APPLOVIN CORP-CLASS A (1APP.MI) Stock Fundamental Analysis
BIT:1APP - Euronext Milan - US03831W1080 - Common Stock - Currency: EUR
1APP gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 100 industry peers in the Software industry. Both the health and profitability get an excellent rating, making 1APP a very profitable company, without any liquidiy or solvency issues. 1APP is showing excellent growth while it is valued at reasonable prices. Keep and eye on this one! With these ratings, 1APP could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
1APP had positive earnings in the past year.
In the past year 1APP had a positive cash flow from operations.
The reported net income has been mixed in the past 5 years: 1APP reported negative net income in multiple years.
Each year in the past 5 years 1APP had a positive operating cash flow.
1.2 Ratios
1APP's Return On Assets of 33.63% is amongst the best of the industry. 1APP outperforms 99.03% of its industry peers.
1APP has a Return On Equity of 333.52%. This is amongst the best in the industry. 1APP outperforms 100.00% of its industry peers.
With an excellent Return On Invested Capital value of 41.65%, 1APP belongs to the best of the industry, outperforming 99.03% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1APP is above the industry average of 11.09%.
The last Return On Invested Capital (41.65%) for 1APP is above the 3 year average (13.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 33.63% | ||
| ROE | 333.52% | ||
| ROIC | 41.65% |
ROA(3y)10.07%
ROA(5y)4.98%
ROE(3y)54.28%
ROE(5y)N/A
ROIC(3y)13.77%
ROIC(5y)8.87%
1.3 Margins
With an excellent Profit Margin value of 37.37%, 1APP belongs to the best of the industry, outperforming 98.06% of the companies in the same industry.
In the last couple of years the Profit Margin of 1APP has grown nicely.
1APP has a better Operating Margin (46.47%) than 99.03% of its industry peers.
1APP's Operating Margin has improved in the last couple of years.
1APP has a better Gross Margin (77.72%) than 66.99% of its industry peers.
1APP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 46.47% | ||
| PM (TTM) | 37.37% | ||
| GM | 77.72% |
OM growth 3Y94.94%
OM growth 5Y15.26%
PM growth 3Y209.01%
PM growth 5Y34.23%
GM growth 3Y5.19%
GM growth 5Y-0.13%
2. Health
2.1 Basic Checks
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so 1APP is creating value.
1APP has about the same amout of shares outstanding than it did 1 year ago.
1APP has less shares outstanding than it did 5 years ago.
1APP has a better debt/assets ratio than last year.
2.2 Solvency
An Altman-Z score of 17.05 indicates that 1APP is not in any danger for bankruptcy at the moment.
1APP has a Altman-Z score of 17.05. This is amongst the best in the industry. 1APP outperforms 96.12% of its industry peers.
1APP has a debt to FCF ratio of 1.46. This is a very positive value and a sign of high solvency as it would only need 1.46 years to pay back of all of its debts.
Looking at the Debt to FCF ratio, with a value of 1.46, 1APP is in the better half of the industry, outperforming 76.70% of the companies in the same industry.
1APP has a Debt/Equity ratio of 6.10. This is a high value indicating a heavy dependency on external financing.
1APP has a Debt to Equity ratio of 6.10. This is amonst the worse of the industry: 1APP underperforms 86.41% of its industry peers.
Even though the debt/equity ratio score it not favorable for 1APP, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.1 | ||
| Debt/FCF | 1.46 | ||
| Altman-Z | 17.05 |
ROIC/WACC3.8
WACC10.95%
2.3 Liquidity
A Current Ratio of 1.68 indicates that 1APP should not have too much problems paying its short term obligations.
With a decent Current ratio value of 1.68, 1APP is doing good in the industry, outperforming 68.93% of the companies in the same industry.
A Quick Ratio of 1.68 indicates that 1APP should not have too much problems paying its short term obligations.
1APP has a Quick ratio of 1.68. This is in the better half of the industry: 1APP outperforms 70.87% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 262.50% over the past year.
The Earnings Per Share has been growing by 84.87% on average over the past years. This is a very strong growth
The Revenue has grown by 41.63% in the past year. This is a very strong growth!
1APP shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 36.49% yearly.
EPS 1Y (TTM)262.5%
EPS 3Y269.34%
EPS 5Y84.87%
EPS Q2Q%231.34%
Revenue 1Y (TTM)41.63%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%40.25%
3.2 Future
1APP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 27.00% yearly.
1APP is expected to show quite a strong growth in Revenue. In the coming years, the Revenue will grow by 18.31% yearly.
EPS Next Y54.09%
EPS Next 2Y55.53%
EPS Next 3Y45.51%
EPS Next 5Y27%
Revenue Next Year26.68%
Revenue Next 2Y24.17%
Revenue Next 3Y24.44%
Revenue Next 5Y18.31%
3.3 Evolution
Although the future EPS growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
Although the future Revenue growth is still strong, it is not able to hold up the even more excellent growth rate of the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 52.85 indicates a quite expensive valuation of 1APP.
Compared to the rest of the industry, the Price/Earnings ratio of 1APP is on the same level as its industry peers.
Compared to an average S&P500 Price/Earnings ratio of 26.98, 1APP is valued quite expensively.
The Price/Forward Earnings ratio is 29.30, which means the current valuation is very expensive for 1APP.
1APP's Price/Forward Earnings ratio is in line with the industry average.
1APP is valuated rather expensively when we compare the Price/Forward Earnings ratio to 21.49, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.85 | ||
| Fwd PE | 29.3 |
4.2 Price Multiples
61.16% of the companies in the same industry are cheaper than 1APP, based on the Enterprise Value to EBITDA ratio.
61.16% of the companies in the same industry are more expensive than 1APP, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.99 | ||
| EV/EBITDA | 45.47 |
4.3 Compensation for Growth
1APP's low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
The excellent profitability rating of 1APP may justify a higher PE ratio.
A more expensive valuation may be justified as 1APP's earnings are expected to grow with 45.51% in the coming years.
PEG (NY)0.98
PEG (5Y)0.62
EPS Next 2Y55.53%
EPS Next 3Y45.51%
5. Dividend
5.1 Amount
No dividends for 1APP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1APP (6/23/2025, 7:00:00 PM)
283.8
+283.8 (+Infinity%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners69.77%
Inst Owner ChangeN/A
Ins Owners4.11%
Ins Owner ChangeN/A
Market Cap96.04B
Analysts81.29
Price TargetN/A
Short Float %N/A
Short RatioN/A
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
Yearly DividendN/A
Dividend Growth(5Y)N/A
DPN/A
Div Incr Years0
Div Non Decr Years0
Ex-DateN/A
Surprises & Revisions
EPS beat(2)2
Avg EPS beat(2)44.78%
Min EPS beat(2)38.1%
Max EPS beat(2)51.45%
EPS beat(4)4
Avg EPS beat(4)35.11%
Min EPS beat(4)16.95%
Max EPS beat(4)51.45%
EPS beat(8)8
Avg EPS beat(8)51.1%
EPS beat(12)8
Avg EPS beat(12)-30.98%
EPS beat(16)8
Avg EPS beat(16)-70.07%
Revenue beat(2)2
Avg Revenue beat(2)6.86%
Min Revenue beat(2)6.23%
Max Revenue beat(2)7.5%
Revenue beat(4)3
Avg Revenue beat(4)4.37%
Min Revenue beat(4)-1.18%
Max Revenue beat(4)7.5%
Revenue beat(8)7
Avg Revenue beat(8)4.56%
Revenue beat(12)9
Avg Revenue beat(12)2.5%
Revenue beat(16)12
Avg Revenue beat(16)1.21%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)N/A
EPS NQ rev (3m)N/A
EPS NY rev (1m)N/A
EPS NY rev (3m)N/A
Revenue NQ rev (1m)N/A
Revenue NQ rev (3m)N/A
Revenue NY rev (1m)N/A
Revenue NY rev (3m)N/A
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.85 | ||
| Fwd PE | 29.3 | ||
| P/S | 21.21 | ||
| P/FCF | 42.99 | ||
| P/OCF | 42.91 | ||
| P/B | 189.24 | ||
| P/tB | N/A | ||
| EV/EBITDA | 45.47 |
EPS(TTM)5.37
EY1.89%
EPS(NY)9.69
Fwd EY3.41%
FCF(TTM)6.6
FCFY2.33%
OCF(TTM)6.61
OCFY2.33%
SpS13.38
BVpS1.5
TBVpS-5
PEG (NY)0.98
PEG (5Y)0.62
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 33.63% | ||
| ROE | 333.52% | ||
| ROCE | 55.53% | ||
| ROIC | 41.65% | ||
| ROICexc | 47.77% | ||
| ROICexgc | 143% | ||
| OM | 46.47% | ||
| PM (TTM) | 37.37% | ||
| GM | 77.72% | ||
| FCFM | 49.33% |
ROA(3y)10.07%
ROA(5y)4.98%
ROE(3y)54.28%
ROE(5y)N/A
ROIC(3y)13.77%
ROIC(5y)8.87%
ROICexc(3y)16.11%
ROICexc(5y)10.47%
ROICexgc(3y)57.53%
ROICexgc(5y)N/A
ROCE(3y)18.38%
ROCE(5y)11.84%
ROICexcg growth 3Y130.56%
ROICexcg growth 5YN/A
ROICexc growth 3Y131.06%
ROICexc growth 5Y6.08%
OM growth 3Y94.94%
OM growth 5Y15.26%
PM growth 3Y209.01%
PM growth 5Y34.23%
GM growth 3Y5.19%
GM growth 5Y-0.13%
F-Score8
Asset Turnover0.9
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 6.1 | ||
| Debt/FCF | 1.46 | ||
| Debt/EBITDA | 1.25 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 11.82 | ||
| Cash Conversion | 90.57% | ||
| Profit Quality | 132% | ||
| Current Ratio | 1.68 | ||
| Quick Ratio | 1.68 | ||
| Altman-Z | 17.05 |
F-Score8
WACC10.95%
ROIC/WACC3.8
Cap/Depr(3y)1.05%
Cap/Depr(5y)1.13%
Cap/Sales(3y)0.16%
Cap/Sales(5y)0.18%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)262.5%
EPS 3Y269.34%
EPS 5Y84.87%
EPS Q2Q%231.34%
EPS Next Y54.09%
EPS Next 2Y55.53%
EPS Next 3Y45.51%
EPS Next 5Y27%
Revenue 1Y (TTM)41.63%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%40.25%
Revenue Next Year26.68%
Revenue Next 2Y24.17%
Revenue Next 3Y24.44%
Revenue Next 5Y18.31%
EBIT growth 1Y157.5%
EBIT growth 3Y132.02%
EBIT growth 5Y57.32%
EBIT Next Year123.13%
EBIT Next 3Y53.38%
EBIT Next 5Y43.84%
FCF growth 1Y248.78%
FCF growth 3Y80.45%
FCF growth 5Y60.75%
OCF growth 1Y246.17%
OCF growth 3Y79.67%
OCF growth 5Y60.27%