AI Advertising Giants Not Exempt... $16 Billion Market Cap Vanished in a Day for US App Tech Stocks

AppLovin Corp. (NASDAQ: APP) plunged 9.54% on the Nasdaq on the 25th, closing at $396.80 per share (roughly KRW 580,000), wiping out about $10.6 billion (approximately KRW 16 trillion) in market capitalization in a single day. Based on that closing price, its market cap stands at around $121.8 billion (about KRW 180 trillion), with trading volume reaching approximately 4.59 million shares.

In its February 11 release of fourth-quarter and full-year 2025 results, AppLovin reported annual revenue of $5.48 billion and net income of $3.33 billion—year-over-year growth of roughly 70% in revenue and more than 100% in profit. For the first quarter of 2026, it provided guidance of up to $1.775 billion in revenue and an adjusted EBITDA margin of 84%, underscoring its confidence in the growth of its AI-powered advertising platform.

Headquartered in Palo Alto, California, AppLovin is a mobile advertising and marketing platform company that offers app developers—including game studios—software for ad serving, performance measurement and monetization. Leveraging its proprietary AI ad engine, the MAX mediation platform and the Adjust analytics tool, AppLovin has enjoyed rapid growth but has also endured volatility risks, such as the sharp sell-off in early 2025 triggered by short-seller allegations over its data-usage practices.