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AppLovin
S&P 500 Nasdaq 100
$104.4B
Market Cap
68.3
P/E
0.94
PEG
99.3%
ROCE
212.9%
ROE
1.72
D/E
75.8%
OPM
-58.0%
% from 52W High
11
α RS
🔍 APP is showing a high-conviction setup because it matches 20 of 39 tracked screener presets, Sector RRG has Communication Services in the Leading quadrant with the trail still rolling over, and an ECS of 84.3 last quarter. Net: Broad signal stack, not a recommendation. ? Conviction RRG ECS
Sources
Conviction 20/39 · Communication Services in Leading quadrant · ECS 84.3
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🌏 Global Investor Returns
Currency-adjusted total returns for APP including FX impact
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📈 Price History
Ratio Health
Excellent
Good
Average
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By Category
📊 Sector Averages
About

AppLovin Corporation provides end-to-end artificial intelligence-powered advertising solutions for businesses in the United States and internationally. It operates through two segments, Advertising and Apps. The company offers Axon Ads Manager, a suite of marketing solutions that enables developers to automate, optimize, and manage marketing efforts; MAX, an in-app bidding technology that optimizes the value of a publisher’s advertising inventory by running a real-time competitive auction; Adjust, a measurement and analytics marketing platform; and Wurl, a connected TV platform, which distributes streaming video for content companies, provides advertising and publishing solutions. It serves individuals, small and independent businesses, enterprises, advertisers and advertising networks, mobile app publishers, and indie studio developers. The company was incorporated in 2011 and is headquartered in Palo Alto, California.

Key Ratios Snapshot
📈 Growth Pattern
📊 Quick Scorecard
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⭐ Superinvestors Holding APP
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Manager Shares Value % of Fund Period
Tiger Global Management Tiger Global Management LLC 1.00M $398.0M 1.74% Mar 2026
Jim Simons Renaissance Technologies LLC 436.5K $173.7M 0.27% Mar 2026

SEC Form 13F data. 45-day lag from quarter end.

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🎙 Management Tone Mixed ↓ Deteriorating 5 quarters Full tone analysis in Intelligence →
Mixed quarter Investor Presentation One-Pager? Q2 2026
Revenue
$1.92B
+53% YoY
Adjusted EBITDA
$1.61B
+58% YoY
Net Income
$1.27B
+55% YoY
Free Cash Flow
$863M
N/A
What Went Right
  • Revenue reached $1.924B, up 53% YoY, with Adjusted EBITDA up 58% to $1.614B.
  • Consumer advertiser spend set another record, finishing 28% above Q4 2025 peak-season levels.
  • SEC concluded its inquiry with no recommended action, removing an overhang.
What to Watch
  • Q2 revenue and Adjusted EBITDA landed just below guidance due to lighter-than-normal model improvement during the quarter.
  • Compute/training costs increased, with sequential Adjusted EBITDA flow-through at 70% and higher compute costs embedded in Q3 guidance.
  • Consumer business remains dependent on creative tools and is deliberately focused on mid-market advertisers, so long-tail onboarding is still a work in progress.
Management Guidance
  • Q3 2026 revenue guided to $2.055B-$2.085B, representing 46%-48% YoY growth and 7%-8% sequential growth.
  • Q3 2026 Adjusted EBITDA guided to $1.71B-$1.74B, with Adjusted EBITDA margin of approximately 83%.
  • Guidance assumes live model improvements, continued consumer scaling, normal seasonality, and higher training/compute costs; it does not assume additional model releases not yet deployed.
  • Full-year free cash flow conversion expected to normalize to roughly 75% of Adjusted EBITDA.
Investor Lens
The core long-term thesis remains broadly intact, but this quarter was a clear execution/timing miss. Management attributed it to model improvement timing rather than demand, and Q3 guidance points to re-acceleration. Consumer momentum and the SEC closure are positives, while rising compute costs and lumpy model uplift cadence are new variables to watch.
From investor presentation · AI-generated analysis · Not investment advice
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📊 MIXED Revenue +53%, but Q2 missed guidance; Q3 guides 7–8% sequential growth
Revenue
Revenue was $1.924B, up 53% YoY and 4% sequentially, just below the midpoint of guidance. Gaming remains the majority of revenue, with MAX publisher earnings growing double digits QoQ. Consumer advertiser spend set another record, finishing 28% above Q4 2025 levels.
Profitability
Net income was $1.267B, up 55% YoY, with diluted EPS of $3.76. Adjusted EBITDA was $1.614B, up 58% YoY, but landed just below the guided range.
Margins
Adjusted EBITDA margin was approximately 84%, expanding roughly 300 basis points YoY. Sequential flow-through to Adjusted EBITDA was 70%, with higher compute associated with training existing models and new model development as the primary cost driver.
Balance Sheet
Cash ended at $3.05B against $3.7B of total debt, with net leverage of approximately 0.1x trailing 12-month Adjusted EBITDA. Free cash flow was $863M, below normal cadence due to timing of international cash tax and interest payments. The company repurchased and withheld about 1.14 million shares for $551M, leaving $1.8B under authorization.
Key Risks
Model improvement timing is inherently lumpy; Q2 lacked the usual uplift and the next step landed just after quarter-end. Higher compute and training costs are now embedded in guidance and could create margin variability. Consumer growth is still constrained by creative tooling and a deliberate mid-market focus, delaying long-tail advertiser onboarding.
Outlook
Q3 revenue is guided to $2.055B-$2.085B and Adjusted EBITDA to $1.71B-$1.74B, implying an approximately 83% margin. The guidance reflects live model improvements, continued consumer scaling, normal seasonality, and higher compute costs, but no model releases that are not yet deployed.
Generated by AI · Q2 2026 results · Not investment advice
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✓ 📞 Earnings Call Transcripts (5 quarters) submit a missing quarter
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📞 Earnings Call Transcripts (5)
Q2 2026 Q2 2026 2026-08-05
Revenue grew 53% year-over-year to $1.92 billion, with Adjusted EBITDA up 58% and margins expanding. Q2 results were just below guidance due to slower model improvements, but Q3 is off to a strong start with new releases and continued momentum in both gaming and consumer segments.
Q1 2026 Q1 2026 2026-05-06
Q1 saw 59% revenue growth and 66% adjusted EBITDA growth, with margins at a record 85%. The gaming segment remains strong, while the consumer vertical is accelerating rapidly. Platform opens to public in June, with robust guidance for Q2 and continued capital returns.
Q4 2025 Q4 2025 2026-02-11
Record Q4 and 2025 results featured 66% revenue growth and 84% adjusted EBITDA margin, driven by AI-powered models and strong execution in gaming and e-commerce. Guidance for Q1 2026 anticipates 5%-7% sequential revenue growth, with continued investment in generative AI and marketing.
Q3 2025 Q3 2025 2025-11-05
Q3 delivered strong revenue and EBITDA growth, driven by gaming and early e-commerce momentum. The self-service platform launch saw rapid advertiser spend increases, and guidance for Q4 anticipates continued double-digit sequential growth.
Q2 2025 Q2 2025 2025-08-06
Q2 2025 saw 77% revenue growth and 81% Adjusted EBITDA margin, driven by gaming ads. The Axon Ads Manager self-serve platform launches in Q4, with e-commerce and international expansion expected to accelerate growth. Cash position strengthened by the apps business sale.
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Financial Model
Projections are built from each company's audited annual financials (Income Statement, Balance Sheet, Cash Flow) over the last 5 fiscal years. Forward assumptions — revenue growth %, EBITDA margin, D&A (USD millions), interest expense, tax rate, and capex — are AI-generated using historical context and refreshed twice a year: after the December results season and after the September/Q4 results season.

DCF Valuation
Fair Value = Σ(FCFt / (1+WACC)t) + Terminal Value. Terminal Value uses the Gordon Growth Model: FCF5 × (1+g) / (WACC−g). Default WACC: 10% (US risk-free ~4.5%, equity risk premium ~5.5%). Default terminal growth: 3% (long-run US nominal GDP proxy).

CAGR Tracker
Expected 5-year CAGR = (DCF Fair Value / Current Price)1/5 − 1. Assumes fair value is reached in exactly 5 years — a mechanical estimate only.

Data Sources & Limitations
Financial statements sourced from public filings. Prices updated daily. Forward assumptions are AI-generated. All monetary values in USD millions. Non-US ADR companies may have currency conversion inaccuracies. Models are point-in-time and do not update intra-quarter or account for M&A, macro shocks, or extraordinary items.

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