10:49 AM EDT, 07/28/2025 (MT Newswires) -- AppLovin's ( APP ) strong growth momentum is likely to continue, supported by gains in mobile advertising and sustained demand for its Max platform, Wedbush Securities said in a Monday note.

The brokerage expects the company to benefit from rising "user acquisition" spending, partly aided by the Apple (AAPL) vs. Epic Games case. It sees Max maintaining a dominant position while AppLovin's ( APP ) Axon platform is projected to achieve at least 20% annual growth, with newer offerings like Vector showing signs of accelerating momentum.

Wedbush forecasts Q2 revenue of about $1.23 billion and a 5.7% sequential growth rate for the software platform, above the company's guidance range and slightly ahead of consensus. It expects a 5% sequential increase for Q3.

Analysts noted that AppLovin ( APP ) is unlikely to disclose revenue from its ecommerce business until it broadens its reach to smaller firms.

Wedbush reiterated its outperform rating and $620 price target

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