APPLOVIN CORP-CLASS A (1APP.MI) Stock Fundamental Analysis
Europe - Euronext Milan - BIT:1APP - US03831W1080 - Common Stock
516 EUR
+49.2 (+10.54%)
Overall 1APP gets a fundamental rating of 7 out of 10. We evaluated 1APP against 116 industry peers in the Software industry. 1APP scores excellent points on both the profitability and health parts. This is a solid base for a good stock. 1APP is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings would make 1APP suitable 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.
In multiple years 1APP reported negative net income over the last 5 years.
Each year in the past 5 years 1APP had a positive operating cash flow.
1.2 Ratios
The Return On Assets of 1APP (44.61%) is better than 100.00% of its industry peers.
1APP has a Return On Equity of 191.99%. This is amongst the best in the industry. 1APP outperforms 100.00% of its industry peers.
Looking at the Return On Invested Capital, with a value of 49.77%, 1APP belongs to the top of the industry, outperforming 98.25% of the companies in the same industry.
Measured over the past 3 years, the Average Return On Invested Capital for 1APP is in line with the industry average of 13.10%.
The last Return On Invested Capital (49.77%) for 1APP is above the 3 year average (13.77%), which is a sign of increasing profitability.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 44.61% | ||
| ROE | 191.99% | ||
| ROIC | 49.77% |
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
Looking at the Profit Margin, with a value of 51.26%, 1APP belongs to the top of the industry, outperforming 96.49% of the companies in the same industry.
1APP's Profit Margin has improved in the last couple of years.
1APP has a better Operating Margin (63.35%) than 99.12% of its industry peers.
1APP's Operating Margin has improved in the last couple of years.
With a decent Gross Margin value of 83.31%, 1APP is doing good in the industry, outperforming 78.07% of the companies in the same industry.
1APP's Gross Margin has been stable in the last couple of years.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 63.35% | ||
| PM (TTM) | 51.26% | ||
| GM | 83.31% |
OM growth 3Y94.93%
OM growth 5Y15.27%
PM growth 3Y209%
PM growth 5Y34.24%
GM growth 3Y5.19%
GM growth 5Y-0.13%
2. Health
2.1 Basic Checks
1APP has a Return on Invested Capital (ROIC), which is well above the Cost of Capital (WACC), which means it is creating value.
The number of shares outstanding for 1APP remains at a similar level compared to 1 year ago.
Compared to 5 years ago, 1APP has less shares outstanding
The debt/assets ratio for 1APP has been reduced compared to a year ago.
2.2 Solvency
1APP has an Altman-Z score of 28.27. This indicates that 1APP is financially healthy and has little risk of bankruptcy at the moment.
1APP has a better Altman-Z score (28.27) than 98.25% of its industry peers.
The Debt to FCF ratio of 1APP is 1.03, which is an excellent value as it means it would take 1APP, only 1.03 years of fcf income to pay off all of its debts.
1APP has a better Debt to FCF ratio (1.03) than 79.82% of its industry peers.
A Debt/Equity ratio of 2.38 is on the high side and indicates that 1APP has dependencies on debt financing.
1APP has a worse Debt to Equity ratio (2.38) than 82.46% of its industry peers.
Although 1APP does not score too well on debt/equity it has very limited outstanding debt, which is well covered by the FCF. We will not put too much weight on the debt/equity number as it may be because of low equity, which could be a consequence of a share buyback program for instance. This needs to be investigated.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | 1.03 | ||
| Altman-Z | 28.27 |
ROIC/WACC4.52
WACC11.01%
2.3 Liquidity
1APP has a Current Ratio of 3.25. This indicates that 1APP is financially healthy and has no problem in meeting its short term obligations.
Looking at the Current ratio, with a value of 3.25, 1APP belongs to the top of the industry, outperforming 85.96% of the companies in the same industry.
1APP has a Quick Ratio of 3.25. This indicates that 1APP is financially healthy and has no problem in meeting its short term obligations.
Looking at the Quick ratio, with a value of 3.25, 1APP belongs to the top of the industry, outperforming 85.96% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.25 | ||
| Quick Ratio | 3.25 |
3. Growth
3.1 Past
1APP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 166.36%, which is quite impressive.
1APP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 84.83% yearly.
Looking at the last year, 1APP shows a very strong growth in Revenue. The Revenue has grown by 40.81%.
The Revenue has been growing by 36.49% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)166.36%
EPS 3Y269.22%
EPS 5Y84.83%
EPS Q2Q%96%
Revenue 1Y (TTM)40.81%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%17.26%
3.2 Future
The Earnings Per Share is expected to grow by 44.45% on average over the next years. This is a very strong growth
Based on estimates for the next years, 1APP will show a very strong growth in Revenue. The Revenue will grow by 27.30% on average per year.
EPS Next Y100.06%
EPS Next 2Y75.81%
EPS Next 3Y58.08%
EPS Next 5Y44.45%
Revenue Next Year21.68%
Revenue Next 2Y27.51%
Revenue Next 3Y27.12%
Revenue Next 5Y27.3%
3.3 Evolution
The estimated forward EPS growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
The estimated forward Revenue growth is still strong, although it is decreasing when compared to the stronger growth in the past years.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 67.98 indicates a quite expensive valuation of 1APP.
1APP's Price/Earnings is on the same level as the industry average.
When comparing the Price/Earnings ratio of 1APP to the average of the S&P500 Index (26.31), we can say 1APP is valued expensively.
The Price/Forward Earnings ratio is 42.60, which means the current valuation is very expensive for 1APP.
Compared to the rest of the industry, the Price/Forward Earnings ratio of 1APP is on the same level as its industry peers.
1APP's Price/Forward Earnings ratio indicates a similar valuation than the S&P500 average which is at 36.59.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 67.98 | ||
| Fwd PE | 42.6 |
4.2 Price Multiples
63.16% of the companies in the same industry are cheaper than 1APP, based on the Enterprise Value to EBITDA ratio.
Compared to the rest of the industry, the Price/Free Cash Flow ratio of 1APP is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 59.46 | ||
| EV/EBITDA | 53.84 |
4.3 Compensation for Growth
The 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 58.08% in the coming years.
PEG (NY)0.68
PEG (5Y)0.8
EPS Next 2Y75.81%
EPS Next 3Y58.08%
5. Dividend
5.1 Amount
1APP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
BIT:1APP (11/27/2025, 7:00:00 PM)
516
+49.2 (+10.54%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners70.06%
Inst Owner ChangeN/A
Ins Owners4.73%
Ins Owner ChangeN/A
Market Cap174.38B
Revenue(TTM)5.52B
Net Income(TTM)2.83B
Analysts81.25
Price Target625.42 (21.21%)
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)8.84%
Min EPS beat(2)1.04%
Max EPS beat(2)16.63%
EPS beat(4)4
Avg EPS beat(4)26.81%
Min EPS beat(4)1.04%
Max EPS beat(4)51.45%
EPS beat(8)8
Avg EPS beat(8)26.42%
EPS beat(12)10
Avg EPS beat(12)-16.98%
EPS beat(16)10
Avg EPS beat(16)-61.33%
Revenue beat(2)1
Avg Revenue beat(2)0.9%
Min Revenue beat(2)-1.89%
Max Revenue beat(2)3.69%
Revenue beat(4)3
Avg Revenue beat(4)3.88%
Min Revenue beat(4)-1.89%
Max Revenue beat(4)7.5%
Revenue beat(8)6
Avg Revenue beat(8)-0.66%
Revenue beat(12)10
Avg Revenue beat(12)0.62%
Revenue beat(16)11
Avg Revenue beat(16)-1.2%
PT rev (1m)N/A
PT rev (3m)N/A
EPS NQ rev (1m)3.13%
EPS NQ rev (3m)15.56%
EPS NY rev (1m)1.98%
EPS NY rev (3m)11.06%
Revenue NQ rev (1m)2.86%
Revenue NQ rev (3m)7.36%
Revenue NY rev (1m)-0.41%
Revenue NY rev (3m)0.28%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 67.98 | ||
| Fwd PE | 42.6 | ||
| P/S | 36.6 | ||
| P/FCF | 59.46 | ||
| P/OCF | 59.38 | ||
| P/B | 137.08 | ||
| P/tB | N/A | ||
| EV/EBITDA | 53.84 |
EPS(TTM)7.59
EY1.47%
EPS(NY)12.11
Fwd EY2.35%
FCF(TTM)8.68
FCFY1.68%
OCF(TTM)8.69
OCFY1.68%
SpS14.1
BVpS3.76
TBVpS-1.25
PEG (NY)0.68
PEG (5Y)0.8
Graham Number25.35
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 44.61% | ||
| ROE | 191.99% | ||
| ROCE | 66.36% | ||
| ROIC | 49.77% | ||
| ROICexc | 72.8% | ||
| ROICexgc | 159.9% | ||
| OM | 63.35% | ||
| PM (TTM) | 51.26% | ||
| GM | 83.31% | ||
| FCFM | 61.55% |
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%
ROICexgc growth 3Y130.55%
ROICexgc growth 5YN/A
ROICexc growth 3Y131.05%
ROICexc growth 5Y6.08%
OM growth 3Y94.93%
OM growth 5Y15.27%
PM growth 3Y209%
PM growth 5Y34.24%
GM growth 3Y5.19%
GM growth 5Y-0.13%
F-Score9
Asset Turnover0.87
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | 1.03 | ||
| Debt/EBITDA | 0.93 | ||
| Cap/Depr | N/A | ||
| Cap/Sales | N/A | ||
| Interest Coverage | 23.08 | ||
| Cash Conversion | 89.85% | ||
| Profit Quality | 120.08% | ||
| Current Ratio | 3.25 | ||
| Quick Ratio | 3.25 | ||
| Altman-Z | 28.27 |
F-Score9
WACC11.01%
ROIC/WACC4.52
Cap/Depr(3y)1.05%
Cap/Depr(5y)1.14%
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)166.36%
EPS 3Y269.22%
EPS 5Y84.83%
EPS Q2Q%96%
EPS Next Y100.06%
EPS Next 2Y75.81%
EPS Next 3Y58.08%
EPS Next 5Y44.45%
Revenue 1Y (TTM)40.81%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%17.26%
Revenue Next Year21.68%
Revenue Next 2Y27.51%
Revenue Next 3Y27.12%
Revenue Next 5Y27.3%
EBIT growth 1Y128.8%
EBIT growth 3Y132.01%
EBIT growth 5Y57.33%
EBIT Next Year136.13%
EBIT Next 3Y58.7%
EBIT Next 5Y50.97%
FCF growth 1Y291.13%
FCF growth 3Y80.45%
FCF growth 5Y60.75%
OCF growth 1Y286.36%
OCF growth 3Y79.68%
OCF growth 5Y60.28%
APPLOVIN CORP-CLASS A / 1APP.MI FAQ
What is the fundamental rating for 1APP stock?
ChartMill assigns a fundamental rating of 7 / 10 to 1APP.MI.
Can you provide the valuation status for APPLOVIN CORP-CLASS A?
ChartMill assigns a valuation rating of 4 / 10 to APPLOVIN CORP-CLASS A (1APP.MI). This can be considered as Fairly Valued.
How profitable is APPLOVIN CORP-CLASS A (1APP.MI) stock?
APPLOVIN CORP-CLASS A (1APP.MI) has a profitability rating of 8 / 10.
How financially healthy is APPLOVIN CORP-CLASS A?
The financial health rating of APPLOVIN CORP-CLASS A (1APP.MI) is 9 / 10.
Can you provide the expected EPS growth for 1APP stock?
The Earnings per Share (EPS) of APPLOVIN CORP-CLASS A (1APP.MI) is expected to grow by 100.06% in the next year.