Movement Alert|AppLovin Corporation Falls 3.92% in Regular Trading, Hit by Dual Short-Seller Reports Alleging Data Theft and Forced App Installations

Market Focus
Sep 23

On September 23, AppLovin Corporation declined 3.92% in regular trading, trading at $312.94/share, with turnover of $155 million. The stock came under significant pressure after two short-selling firms simultaneously launched attacks on the company.

Short-seller Fuzzy Panda Research and Culper Research both published bearish reports on the same day. Fuzzy Panda accused AppLovin of stealing data from Meta, alleging that so-called \"dark advertising\" practices were the true driver behind the company's rapid growth. Culper Research separately accused AppLovin of exploiting app permissions to silently install backdoor applications on users' phones through its advertising network. The stock had plunged as much as approximately 20% intraday following the release of these reports.

The short-seller attacks come at a sensitive time. Just two days earlier, the company's CEO had publicly reaffirmed strong fundamentals, projecting approximately $6 billion in cash generation this year with an adjusted EBITDA margin of 84%. Meanwhile, multiple Wall Street firms had already been trimming price targets following a Q2 revenue miss of $1.92 billion versus estimates of $1.94 billion, with Morgan Stanley cutting its target to $450 and BofA downgrading to neutral.

(The above content is based on publicly available market information, generated by a program or algorithm, and is intended solely as a stock movement alert. It does not constitute investment advice or a basis for trading decisions.)

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