The lawsuit alleges that Defendants provided investors with material information concerning AppLovin’s financial growth and stability. Defendants’ statements included, among other things, confidence in AppLovin’s launch of its AXON 2.0 digital ad platform and using “cutting-edge AI technologies” to more efficiently match advertisements to mobile games, in addition to expanding into web-based marketing and e-commerce. Moreover, Defendants publicly reported impressive financial results, outlooks, and guidance to investors, all while using dishonest advertising practices. Defendants provided these overwhelmingly positive statements to investors while, at the same time, disseminating materially false and misleading statements and/or concealing material adverse facts related to AppLovin’s manipulative practices to force unwanted apps on customers using a “backdoor installation scheme” which inaccurately inflated installation numbers, and, in turn its profitability. Such statements absent these material facts caused shareholders to purchase AppLovin’s securities at artificially inflated prices. When the truth emerged on February 26, 2025, shares of AppLovin fell over 10%.
Contact our attorneys for a no-cost case evaluation.