Exit Apploving Amid Shady Practices and High Multiples

3 months ago

Whitney Tilson

"Apploving has over a $200 billion market cap and trades at 63 times this year's earnings, 36 times revenue. A number of well-respected activist short sellers have exposed all sorts of shady business practices, including tricking users into downloading the app and bombarding them with ads. Unlike Palunteer, its valuation isn't as extreme, but these questionable practices could trigger a significant sell-off. Congratulations if you caught this rocket ship, but it's time to get off."

Suggests exiting Apploving due to its extreme valuation combined with exposed questionable business practices, which may lead to a sharp correction.