Todd Gordon predicts strong earnings for Applovin amid tech market volatility
- Applovin's stock was added to a growth portfolio in August 2024 and is currently experiencing a decline yet remains up for the year.
- The company is expected to show consistent earnings growth, with estimates indicating strong EPS figures for Q4 2024 and beyond.
- Todd Gordon anticipates further portfolio reallocation to increase holdings in Applovin based on expected positive earnings results.
In the United States, Todd Gordon provided an analysis of Applovin's stock performance as of January 28, 2025. The stock, which had been added to a growth portfolio in August 2024, experienced a 5% decline on the previous Monday but was still showing a 10% increase for the year. Gordon noted a positive trend in the company's earnings per share (EPS), with figures jumping from $0.18 in 2022 to $0.98 in 2023. Analysts expect the company to report $4.06 in Q4 of 2024 with continued growth anticipated for 2025. Gordon highlighted a clear consolidation pattern in the stock price, with resistance at $375 and support at $310. Given the history of stock performance following previous quarters' earnings, he expressed optimism about upcoming earnings scheduled for February 12, suggesting it might result in a significant upward movement. His strategy involves increasing holdings before the earnings report based on positive projections for the company’s growth trajectory.