698.89 USD
-15.34 (-2.15%)
Taking everything into account, APP scores 7 out of 10 in our fundamental rating. APP was compared to 276 industry peers in the Software industry. APP scores excellent points on both the profitability and health parts. This is a solid base for a good stock. APP is not priced too expensively while it is growing strongly. Keep and eye on this one! With these ratings, APP could be worth investigating further for growth and quality investing!.
1. Profitability
1.1 Basic Checks
In the past year APP was profitable.
APP had a positive operating cash flow in the past year.
In multiple years APP reported negative net income over the last 5 years.
Each year in the past 5 years APP had a positive operating cash flow.
1.2 Ratios
APP has a Return On Assets of 44.61%. This is amongst the best in the industry. APP outperforms 99.28% of its industry peers.
With an excellent Return On Equity value of 191.99%, APP belongs to the best of the industry, outperforming 99.64% of the companies in the same industry.
With an excellent Return On Invested Capital value of 52.42%, APP belongs to the best of the industry, outperforming 98.91% of the companies in the same industry.
APP had an Average Return On Invested Capital over the past 3 years of 14.51%. This is above the industry average of 10.78%.
The 3 year average ROIC (14.51%) for APP is below the current ROIC(52.42%), indicating increased profibility in the last year.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 44.61% | ||
| ROE | 191.99% | ||
| ROIC | 52.42% |
ROA(3y)10.07%
ROA(5y)4.98%
ROE(3y)54.28%
ROE(5y)N/A
ROIC(3y)14.51%
ROIC(5y)9.34%
1.3 Margins
With an excellent Profit Margin value of 51.26%, APP belongs to the best of the industry, outperforming 93.84% of the companies in the same industry.
APP's Profit Margin has improved in the last couple of years.
APP has a Operating Margin of 63.35%. This is amongst the best in the industry. APP outperforms 97.83% of its industry peers.
In the last couple of years the Operating Margin of APP has grown nicely.
With an excellent Gross Margin value of 83.31%, APP belongs to the best of the industry, outperforming 89.13% of the companies in the same industry.
In the last couple of years the Gross Margin of APP has remained more or less at the same level.
| 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
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), APP is creating value.
APP has about the same amout of shares outstanding than it did 1 year ago.
APP has less shares outstanding than it did 5 years ago.
The debt/assets ratio for APP has been reduced compared to a year ago.
2.2 Solvency
APP has an Altman-Z score of 33.12. This indicates that APP is financially healthy and has little risk of bankruptcy at the moment.
APP has a better Altman-Z score (33.12) than 96.38% of its industry peers.
The Debt to FCF ratio of APP is 1.03, which is an excellent value as it means it would take APP, only 1.03 years of fcf income to pay off all of its debts.
With a decent Debt to FCF ratio value of 1.03, APP is doing good in the industry, outperforming 74.64% of the companies in the same industry.
APP has a Debt/Equity ratio of 2.38. This is a high value indicating a heavy dependency on external financing.
APP has a Debt to Equity ratio of 2.38. This is amonst the worse of the industry: APP underperforms 83.33% of its industry peers.
Even though the debt/equity ratio score it not favorable for APP, it has very limited outstanding debt, so we won't put too much weight on the DE evaluation.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 2.38 | ||
| Debt/FCF | 1.03 | ||
| Altman-Z | 33.12 |
ROIC/WACC4.76
WACC11.01%
2.3 Liquidity
APP has a Current Ratio of 3.25. This indicates that APP is financially healthy and has no problem in meeting its short term obligations.
The Current ratio of APP (3.25) is better than 77.54% of its industry peers.
A Quick Ratio of 3.25 indicates that APP has no problem at all paying its short term obligations.
APP has a better Quick ratio (3.25) than 77.54% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.25 | ||
| Quick Ratio | 3.25 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 166.36% over the past year.
APP shows a strong growth in Earnings Per Share. Measured over the last years, the EPS has been growing by 84.83% yearly.
APP shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.81%.
APP shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 36.49% yearly.
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
APP is expected to show a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 44.45% yearly.
The Revenue is expected to grow by 27.30% on average over the next years. This is a very strong growth
EPS Next Y107.54%
EPS Next 2Y80.26%
EPS Next 3Y62.05%
EPS Next 5Y44.45%
Revenue Next Year23.92%
Revenue Next 2Y30.4%
Revenue Next 3Y29.14%
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.
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
Based on the Price/Earnings ratio of 79.51, the valuation of APP can be described as expensive.
Compared to the rest of the industry, the Price/Earnings ratio of APP is on the same level as its industry peers.
When comparing the Price/Earnings ratio of APP to the average of the S&P500 Index (26.92), we can say APP is valued expensively.
A Price/Forward Earnings ratio of 47.38 indicates a quite expensive valuation of APP.
APP's Price/Forward Earnings is on the same level as the industry average.
The average S&P500 Price/Forward Earnings ratio is at 23.46. APP is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.51 | ||
| Fwd PE | 47.38 |
4.2 Price Multiples
APP's Enterprise Value to EBITDA ratio is in line with the industry average.
APP's Price/Free Cash Flow is on the same level as the industry average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 69.51 | ||
| EV/EBITDA | 64.23 |
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 APP may justify a higher PE ratio.
APP's earnings are expected to grow with 62.05% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.74
PEG (5Y)0.94
EPS Next 2Y80.26%
EPS Next 3Y62.05%
5. Dividend
5.1 Amount
APP does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
NASDAQ:APP (12/29/2025, 3:21:09 PM)
698.89
-15.34 (-2.15%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners78.17%
Inst Owner Change22.25%
Ins Owners4.66%
Ins Owner Change-0.4%
Market Cap236.19B
Revenue(TTM)5.52B
Net Income(TTM)2.83B
Analysts81.25
Price Target740.59 (5.97%)
Short Float %5.95%
Short Ratio3.17
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
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)3.56%
Revenue beat(12)10
Avg Revenue beat(12)3.44%
Revenue beat(16)11
Avg Revenue beat(16)0.92%
PT rev (1m)3.44%
PT rev (3m)41.33%
EPS NQ rev (1m)-1.18%
EPS NQ rev (3m)6.35%
EPS NY rev (1m)3.74%
EPS NY rev (3m)5.5%
Revenue NQ rev (1m)-0.37%
Revenue NQ rev (3m)6.18%
Revenue NY rev (1m)1.84%
Revenue NY rev (3m)2.08%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 79.51 | ||
| Fwd PE | 47.38 | ||
| P/S | 42.78 | ||
| P/FCF | 69.51 | ||
| P/OCF | 69.41 | ||
| P/B | 160.25 | ||
| P/tB | N/A | ||
| EV/EBITDA | 64.23 |
EPS(TTM)8.79
EY1.26%
EPS(NY)14.75
Fwd EY2.11%
FCF(TTM)10.05
FCFY1.44%
OCF(TTM)10.07
OCFY1.44%
SpS16.34
BVpS4.36
TBVpS-1.45
PEG (NY)0.74
PEG (5Y)0.94
Graham Number29.37
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 44.61% | ||
| ROE | 191.99% | ||
| ROCE | 66.36% | ||
| ROIC | 52.42% | ||
| ROICexc | 76.68% | ||
| ROICexgc | 168.43% | ||
| 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)14.51%
ROIC(5y)9.34%
ROICexc(3y)16.97%
ROICexc(5y)11.03%
ROICexgc(3y)60.6%
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 | 33.12 |
F-Score9
WACC11.01%
ROIC/WACC4.76
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 Y107.54%
EPS Next 2Y80.26%
EPS Next 3Y62.05%
EPS Next 5Y44.45%
Revenue 1Y (TTM)40.81%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%17.26%
Revenue Next Year23.92%
Revenue Next 2Y30.4%
Revenue Next 3Y29.14%
Revenue Next 5Y27.3%
EBIT growth 1Y128.8%
EBIT growth 3Y132.01%
EBIT growth 5Y57.33%
EBIT Next Year145.56%
EBIT Next 3Y65.28%
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 / APP FAQ
What is the fundamental rating for APP stock?
ChartMill assigns a fundamental rating of 7 / 10 to APP.
What is the valuation status for APP stock?
ChartMill assigns a valuation rating of 4 / 10 to APPLOVIN CORP-CLASS A (APP). This can be considered as Fairly Valued.
How profitable is APPLOVIN CORP-CLASS A (APP) stock?
APPLOVIN CORP-CLASS A (APP) has a profitability rating of 9 / 10.
What are the PE and PB ratios of APPLOVIN CORP-CLASS A (APP) stock?
The Price/Earnings (PE) ratio for APPLOVIN CORP-CLASS A (APP) is 79.51 and the Price/Book (PB) ratio is 160.25.
What is the earnings growth outlook for APPLOVIN CORP-CLASS A?
The Earnings per Share (EPS) of APPLOVIN CORP-CLASS A (APP) is expected to grow by 107.54% in the next year.