AppLovin Corporation — Advertising Agencies. Scored on the same transparent 7-signal model behind the daily rankings.
★
APP
AppLovin Corporation · Advertising Agencies
FCF$4.4bB
Rev+70.0%A
D/E1.63C
P/E45.5xC
PEG1.49B
72.1Score
$520.43$174.8B
1Y Target$654.47Analyst consensus · 30 analysts
5Y Target$958.20Compound horizon
10Y Target$1,421Long-dated conviction
FCF$4.4bTTMB
FCF $4.4b — solid, comfortably covers operations and capital return
Rev+70.0%TTM YoYA
Revenue +70.0% — hypergrowth, top decile
D/E1.63C
D/E 1.63 — more levered than most Communication Services peers (≈90th pctile)
P/E45.5xC
P/E 45.5 — expensive vs Communication Services peers (≈90th pctile)
PEG1.49B
PEG 1.49 — acceptable premium for growth
Forward price target — the 1-year figure is the analyst consensus where the stock is covered; the 5- and 10-year figures compound our earnings estimate from there. The DCF below is a separate cross-check on intrinsic value (what it's worth today), not another target.
Quality-growth score · 72.1
Quality0.89
Growth0.98
Value0.43
Why this score
Durable high returns
Entry · Margin of safety
52-week rangeMid-range
30% off the 12-month high
vs DCF fair value193% aboveest. fair value ~$177
Quality signals · context only
Gross profitability71% · Agross profit ÷ total assets (Novy-Marx)
ROIC61.8% · Areturn on invested capital — not score-weighted
Why now
Advertising Agencies · market cap $174.8b. Down 30% from 52-week high of $745.61 — deep drawdown territory. Revenue growing +70% — in hypergrowth territory. 30 sell-side analysts rate this a Strong Buy with a mean 1-yr target of $654.47 (implying +26% upside).
Moat
Net margin 64% is exceptional — pricing-power territory rare outside premium software, branded staples, and specialty pharma. FCF converts 112% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined. $174.8b market cap gives the company enough scale to absorb fixed costs that subscale competitors can't, without yet being so large that growth has to come from acquisition.
Risk
Down 30% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 2.48 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Trailing P/E 45x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Horizon
1-3 yr $654.47 (30-analyst consensus) — fundamentals + valuation re-rating. 5 yr $958.20 at ~13% CAGR — compounding case rests on the competitive position widening. 10 yr $1,421 if current growth sustains into durable earnings power.
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.
Position sizing · APP
$
%
%
Shares to buy
3
Position size
$1,561
3.1% of portfolio
Stop price
$390.32
25% below $520.43
$ at risk if stopped
$390.32
budget $500.00 · 1% of portfolio
Math only — share count is floor(portfolio × risk% ÷ (price × stop%)). Doesn't account for commissions, slippage, gap risk, or position-correlation across your book. Inputs persist locally; never sent to the server. Not investment advice.
AppLovin Corporation (APP) is a Advertising Agencies company that scores 72.1 out of 100 on the Bull Rankings quality-growth model — a solid, above-average reading. The score blends three pillars — quality (durable returns, healthy margins, low leverage), growth (revenue and earnings), and value (valuation versus sector peers) — into one number, refreshed daily; it is a screen, not a buy recommendation.
Its strongest graded signals are Rev (A). On valuation, APP sits about 193% above our discounted-cash-flow fair value (i.e. the DCF flags it as rich).
Is APP a good stock to buy?
Bull Rankings scores APP 72.1 out of 100 on its quality-growth model, which is a solid, above-average reading. That is driven by Rev (A). A score is a quantitative screen of AppLovin Corporation's fundamentals, not personalised financial advice — weigh it against your own time horizon and risk tolerance, and read the risk factors below before acting.
Why does APP score 72.1 on Bull Rankings?
The quality-growth score blends three pillars — quality (returns on capital, margins, leverage, earnings quality), growth (revenue and earnings expansion), and value (valuation versus sector peers). APP earns its highest marks on Rev (A). Each pillar is graded against sector-aware thresholds, then combined into the single 0–100 score.
Is APP overvalued or undervalued?
Based on $520.43, APP sits about 193% above our discounted-cash-flow fair value (i.e. the DCF flags it as rich). It trades at a 45.5x× P/E (graded C). Discounted-cash-flow estimates are sensitive to growth and discount-rate assumptions, so treat this as a cross-check, not a price target.
What are the main risks of investing in APP?
Down 30% from the 52-week high — the market is pricing in something the screen can't see; verify the bear case before sizing up. Beta 2.48 implies above-market volatility — position-size to the drawdowns this name will produce in a market correction, not to its bull-case return. Trailing P/E 45x sits well above the S&P median (~20x) — multiple compression is a real risk if revenue growth decelerates.
Bull Rankings is an automated fundamentals screen for research and education. It is not investment advice, and nothing here is a recommendation to buy or sell any security. Do your own research and consider consulting a licensed financial adviser.