AppLovin Corporation (APP) Financial Ratios
8 years of historical data (2018–2025) · Technology · Software - Application
EV/EBITDA
↓
36.51
-3% vs avg
5yr avg: 37.80
30Y Low12.2·High58.7
P/FCF
↓
39.98
↓-11% vs avg
5yr avg: 45.00
30Y Low9.5·High89.6
P/B Ratio
↑
75.11
↑+56% vs avg
5yr avg: 47.99
30Y Low2.1·High107.9
ROE
↑
206.8%
↓+189% vs avg
5yr avg: 71.6%
30Y Low-10%·High207%
Debt/EBITDA
↓
0.82
↓-77% vs avg
5yr avg: 3.49
30Y Low0.8·High8.8
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
APP Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
AppLovin Corporation trades at 48.1x earnings, 84% below its 5-year average of 298.7x, sitting at the 33rd percentile of its historical range. Compared to the Technology sector median P/E of 27.5x, the stock trades at a premium of 75%. On a free-cash-flow basis, the stock trades at 40.0x P/FCF, 11% below the 5-year average of 45.0x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $157.6B | $230.4B | $112.6B | $14.4B | $3.9B | $32.3B | — | — | — |
| Enterprise Value | $158.7B | $231.5B | $115.4B | $17.1B | $6.1B | $34.1B | — | — | — |
| P/E Ratio → | 48.09 | 69.11 | 71.49 | 40.66 | — | 1013.55 | — | — | — |
| P/S Ratio | 28.76 | 42.04 | 23.92 | 4.40 | 1.39 | 11.57 | — | — | — |
| P/B Ratio | 75.11 | 107.94 | 103.35 | 11.50 | 2.06 | 15.11 | — | — | — |
| P/FCF | 39.98 | 58.44 | 53.78 | 13.67 | 9.49 | 89.63 | — | — | — |
| P/OCF | 39.70 | 58.03 | 53.66 | 13.61 | 9.48 | 89.29 | — | — | — |
P/E links to full P/E history page with 30-year chart
APP EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
AppLovin Corporation's enterprise value stands at 36.5x EBITDA, roughly in line with its 5-year average of 37.8x. The Technology sector median is 17.4x, placing the stock at a 110% premium on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 42.24 | 24.51 | 5.22 | 2.17 | 12.22 | — | — | — |
| EV / EBITDA | 36.51 | 53.26 | 49.72 | 15.06 | 12.24 | 58.72 | — | — | — |
| EV / EBIT | 38.23 | 55.65 | 60.94 | 26.09 | — | 228.25 | — | — | — |
| EV / FCF | — | 58.71 | 55.13 | 16.20 | 14.83 | 94.65 | — | — | — |
APP Profitability
Margins and return-on-capital ratios measuring operating efficiency
AppLovin Corporation earns an operating margin of 75.8%. Operating margins have expanded from 19.7% to 75.8% over the past 3 years, signaling improving operational efficiency. Return on equity of 206.8% is exceptionally high, though this is partly amplified by negative book value driven by aggressive share buybacks. ROIC of 87.8% represents excellent returns on invested capital.
Margins
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 87.9% | 87.9% | 75.2% | 67.7% | 55.4% | 64.6% | 61.7% | 75.7% | 88.9% |
| Operating Margin | 75.8% | 75.8% | 39.8% | 19.7% | -1.7% | 5.4% | -4.3% | 19.6% | 50.2% |
| Net Profit Margin | 60.8% | 60.8% | 33.5% | 10.9% | -6.8% | 1.3% | -8.6% | 12.0% | -53.8% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| ROE | 206.8% | 206.8% | 134.7% | 22.6% | -9.5% | 3.6% | — | — | — |
| ROA | 50.8% | 50.8% | 28.1% | 6.4% | -3.2% | 0.9% | -7.5% | 13.7% | -48.4% |
| ROIC | 87.8% | 87.8% | 35.9% | 12.1% | -0.9% | 4.4% | -5.3% | 42.6% | 128.4% |
| ROCE | 77.3% | 77.3% | 40.6% | 13.4% | -0.9% | 4.2% | -4.9% | 28.0% | 57.3% |
APP Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
AppLovin Corporation carries a Debt/EBITDA ratio of 0.8x, which is very conservative (72% below the sector average of 2.9x). Net debt stands at $1.1B ($3.5B total debt minus $2.5B cash). Interest coverage of 20.1x signals virtually no risk of debt distress — earnings comfortably cover interest obligations.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 1.66 | 1.66 | 3.26 | 2.53 | 1.72 | 1.56 | — | — | — |
| Debt / EBITDA | 0.82 | 0.82 | 1.53 | 2.79 | 6.57 | 5.73 | 8.79 | 4.16 | 3.08 |
| Net Debt / Equity | — | 0.50 | 2.58 | 2.13 | 1.16 | 0.85 | — | — | — |
| Net Debt / EBITDA | 0.24 | 0.24 | 1.21 | 2.35 | 4.41 | 3.11 | 7.15 | 2.78 | 2.01 |
| Debt / FCF | — | 0.27 | 1.34 | 2.53 | 5.34 | 5.02 | 6.28 | 4.10 | 3.78 |
| Interest Coverage | 20.09 | 20.09 | 5.95 | 2.38 | -0.19 | 1.45 | -0.74 | 2.71 | — |
APP Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
AppLovin Corporation's current ratio of 3.32x is well above the 1.0 safety threshold, indicating strong short-term liquidity with ample room to cover current liabilities. The current ratio has improved from 1.71x to 3.32x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 3.32 | 3.32 | 2.19 | 1.71 | 3.35 | 5.05 | 1.11 | 2.45 | 3.58 |
| Quick Ratio | 3.32 | 3.32 | 2.19 | 1.71 | 3.35 | 5.05 | 1.11 | 2.45 | 3.58 |
| Cash Ratio | 1.86 | 1.86 | 0.70 | 0.53 | 1.87 | 2.38 | 0.53 | 1.66 | 2.42 |
| Asset Turnover | — | 0.75 | 0.80 | 0.61 | 0.48 | 0.45 | 0.67 | 0.83 | 0.90 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | 121.16 | 109.61 | 106.04 | 91.06 | 67.24 | 74.70 | 59.24 | 92.47 |
APP Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
AppLovin Corporation returns 1.4% to shareholders annually primarily through share buybacks. The earnings yield of 2.1% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | — | — | — | — | — | — | — | — | — |
| Payout Ratio | — | — | — | — | — | — | — | — | — |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 |
|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 2.1% | 1.4% | 1.4% | 2.5% | — | 0.1% | — | — | — |
| FCF Yield | 2.5% | 1.7% | 1.9% | 7.3% | 10.5% | 1.1% | — | — | — |
| Buyback Yield | 1.4% | 1.0% | 0.9% | 8.0% | 8.7% | 0.0% | — | — | — |
| Total Shareholder Yield | 1.4% | 1.0% | 0.9% | 8.0% | 8.7% | 0.0% | — | — | — |
| Shares Outstanding | — | $342M | $348M | $363M | $372M | $343M | $215M | $212M | $190M |
Peer Comparison
Compare APP with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 APPYou | $158B | 48.1 | 36.5 | 40.0 | 87.9% | 75.8% | 206.8% | 87.8% | 0.8 |
 MGNI | $2B | 14.1 | 10.8 | 11.6 | 62.7% | 13.7% | 17.1% | 9.5% | 1.8 |
 IAS | $2B | 45.0 | 13.7 | 22.4 | 78.5% | 11.4% | 3.9% | 4.6% | 0.5 |
 DV | $2B | 37.2 | 12.1 | 10.5 | 82.2% | 10.6% | 4.6% | 6.4% | 0.7 |
 TTD | $11B | 26.4 | 15.9 | 14.3 | 78.6% | 20.3% | 16.3% | 21.3% | 0.6 |
 PUBM | $477M | -32.7 | — | 7.1 | 63.6% | -6.1% | -5.4% | -6.8% | — |
 CRTO | $811M | 6.0 | 1.9 | 3.9 | 54.0% | 10.4% | 12.8% | 16.1% | 0.5 |
 GDEV | $295M | 11.8 | 4.0 | 10.5 | 66.3% | 9.6% | — | — | 0.0 |
 MTCH | $9B | 16.0 | 12.0 | 8.6 | 72.8% | 25.0% | — | 23.7% | 4.1 |
 BMBL | $378M | -0.5 | 2.8 | 1.6 | 68.3% | 26.3% | -69.6% | 13.4% | 2.1 |
 SNAP | $10B | -22.7 | — | 23.7 | 55.0% | -9.0% | -19.5% | -6.9% | — |
| Technology Median | — | 27.5 | 17.4 | 19.8 | 48.6% | -0.5% | 2.4% | 2.9% | 2.9 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
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Quick answers to the most common questions about buying APP stock.
What is AppLovin Corporation's P/E ratio?
AppLovin Corporation's current P/E ratio is 48.1x. The historical average is 60.4x. This places it at the 33th percentile of its historical range.
What is AppLovin Corporation's EV/EBITDA?
AppLovin Corporation's current EV/EBITDA is 36.5x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 37.8x.
What is AppLovin Corporation's ROE?
AppLovin Corporation's return on equity (ROE) is 206.8%. This is above the typical threshold of 15-20% considered good for most companies. The historical average is 71.6%.
Is APP stock overvalued?
Based on historical data, AppLovin Corporation is trading at a P/E of 48.1x. This is at the 33th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What are AppLovin Corporation's profit margins?
AppLovin Corporation has 87.9% gross margin and 75.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does AppLovin Corporation have?
AppLovin Corporation's Debt/EBITDA ratio is 0.8x, indicating low leverage. A ratio below 2x is generally considered financially healthy.