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 284 industry peers in the Software industry. APPF scores excellent points on both the profitability and health parts. This is a solid base for a good stock. APPF shows excellent growth, but is valued quite expensive already. This makes APPF very considerable 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.
Of the past 5 years APPF 4 years were profitable.
In the past 5 years APPF always reported a positive cash flow from operatings.
1.2 Ratios
Looking at the Return On Assets, with a value of 34.84%, APPF belongs to the top of the industry, outperforming 99.30% of the companies in the same industry.
With an excellent Return On Equity value of 42.58%, APPF belongs to the best of the industry, outperforming 94.72% of the companies in the same industry.
Looking at the Return On Invested Capital, with a value of 21.12%, APPF belongs to the top of the industry, outperforming 94.37% of the companies in the same industry.
| 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
Looking at the Profit Margin, with a value of 23.87%, APPF belongs to the top of the industry, outperforming 91.90% of the companies in the same industry.
APPF's Profit Margin has improved in the last couple of years.
With an excellent Operating Margin value of 16.41%, APPF belongs to the best of the industry, outperforming 84.15% of the companies in the same industry.
APPF's Operating Margin has improved in the last couple of years.
APPF has a Gross Margin (63.99%) which is comparable to the rest of the industry.
APPF's Gross Margin has been stable in the last couple of years.
| 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
The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so APPF is creating value.
APPF has more shares outstanding than it did 1 year ago.
The number of shares outstanding for APPF has been increased compared to 5 years ago.
APPF has no outstanding debt. Therefor its Debt/Equity and Debt/FCF ratios are 0 and belong to the best of the industry.
2.2 Solvency
An Altman-Z score of 49.98 indicates that APPF is not in any danger for bankruptcy at the moment.
APPF has a Altman-Z score of 49.98. This is amongst the best in the industry. APPF outperforms 97.89% 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 | 49.98 |
ROIC/WACC2.32
WACC9.1%
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.
Looking at the Current ratio, with a value of 4.64, APPF belongs to the top of the industry, outperforming 86.27% of the companies in the same industry.
A Quick Ratio of 4.64 indicates that APPF has no problem at all paying its short term obligations.
The Quick ratio of APPF (4.64) is better than 86.27% 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.
APPF shows a strong growth in Revenue. In the last year, the Revenue has grown by 22.73%.
APPF shows a strong growth in Revenue. Measured over the last years, the Revenue has been growing by 25.41% yearly.
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
APPF is expected to show quite a strong growth in Earnings Per Share. In the coming years, the EPS will grow by 19.19% yearly.
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 Y20.72%
EPS Next 2Y19.19%
EPS Next 3YN/A
EPS Next 5YN/A
Revenue Next Year17.67%
Revenue Next 2Y16.91%
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
The Price/Earnings ratio is 49.48, which means the current valuation is very expensive for APPF.
60.56% of the companies in the same industry are more expensive than APPF, based on the Price/Earnings ratio.
When comparing the Price/Earnings ratio of APPF to the average of the S&P500 Index (26.32), we can say APPF is valued expensively.
With a Price/Forward Earnings ratio of 36.02, APPF can be considered very expensive at the moment.
The rest of the industry has a similar Price/Forward Earnings ratio as APPF.
The average S&P500 Price/Forward Earnings ratio is at 22.19. APPF is valued rather expensively when compared to this.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.48 | ||
| Fwd PE | 36.02 |
4.2 Price Multiples
Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of APPF indicates a somewhat cheap valuation: APPF is cheaper than 66.20% of the companies listed in the same industry.
64.79% of the companies in the same industry are more expensive than APPF, based on the Price/Free Cash Flow ratio.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.43 | ||
| EV/EBITDA | 49.03 |
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 19.19% in the coming years. This may justify a more expensive valuation.
PEG (NY)2.39
PEG (5Y)0.83
EPS Next 2Y19.19%
EPS Next 3YN/A
5. Dividend
5.1 Amount
No dividends for APPF!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | N/A |
NASDAQ:APPF (6/18/2025, 10:16:10 AM)
224.65
+4.03 (+1.83%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)
Earnings (Next)
Inst Owners87.91%
Inst Owner Change4.76%
Ins Owners3.32%
Ins Owner Change4.36%
Market Cap8.09B
Analysts76.92
Price Target238.2 (6.03%)
Short Float %5.56%
Short Ratio3.86
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)-3.68%
Min EPS beat(2)-4.25%
Max EPS beat(2)-3.12%
EPS beat(4)2
Avg EPS beat(4)7.45%
Min EPS beat(4)-4.25%
Max EPS beat(4)22.46%
EPS beat(8)6
Avg EPS beat(8)24.86%
EPS beat(12)10
Avg EPS beat(12)55.91%
EPS beat(16)10
Avg EPS beat(16)-123.6%
Revenue beat(2)0
Avg Revenue beat(2)-1.67%
Min Revenue beat(2)-3.17%
Max Revenue beat(2)-0.16%
Revenue beat(4)2
Avg Revenue beat(4)-0.12%
Min Revenue beat(4)-3.17%
Max Revenue beat(4)1.54%
Revenue beat(8)6
Avg Revenue beat(8)1.16%
Revenue beat(12)9
Avg Revenue beat(12)1.36%
Revenue beat(16)12
Avg Revenue beat(16)1.08%
PT rev (1m)-3.83%
PT rev (3m)-13.32%
EPS NQ rev (1m)-2.2%
EPS NQ rev (3m)-5.34%
EPS NY rev (1m)0%
EPS NY rev (3m)-1.93%
Revenue NQ rev (1m)-0.17%
Revenue NQ rev (3m)-1.51%
Revenue NY rev (1m)-0.02%
Revenue NY rev (3m)-0.89%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 49.48 | ||
| Fwd PE | 36.02 | ||
| P/S | 9.82 | ||
| P/FCF | 45.43 | ||
| P/OCF | 44.07 | ||
| P/B | 17.52 | ||
| P/tB | 26.49 | ||
| EV/EBITDA | 49.03 |
EPS(TTM)4.54
EY2.02%
EPS(NY)6.24
Fwd EY2.78%
FCF(TTM)4.94
FCFY2.2%
OCF(TTM)5.1
OCFY2.27%
SpS22.88
BVpS12.83
TBVpS8.48
PEG (NY)2.39
PEG (5Y)0.83
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 | 49.98 |
F-Score6
WACC9.1%
ROIC/WACC2.32
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 Y20.72%
EPS Next 2Y19.19%
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 Year17.67%
Revenue Next 2Y16.91%
Revenue Next 3Y8.43%
Revenue Next 5YN/A
EBIT growth 1Y105.59%
EBIT growth 3YN/A
EBIT growth 5Y77.49%
EBIT Next Year25.33%
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%