AppLovin Corp. () Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Part of MojoOne Strategy

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

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Comparison

Company

Score

Quality

Valuation

Financial

Technical

Okta, Inc.

AppLovin Corp.

Dynatrace, Inc.

Manhattan Associates, Inc.

Aspen Technology, Inc.

Paycom Software, Inc.

Unity Software, Inc.

Bentley Systems, Inc.

Trimble, Inc.

Bill Holdings, Inc.

Snap, Inc.

Why is AppLovin Corp. ?

Healthy long term growth as Net Sales has grown by an annual rate of 37.05% and Operating profit at 90.72%

With a growth in Net Profit of 33.9%, the company declared Very Positive results in Jun 25

The company has declared positive results for the last 8 consecutive quarters
OPERATING CASH FLOW(Y) Highest at USD 2,855.64 MM
NET SALES(HY) At USD 2,742.77 MM has Grown at 28.27%
ROCE(HY) Highest at 240.3%

High Institutional Holdings at 71.84%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Consistent Returns over the last 3 years

Along with generating 73.98% returns in the last 1 year, the stock has outperformed S&P 500 in each of the last 3 annual periods

Real-Time Research Report

Verdict Report

How much should you buy?

Overall Portfolio exposure to AppLovin Corp. should be less than 10%
Overall Portfolio exposure to Software Products should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Software Products)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is AppLovin Corp. for you?

High Risk, High Return

Absolute

Risk Adjusted

Volatility

AppLovin Corp.

86.54%

7.27

81.35%

S&P 500

13.22%

0.61

20.17%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

37.05%

EBIT Growth (5y)

90.72%

EBIT to Interest (avg)

2.50

Debt to EBITDA (avg)

2.88

Net Debt to Equity (avg)

5.49

Sales to Capital Employed (avg)

0.87

Tax Ratio

0.33%

Dividend Payout Ratio

Pledged Shares

Institutional Holding

71.84%

ROCE (avg)

18.79%

ROE (avg)

89.83%

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

245.75

EV to EBIT

59.68

EV to EBITDA

50.94

EV to Capital Employed

38.71

EV to Sales

28.15

PEG Ratio

0.32

Dividend Yield

ROCE (Latest)

64.86%

ROE (Latest)

370.23%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Mildly Bullish

Moving Averages

Mildly Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bearish

Bullish

OBV

No Trend

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

31What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 2,855.64 MM

NET SALES(HY)

At USD 2,742.77 MM has Grown at 28.27%

ROCE(HY)

Highest at 240.3%

INTEREST COVERAGE RATIO(Q)

Highest at 1,965.54

OPERATING PROFIT(Q)

Highest at USD 1,010.47 MM

OPERATING PROFIT MARGIN(Q)

Highest at 80.28 %

PRE-TAX PROFIT(Q)

Highest at USD 889.73 MM

NET PROFIT(Q)

Highest at USD 776.65 MM

RAW MATERIAL COST(Y)

Fallen by -7.03% (YoY

EPS(Q)

Highest at USD 2.08

0What is not working for the Company

NO KEY NEGATIVE TRIGGERS

Here's what is working for AppLovin Corp.

Operating Cash Flow

Highest at USD 2,855.64 MM and Grown

In each year in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Interest Coverage Ratio

Highest at 1,965.54

in the last five periods

MOJO Watch

The company's ability to manage interest payments is improving

Operating Profit to Interest

Operating Profit

Highest at USD 1,010.47 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Operating Profit trend is quite positive

Operating Profit (USD MM)

Operating Profit Margin

Highest at 80.28 % and Grown

In each period in the last five periods

MOJO Watch

Company's profit margin has improved

Operating Profit to Sales

Pre-Tax Profit

Highest at USD 889.73 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Pre-Tax Profit trend is very positive

Pre-Tax Profit (USD MM)

Net Profit

Highest at USD 776.65 MM and Grown

In each period in the last five periods

MOJO Watch

Near term Net Profit trend is very positive

Net Profit (USD MM)

Net Sales

At USD 2,742.77 MM has Grown at 28.27%

Year on Year (YoY)

MOJO Watch

Near term sales trend is positive

Net Sales (USD MM)

Pre-Tax Profit

At USD 889.73 MM has Grown at 65.43%

over average net sales of the previous four periods of USD 537.84 MM

MOJO Watch

Near term Pre-Tax Profit trend is positive

Pre-Tax Profit (USD MM)

Net Profit

At USD 776.65 MM has Grown at 45.83%

over average net sales of the previous four periods of USD 532.59 MM

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

EPS

Highest at USD 2.08

in the last five periods

MOJO Watch

Increasing profitability; company has created higher earnings for shareholders

EPS (USD)

Raw Material Cost

Fallen by -7.03% (YoY)

MOJO Watch

The company's ability to pass on the cost of raw materials to customers has improved; this may lead to a rise in profit margin

Raw Material Cost as a percentage of Sales