APPFOLIO INC - A (APPF) Stock Fundamental Analysis
NASDAQ:APPF - Nasdaq - US03783C1009 - Common Stock - Currency: USD
We assign a fundamental rating of 7 out of 10 to APPF. APPF was compared to 281 industry peers in the Software industry. APPF has outstanding health and profitabily ratings, belonging to the best of the industry. This is a solid base for any company. APPF is not priced too expensively while it is growing strongly. Keep and eye on this one! These ratings could make APPF a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
In the past year APPF was profitable.
In the past year APPF had a positive cash flow from operations.
APPF had positive earnings in 4 of the past 5 years.
APPF had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
APPF has a better Return On Assets (34.84%) than 98.93% of its industry peers.
APPF has a Return On Equity of 42.58%. This is amongst the best in the industry. APPF outperforms 93.59% of its industry peers.
The Return On Invested Capital of APPF (21.12%) is better than 94.66% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 34.84% | ||
| ROE | 42.58% | ||
| ROIC | 21.12% |
ROA(3y)5.12%
ROA(5y)11.25%
ROE(3y)4.85%
ROE(5y)14.06%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
APPF has a better Profit Margin (23.87%) than 90.04% of its industry peers.
APPF's Profit Margin has improved in the last couple of years.
APPF has a better Operating Margin (16.41%) than 83.99% of its industry peers.
APPF's Operating Margin has improved in the last couple of years.
The Gross Margin of APPF (63.99%) is comparable to the rest of the industry.
In the last couple of years the Gross Margin of APPF has remained more or less at the same level.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | 16.41% | ||
| PM (TTM) | 23.87% | ||
| GM | 63.99% |
OM growth 3YN/A
OM growth 5Y41.53%
PM growth 3Y351.99%
PM growth 5Y12.62%
GM growth 3Y2.47%
GM growth 5Y1.35%
2. Health
2.1 Basic Checks
With a Return on Invested Capital (ROIC) well above the Cost of Capital (WACC), APPF is creating value.
The number of shares outstanding for APPF has been increased compared to 1 year ago.
The number of shares outstanding for APPF has been increased compared to 5 years ago.
There is no outstanding debt for APPF. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
2.2 Solvency
APPF has an Altman-Z score of 47.03. This indicates that APPF is financially healthy and has little risk of bankruptcy at the moment.
APPF has a Altman-Z score of 47.03. This is amongst the best in the industry. APPF outperforms 98.58% of its industry peers.
There is no outstanding debt for APPF. This means it has a Debt/Equity and Debt/FCF ratio of 0 and it is amongst the best of the sector and industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Altman-Z | 47.03 |
ROIC/WACC2.02
WACC10.44%
2.3 Liquidity
APPF has a Current Ratio of 4.64. This indicates that APPF is financially healthy and has no problem in meeting its short term obligations.
APPF has a better Current ratio (4.64) than 83.63% of its industry peers.
APPF has a Quick Ratio of 4.64. This indicates that APPF is financially healthy and has no problem in meeting its short term obligations.
APPF has a Quick ratio of 4.64. This is amongst the best in the industry. APPF outperforms 83.63% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 4.64 | ||
| Quick Ratio | 4.64 |
3. Growth
3.1 Past
The Earnings Per Share has grown by an impressive 63.90% over the past year.
Measured over the past years, APPF shows a very strong growth in Earnings Per Share. The EPS has been growing by 59.90% on average per year.
The Revenue has grown by 22.73% in the past year. This is a very strong growth!
The Revenue has been growing by 25.41% on average over the past years. This is a very strong growth!
EPS 1Y (TTM)63.9%
EPS 3Y426.96%
EPS 5Y59.9%
EPS Q2Q%14.15%
Revenue 1Y (TTM)22.73%
Revenue growth 3Y30.25%
Revenue growth 5Y25.41%
Sales Q2Q%16.15%
3.2 Future
Based on estimates for the next years, APPF will show a very strong growth in Earnings Per Share. The EPS will grow by 21.68% on average per year.
Based on estimates for the next years, APPF will show a quite strong growth in Revenue. The Revenue will grow by 8.43% on average per year.
EPS Next Y23.1%
EPS Next 2Y21.68%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year18.42%
Revenue Next 2Y17.54%
Revenue Next 3Y8.43%
Revenue Next 5YN/A
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.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
4. Valuation
4.1 Price/Earnings Ratio
A Price/Earnings ratio of 46.58 indicates a quite expensive valuation of APPF.
APPF's Price/Earnings ratio is in line with the industry average.
Compared to an average S&P500 Price/Earnings ratio of 27.75, APPF is valued quite expensively.
With a Price/Forward Earnings ratio of 32.54, APPF can be considered very expensive at the moment.
64.41% of the companies in the same industry are more expensive than APPF, based on the Price/Forward Earnings ratio.
APPF's Price/Forward Earnings ratio indicates a rather expensive valuation when compared to the S&P500 average which is at 20.49.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.58 | ||
| Fwd PE | 32.54 |
4.2 Price Multiples
Based on the Enterprise Value to EBITDA ratio, APPF is valued a bit cheaper than 67.97% of the companies in the same industry.
APPF's Price/Free Cash Flow ratio is a bit cheaper when compared to the industry. APPF is cheaper than 64.06% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 42.77 | ||
| EV/EBITDA | 45.77 |
4.3 Compensation for Growth
The high PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates an expensive valuation of the company.
The decent profitability rating of APPF may justify a higher PE ratio.
APPF's earnings are expected to grow with 21.68% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.02
PEG (5Y)0.78
EPS Next 2Y21.68%
EPS Next 3YN/A
5. Dividend
5.1 Amount
APPF does not give a dividend.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:APPF (5/2/2025, 3:27:55 PM)
211.48
+4.85 (+2.35%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners82.87%
Inst Owner Change-0.28%
Ins Owners2.49%
Ins Owner Change2.72%
Market Cap7.62B
Analysts78.57
Price Target254.82 (20.49%)
Short Float %4.73%
Short Ratio2.99
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)0
Avg EPS beat(2)-3.91%
Min EPS beat(2)-4.25%
Max EPS beat(2)-3.57%
EPS beat(4)2
Avg EPS beat(4)7.34%
Min EPS beat(4)-4.25%
Max EPS beat(4)22.46%
EPS beat(8)6
Avg EPS beat(8)24.81%
EPS beat(12)10
Avg EPS beat(12)55.87%
EPS beat(16)10
Avg EPS beat(16)-123.63%
Revenue beat(2)0
Avg Revenue beat(2)-1.78%
Min Revenue beat(2)-3.4%
Max Revenue beat(2)-0.16%
Revenue beat(4)2
Avg Revenue beat(4)-0.18%
Min Revenue beat(4)-3.4%
Max Revenue beat(4)1.54%
Revenue beat(8)6
Avg Revenue beat(8)1.13%
Revenue beat(12)9
Avg Revenue beat(12)1.34%
Revenue beat(16)12
Avg Revenue beat(16)1.07%
PT rev (1m)-7.28%
PT rev (3m)-2.74%
EPS NQ rev (1m)0%
EPS NQ rev (3m)-2.66%
EPS NY rev (1m)0%
EPS NY rev (3m)-3.44%
Revenue NQ rev (1m)0%
Revenue NQ rev (3m)2.09%
Revenue NY rev (1m)-0.26%
Revenue NY rev (3m)0.85%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 46.58 | ||
| Fwd PE | 32.54 | ||
| P/S | 9.24 | ||
| P/FCF | 42.77 | ||
| P/OCF | 41.49 | ||
| P/B | 16.49 | ||
| P/tB | 24.94 | ||
| EV/EBITDA | 45.77 |
EPS(TTM)4.54
EY2.15%
EPS(NY)6.5
Fwd EY3.07%
FCF(TTM)4.94
FCFY2.34%
OCF(TTM)5.1
OCFY2.41%
SpS22.88
BVpS12.83
TBVpS8.48
PEG (NY)2.02
PEG (5Y)0.78
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 34.84% | ||
| ROE | 42.58% | ||
| ROCE | 26.74% | ||
| ROIC | 21.12% | ||
| ROICexc | 36.2% | ||
| ROICexgc | 77.05% | ||
| OM | 16.41% | ||
| PM (TTM) | 23.87% | ||
| GM | 63.99% | ||
| FCFM | 21.61% |
ROA(3y)5.12%
ROA(5y)11.25%
ROE(3y)4.85%
ROE(5y)14.06%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5Y55.49%
ROICexc growth 3YN/A
ROICexc growth 5Y60.78%
OM growth 3YN/A
OM growth 5Y41.53%
PM growth 3Y351.99%
PM growth 5Y12.62%
GM growth 3Y2.47%
GM growth 5Y1.35%
F-Score6
Asset Turnover1.46
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0 | ||
| Debt/FCF | 0 | ||
| Debt/EBITDA | 0 | ||
| Cap/Depr | 28.46% | ||
| Cap/Sales | 0.67% | ||
| Interest Coverage | 250 | ||
| Cash Conversion | 118.74% | ||
| Profit Quality | 90.54% | ||
| Current Ratio | 4.64 | ||
| Quick Ratio | 4.64 | ||
| Altman-Z | 47.03 |
F-Score6
WACC10.44%
ROIC/WACC2.02
Cap/Depr(3y)53.87%
Cap/Depr(5y)88.52%
Cap/Sales(3y)2.55%
Cap/Sales(5y)6.26%
Profit Quality(3y)N/A
Profit Quality(5y)N/A
High Growth Momentum
Growth
EPS 1Y (TTM)63.9%
EPS 3Y426.96%
EPS 5Y59.9%
EPS Q2Q%14.15%
EPS Next Y23.1%
EPS Next 2Y21.68%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue 1Y (TTM)22.73%
Revenue growth 3Y30.25%
Revenue growth 5Y25.41%
Sales Q2Q%16.15%
Revenue Next Year18.42%
Revenue Next 2Y17.54%
Revenue Next 3Y8.43%
Revenue Next 5YN/A
EBIT growth 1Y105.59%
EBIT growth 3YN/A
EBIT growth 5Y77.49%
EBIT Next Year30.3%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y1476.66%
FCF growth 3Y307.73%
FCF growth 5Y79.14%
OCF growth 1Y529.44%
OCF growth 3Y74.53%
OCF growth 5Y37.07%