Roblox, Take-Two Level Up: But Can Gaming Stocks Survive A Macro Boss Fight?
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 22 2025
0mins
Source: Benzinga
Take-Two Interactive and Roblox Resilience: Analysts believe Take-Two Interactive and Roblox are well-positioned to withstand macroeconomic challenges in the gaming sector, with Take-Two benefiting from strong NBA 2K trends and potential mobile growth, while Roblox sees a surge in daily active users and advertising partnerships that could enhance earnings.
Mixed Outlook for Other Gaming Stocks: Electronic Arts is experiencing a slight boost due to improved player sentiment but remains cautious about future releases, whereas Playstudios faces declining revenue without significant new titles. Overall, selective opportunities exist within the gaming market despite broader economic uncertainties.
Get Free Real-Time Notifications for Any Stock
Monitor tickers like APP with instant alerts to capture every critical market movement.
Sign up for free to build your custom watchlist and receive professional-grade stock notifications.
Analyst Views on APP
Wall Street analysts forecast APP stock price to rise over the next 12 months. According to Wall Street analysts, the average 1-year price target for APP is 763.44 USD with a low forecast of 650.00 USD and a high forecast of 860.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
20 Analyst Rating
17 Buy
3 Hold
0 Sell
Strong Buy
Current: 542.360
Low
650.00
Averages
763.44
High
860.00
Current: 542.360
Low
650.00
Averages
763.44
High
860.00
About APP
AppLovin Corporation is a marketing platform. The Company provides end-to-end software and artificial intelligence (AI) solutions for businesses to reach, monetize and grow their global audiences. Its advertising solutions include a comprehensive suite of tools including AppDiscovery, MAX, Adjust, Wurl and Axon Ads Manager. AppDiscovery is powered by AXON, its AI-powered advertising engine, and matches advertiser demand with publisher supply through auctions at vast scale and at microsecond-level speeds. MAX is its monetization solution, utilizing an advanced in-app bidding technology that optimizes the value of a publisher’s advertising inventory by running a real-time competitive auction, driving more competition, and higher returns for publishers. Adjust is its measurement and analytics marketing platform which provides marketers with the visibility, insights, and data needed to scale their apps marketing and drive more informed results. Wurl is its connected TV (CTV) platform.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
Software Stocks Face Worst Month Since 2008
- Market Reaction: The iShares Expanded Tech-Software Sector ETF (NYSE:IGV) is on track for its steepest monthly drop since October 2008, with a roughly 6% plunge in a single session on Thursday, indicating investor concerns over traditional business models.
- Microsoft's Stock Plunge: Despite Microsoft exceeding Wall Street expectations in its latest earnings report, its stock fell over 12% due to slowing Azure cloud growth and cautious guidance, marking its worst day since the lockdown, reflecting worries about AI monetization durability.
- Analyst Perspective Shift: Thomas Shipp from LPL Financial raised the question of whether software can survive AI, suggesting that the sector's fundamentals are changing, and software companies will need to offer AI enhancements to maintain market share moving forward.
- Pessimistic Demand Outlook: Jordi Visser from 22V Research warned that markets are nearing a significant inflection point, shifting from a cloud-centric software cycle to a physical-world infrastructure cycle, with AI potentially suppressing software demand and altering long-term investor expectations.
Continue Reading
AppLovin Transforms into Ad Giant, Challenging Amazon
- Competitive Market Positioning: AppLovin's AXON 2.0 machine learning advertising engine successfully attracts non-gaming advertisers, with total revenue projected to reach $9.3 billion in 2026, indicating a nearly 70% growth compared to 2025 and showcasing its strong competitive edge in the ad tech space.
- Advertising Spend Surge: BofA forecasts that AppLovin's ad spend will hit $6.7 billion, with quarterly advertising revenue surpassing $1 billion, reflecting the company's rapid expansion and enhanced profitability in the advertising market.
- Innovation-Driven Growth: The installation of the Axon pixel nearly quadrupled by late 2025, enabling e-commerce merchants to optimize ad targeting and lowering barriers for direct-to-consumer engagement, further solidifying AppLovin's leadership in mobile advertising.
- Regulatory Risk Challenges: Despite AppLovin's strong growth momentum, it faces regulatory scrutiny from the SEC and allegations of market manipulation, which could impact its valuation and investor confidence, necessitating careful navigation of potential legal challenges.
Continue Reading