Applovin Corp
APP
Services-Computer Programming, Data Processing, Etc.
Mkt Cap
$12.89BPE
123.98Debt
$3.127BCash
$332.5MEV
$15.69BFCF
$876.7MP/E Ratio
123.98Debt
$3.127BCash
$332.5MEV
$15.69BFCF
$876.7MAppLovin Corporation engages in building a software-based platform for mobile app developers to enhance the marketing and monetization of their apps in the United States and internationally. The company's software solutions include AppDiscovery, a marketing software solution, which matches advertiser demand with publisher supply through auctions; Adjust, an analytics platform that helps marketers grow their mobile apps with solutions for measuring, optimizing campaigns, and protecting user data; MAX, an in-app bidding software that optimizes the value of an app's advertising inventory by running a real-time competitive auction; and Wurl, a connected TV platform, which primarily distributes streaming video for content companies. Its business clients include various advertisers, internet platforms, and others. The company was incorporated in 2011 and is headquartered in Palo Alto, California.
DCF
Discounted Cash Flow Valuation of Applovin Corp
Value
Growth
%
%
Discount
%
%
Multiple
| g\r | +10% | +11% | +12% | +13% | +14% |
|---|---|---|---|---|---|
| 0% | 10 | 9 | 8 | 8 | 7 |
| +1% | 11 | 10 | 9 | 8 | 8 |
| +2% | 13 | 11 | 10 | 9 | 8 |
| +3% | 14 | 13 | 11 | 10 | 9 |
| +4% | 17 | 14 | 12 | 11 | 10 |
| Years | 0 | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | TV |
|---|---|---|---|---|---|---|---|---|---|---|---|---|
| FCF | $876.7M | $1.14B | $1.45B | $1.804B | $2.195B | $2.61B | $3.03B | $3.435B | $3.797B | $4.092B | $4.297B | $42.97B |
| DCF | $991M | $1.096B | $1.186B | $1.255B | $1.298B | $1.31B | $1.291B | $1.241B | $1.163B | $1.062B | $10.62B | |
| Value | $22.52B | |||||||||||
In the chart Earnings are multiplied by this value.
Earnings Growth 39%
Earnings Stability -110%
Competitiveness and MOAT
High margins render the company resilient under dire circumstances, hence able to drive competitors out or acquire them. ROE and ROA measure the average flow generated by each invested dollar. Their marginal value is a forecast of future growth, and it is considered by Buffett and Munger the most important single indicator.
| Years | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM |
|---|---|---|---|---|---|
| Net Margin | 7.7% | -8.7% | 1.1% | -6.8% | 3.4% |
| ROA | - | -2.9% | 2.4% | -0.82% | 7.1% |
| ROE | -30% | 79% | 1.5% | -10% | 9.5% |
What is the average Net Margin?
The average Net Margin over the past 5 years is -2.86%.
What is the trend of Net Margin?
The trend of Net Margin over the past 5 years is -7.98%.
What is the average Return on Assets (ROA)?
The average ROA over the past 5 years is +0.81%.
What is the trend of Return on Assets (ROA)?
The trend of ROA over the past 5 years is -3.25%.
What is the average Return on Equity (ROE)?
The average ROE over the past 5 years is -4.33%.
What is the trend of Return on Equity (ROE)?
The trend of ROE over the past 5 years is -11.62%.
Safety & Stabiliy
Being debt the number one cause of investment losses and company death, the ratio Debt/FCF is of utmost importance to guarantee safety. On the other hand the Graham’s stability measures the drawdown of earnings, hence indicating the reliability of the flow generated by the company.
| Years | 12-2019 | 12-2020 | 12-2021 | 12-2022 | TTM | |||||
|---|---|---|---|---|---|---|---|---|---|---|
| Debt FCF | - | 7.28 | 9.03 | 7.87 | 3.57 | |||||
| Debt Equity | - | -10.09 | 1.52 | 1.71 | 2.85 | |||||
| MIN | ||||||||||
| Graham Stability | - | - | - | - | - | |||||
What is the Debt/FCF?
The Debt/FCF trailing twelve month is 3.57.
What is the trend of Debt/FCF?
The trend of Debt/FCF over the past 5 years is -1.15.
What is the Graham’s Stability?
Graham’s Stability measure stands at -.
Growth
Growth can be dangerous when forecasting, simply projecting the current growth is in general wrong. A company passes through multiple phases, from being young and unprofitable, to the first periods of profitability and high growth, until it arrives at a period of regime with limited growth. Identifying in which phase the company is in may help forecasting.
| Years | 12-2019 | 12-2021 | Trend |
|---|---|---|---|
| Revenue | 42% | 0.86% | -23% |
| Net Income | - | - | - |
| Stockholders Equity | - | -11% | - |
| FCF | 28% | 14% | 0.88% |
What is the 5 year Revenue CAGR?
The Revenue CAGR over the past 5 years is -.
What is the trend of Revenue growth?
The trend of Revenue growth rate over the past 5 years is -22.56%.
What is the 5 year Earnings CAGR?
The Earnings CAGR over the past 5 years is -.
What is the trend of Earnings growth?
The trend of Earnings growth rate over the past 5 years is -.
What is the 5 year Equity CAGR?
The Equity CAGR over the past 5 years is -.
What is the trend of Equity growth?
The trend of Equity growth rate over the past 5 years is -.
What is the 5 year FCF CAGR?
The FCF CAGR over the past 5 years is -.
What is the trend of FCF growth?
The trend of FCF growth rate over the past 5 years is +0.88%.