AppLovin reports 59% year-over-year revenue growth in Q1 amid ongoing SEC probe and short-seller allegations.
AppLovin (NASDAQ: APP) has declined 27% year to date, contrasting with a 687% gain over the past five years. The adtech firm faces scrutiny from short-sellers and an active SEC investigation into allegations of illegal practices, including data copying and money laundering.
Despite these challenges, AppLovin posted a 59% year-over-year revenue increase in the first quarter. Short-seller reports, including claims of back-end money laundering, have been retracted or denied, with no legal action taken by Meta or Alphabet.
The stock has retained most of its long-term gains, supported by strong fundamentals and growth metrics. However, regulatory risks remain a key concern for investors.