AppLovin shares drop on Bank of America downgrade Proactive uses images sourced from ShutterstockAppLovin Corp (NASDAQ:APP) shares fell 5% to $321 after Bank of America downgraded the stock to Neutral, citing greater uncertainty around the company's ability to sustain its long-term 30% revenue growth trajectory. Bank of America said AppLovin's second quarter results raised questions about a previously assumed source of baseline sequential growth. Bank of America also said AppLovin's next wave of innovation requires more evidence before it can support the company's 30% long-term annual revenue growth target. As a result, Bank of America lowered its 2027 revenue growth forecast to 23% from 31% and reduced its 2027 EBITDA estimate to $8.3 billion from $9 billion. Bank of America lowered its price objective to $400 from $430, based on a 16-times multiple of estimated 2027 EBITDA.