the stock a fundamental counterweight to the legal overhang: revenue expanded by USD 660.00 million year over year, while the latest quarter still missed the USD 1.94 billion consensus figure. The market is therefore weighing sustained scale against questions about the timing and reliability of AI-driven model gains.

Citi keeps a USD 600.00 target

According to Markets Insider on October 5, 2026, Citi analyst Jason Bazinet maintained a Buy rating and a USD 600.00 price target. Morgan Stanley had also issued a Buy rating on September 20, 2026, while Piper Sandler reiterated a Hold rating on October 2, 2026.

The next reporting date is November 11, 2026, according to Investing.com. That date gives investors a defined checkpoint for the company's next revenue comparison and for management's explanation of AI model performance.

AppLovin stock stays above prior close

AppLovin stock was trading at EUR 252.73 at Lang & Schwarz on October 6, 2026 at 11:09 a.m. CEST, plus 0.42 percent versus the prior close of EUR 251.68. The further course of trading is shown by the continuously updated real-time quote of AppLovin stock.