461.79 USD
-21.21 (-4.39%)
At close: Feb 3, 2026
463 USD
+1.21 (+0.26%)
Pre-Market: 2/4/2026, 5:47:45 AM
APP gets a fundamental rating of 7 out of 10. The analysis compared the fundamentals against 278 industry peers in the Software industry. Both the health and profitability get an excellent rating, making APP a very profitable company, without any liquidiy or solvency issues. APP is not overvalued while it is showing excellent growth. This is an interesting combination. These ratings could make APP a good candidate for growth and quality investing.
1. Profitability
1.1 Basic Checks
- In the past year APP was profitable.
- In the past year APP had a positive cash flow from operations.
- In multiple years APP reported negative net income over the last 5 years.
- APP had a positive operating cash flow in each of the past 5 years.
1.2 Ratios
- APP's Return On Assets of 44.61% is amongst the best of the industry. APP outperforms 99.28% of its industry peers.
- Looking at the Return On Equity, with a value of 191.99%, APP belongs to the top of the industry, outperforming 99.64% of the companies in the same industry.
- APP's Return On Invested Capital of 52.42% is amongst the best of the industry. APP outperforms 98.92% of its industry peers.
- The Average Return On Invested Capital over the past 3 years for APP is above the industry average of 10.74%.
- 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
- APP has a better Profit Margin (51.26%) than 93.53% of its industry peers.
- In the last couple of years the Profit Margin of APP has grown nicely.
- APP has a Operating Margin of 63.35%. This is amongst the best in the industry. APP outperforms 97.84% of its industry peers.
- APP's Operating Margin has improved in the last couple of years.
- APP's Gross Margin of 83.31% is amongst the best of the industry. APP outperforms 88.85% of its industry peers.
- 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
- The Return on Invested Capital (ROIC) is well above the Cost of Capital (WACC), so APP is creating value.
- The number of shares outstanding for APP remains at a similar level compared to 1 year ago.
- APP has less shares outstanding than it did 5 years ago.
- APP has a better debt/assets ratio than last year.
2.2 Solvency
- APP has an Altman-Z score of 22.61. This indicates that APP is financially healthy and has little risk of bankruptcy at the moment.
- The Altman-Z score of APP (22.61) is better than 97.84% 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.
- APP has a better Debt to FCF ratio (1.03) than 74.46% of its industry peers.
- A Debt/Equity ratio of 2.38 is on the high side and indicates that APP has dependencies on debt financing.
- With a Debt to Equity ratio value of 2.38, APP is not doing good in the industry: 83.45% of the companies in the same industry are doing better.
- Although APP 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 | 22.61 |
ROIC/WACC4.69
WACC11.17%
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.
- APP has a Current ratio of 3.25. This is in the better half of the industry: APP outperforms 76.62% of its industry peers.
- APP has a Quick Ratio of 3.25. This indicates that APP is financially healthy and has no problem in meeting its short term obligations.
- APP has a better Quick ratio (3.25) than 76.62% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | 3.25 | ||
| Quick Ratio | 3.25 |
3. Growth
3.1 Past
- APP shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 166.36%, which is quite impressive.
- Measured over the past years, APP shows a very strong growth in Earnings Per Share. The EPS has been growing by 84.83% on average per year.
- APP shows a strong growth in Revenue. In the last year, the Revenue has grown by 40.81%.
- Measured over the past years, APP shows a very strong growth in Revenue. The Revenue has been growing by 36.49% on average per year.
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
- APP is expected to show a strong growth in Revenue. In the coming years, the Revenue will grow by 27.22% yearly.
EPS Next Y107.83%
EPS Next 2Y80.05%
EPS Next 3Y62.52%
EPS Next 5Y44.45%
Revenue Next Year24.01%
Revenue Next 2Y30.35%
Revenue Next 3Y29.22%
Revenue Next 5Y27.22%
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.
- 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
- With a Price/Earnings ratio of 52.54, APP can be considered very expensive at the moment.
- Compared to the rest of the industry, the Price/Earnings ratio of APP is on the same level as its industry peers.
- Compared to an average S&P500 Price/Earnings ratio of 28.18, APP is valued quite expensively.
- The Price/Forward Earnings ratio is 31.38, which means the current valuation is very expensive for APP.
- APP's Price/Forward Earnings ratio is in line with the industry average.
- When comparing the Price/Forward Earnings ratio of APP to the average of the S&P500 Index (25.51), we can say APP is valued slightly more expensively.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.54 | ||
| Fwd PE | 31.38 |
4.2 Price Multiples
- Compared to the rest of the industry, the Enterprise Value to EBITDA ratio of APP indicates a somewhat cheap valuation: APP is cheaper than 60.07% of the companies listed in the same industry.
- The rest of the industry has a similar Price/Free Cash Flow ratio as APP.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 45.93 | ||
| EV/EBITDA | 41.7 |
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.
- APP has an outstanding profitability rating, which may justify a higher PE ratio.
- APP's earnings are expected to grow with 62.52% in the coming years. This may justify a more expensive valuation.
PEG (NY)0.49
PEG (5Y)0.62
EPS Next 2Y80.05%
EPS Next 3Y62.52%
5. Dividend
5.1 Amount
- No dividends for APP!.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 0% |
461.79
-21.21 (-4.39%)
Chartmill FA Rating
GICS SectorInformation Technology
GICS IndustryGroupSoftware & Services
GICS IndustrySoftware
Earnings (Last)11-05 2025-11-05/amc
Earnings (Next)02-11 2026-02-11/amc
Inst Owners77.68%
Inst Owner Change-1.7%
Ins Owners4.65%
Ins Owner Change-0.4%
Market Cap156.06B
Revenue(TTM)5.52B
Net Income(TTM)2.83B
Analysts81.21
Price Target748.1 (62%)
Short Float %5.81%
Short Ratio3.27
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)1.01%
PT rev (3m)12.18%
EPS NQ rev (1m)-0.04%
EPS NQ rev (3m)2.34%
EPS NY rev (1m)0.14%
EPS NY rev (3m)5.94%
Revenue NQ rev (1m)0.12%
Revenue NQ rev (3m)2.86%
Revenue NY rev (1m)0.07%
Revenue NY rev (3m)1.5%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 52.54 | ||
| Fwd PE | 31.38 | ||
| P/S | 28.27 | ||
| P/FCF | 45.93 | ||
| P/OCF | 45.86 | ||
| P/B | 105.88 | ||
| P/tB | N/A | ||
| EV/EBITDA | 41.7 |
EPS(TTM)8.79
EY1.9%
EPS(NY)14.72
Fwd EY3.19%
FCF(TTM)10.05
FCFY2.18%
OCF(TTM)10.07
OCFY2.18%
SpS16.34
BVpS4.36
TBVpS-1.45
PEG (NY)0.49
PEG (5Y)0.62
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 | 22.61 |
F-Score9
WACC11.17%
ROIC/WACC4.69
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 Y107.83%
EPS Next 2Y80.05%
EPS Next 3Y62.52%
EPS Next 5Y44.45%
Revenue 1Y (TTM)40.81%
Revenue growth 3Y19.02%
Revenue growth 5Y36.49%
Sales Q2Q%17.26%
Revenue Next Year24.01%
Revenue Next 2Y30.35%
Revenue Next 3Y29.22%
Revenue Next 5Y27.22%
EBIT growth 1Y128.8%
EBIT growth 3Y132.01%
EBIT growth 5Y57.33%
EBIT Next Year144.96%
EBIT Next 3Y65.2%
EBIT Next 5Y49.6%
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
Can you provide the ChartMill fundamental rating for APPLOVIN CORP-CLASS A?
ChartMill assigns a fundamental rating of 7 / 10 to APP.
What is the valuation status of APPLOVIN CORP-CLASS A (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.
Can you provide the financial health for APP stock?
The financial health rating of APPLOVIN CORP-CLASS A (APP) is 8 / 10.
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 107.83% in the next year.