AppLovin Corporation shares plunged 19.82% in intraday trading on Thursday, erasing significant value after the ad-technology platform reported second-quarter results that fell short of Wall Street expectations and issued a lukewarm forecast for the current quarter.

The company posted Q2 revenue of $1.924 billion, up 53% year-over-year, but missing the analyst consensus of $1.935 billion. While earnings per share of $3.76 met expectations and adjusted EBITDA rose 58% to $1.61 billion, the revenue shortfall and a Q3 guidance midpoint of $2.07 billion — slightly below the Street’s $2.08 billion estimate — sparked a sharp sell-off. CEO Adam Foroughi acknowledged the results fell short of the company’s own standards, attributing the lighter quarter to the timing of AI model improvements that landed just after the period ended, though he stressed advertiser demand remains strong.

The disappointing release triggered a wave of analyst downgrades and price-target cuts. Piper Sandler downgraded the stock to Neutral from Overweight and slashed its target to $385 from $665, while Wells Fargo cut to Equal Weight and lowered its target to $357 from $575. Multiple other firms, including BofA, Benchmark, Jefferies, and RBC, also reduced their price targets, amplifying the negative sentiment around the stock.