"Liftoff Mobile's decision to postpone its planned initial public offering on the Nasdaq crystallized a shift in Wall Street's mindset: it won't reward growth at any cost, particularly when it comes with heavy AI investment. The company cited " market conditions " after a sharp selloff across software stocks, with more than $800 billion wiped from the S&P 500 software and services index since late January. That retrenchment followed earnings from Alphabet and Amazon, which, while showing sizeable revenue gains,"
"Against that backdrop, LiveRamp emerged as a relative outlier. Its Q4 results featured comparatively modest revenue growth by sector standards, yet the market rewarded its capital discipline and shareholder signaling, including a $200 million expansion of its share buyback. In an environment skeptical of SaaS multiples, LiveRamp's performance suggested that predictable cash flows and measured AI positioning could still command investor confidence."
"By contrast, AppLovin - arguably the talisman of the ad tech cohort - delivered one of the most striking earnings prints of the season. The company reported a 66% year-over-year increase in Q4 revenue to $1.66 billion, beating analyst expectations of $1.6 billion. First-quarter guidance of $1.75 billion to $1.78 billion also topped consensus estimates. On paper, it was a resounding rebuttal to successive short-seller critiques questioning the durability of its AI-driven growth model."
Liftoff Mobile postponed its planned Nasdaq IPO, citing market conditions after a sharp selloff erased more than $800 billion from the S&P 500 software and services index. Large capital expenditures for AI infrastructure revealed by major tech earnings unnerved investors and triggered a re-rating that penalized top-line growth accompanied by margin pressure and rising compute costs. LiveRamp's modest revenue growth and $200 million buyback expansion showed that capital discipline and predictable cash flows can still attract investor confidence. AppLovin reported strong revenue and guidance but still faced stock pressure over decelerating growth signals.
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