AppLovin Corporation
APP Communication Services Advertising Agencies
In the quarter to June 2026, revenue grew 52.8%, EPS grew 55.8%, free cash flow grew 12.5% and total debt was flat, each against the same quarter a year earlier. Member of the S&P 500 and Nasdaq 100; operating cash flow growth for five consecutive years.
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AppLovin Corporation (APP) Altman Z-score
AppLovin Corporation's Altman Z-score for fiscal 2025 is 30.21, in the safe zone (above 2.99).
Altman Z-score, annual
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Annual newest first
| Period | Altman Z-score | Change (points) |
|---|---|---|
| FY2025 | 30.21 | 14.49 |
| FY2024 | 15.72 | 12.91 |
| FY2023 | 2.81 | 1.76 |
| FY2022 | 1.05 | (4.33) |
| FY2021 | 5.38 | — |
How fiscal 2025’s score is made up
| Component | This year | Year before | Result | Points |
|---|---|---|---|---|
| Working capital / total assets | 0.43 | — | 0.51 | |
| Retained earnings / total assets | 0.24 | — | 0.33 | |
| EBIT / total assets | 0.57 | — | 1.89 | |
| Market value of equity / total liabilities | 44.54 | — | 26.73 | |
| Sales / total assets | 0.75 | — | 0.75 | |
| Altman Z-score | Safe zone | 30.21 | ||
| Z″ Variant for non-manufacturing and asset-light companies (drops the sales/assets term, uses book equity) | Safe zone | 7.86 | ||
How the Altman Z-score works
Z = 1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets (Altman, 1968). The market value of equity is the close on the last trading day of the fiscal year times weighted basic shares.
Z″ = 6.56 × working capital ÷ total assets + 3.26 × retained earnings ÷ total assets + 6.72 × EBIT ÷ total assets + 1.05 × book equity ÷ total liabilities (Altman, Hartzell and Peck, 1995), the variant for non-manufacturing and asset-light companies.
| Zone | Z | Z″ |
|---|---|---|
| Safe zone | above 2.99 | above 2.60 |
| Grey zone | 1.81–2.99 | 1.10–2.60 |
| Distress zone | below 1.81 | below 1.10 |
Not worked out for banks, insurers and REITs, whose balance sheets the model does not describe, nor when a figure is missing or there is no share price in the week to the fiscal year end.
Altman Z-score against peers
| Company | Altman Z-score |
|---|---|
| APP AppLovin Corporation | 30.2× |
| DV DoubleVerify Holdings, Inc. compare | 6.4× |
| TTD The Trade Desk compare | 4.1× |
| QNST QuinStreet, Inc. compare | 3.2× |
| ZD Ziff Davis, Inc. compare | 1.6× |
| STGW Stagwell Inc. compare | 0.9× |
| OMC Omnicom Group Inc. compare | 0.8× |
| WPP WPP PLC compare | 0.8× |
| MGNI Magnite, Inc. compare | 0.7× |
What Altman Z-score is
The Altman Z-Score weighs working capital, retained earnings, operating profit, market value and sales against assets and debts to gauge the risk of distress.
1.2 × working capital ÷ total assets + 1.4 × retained earnings ÷ total assets + 3.3 × EBIT ÷ total assets + 0.6 × market value of equity ÷ total liabilities + 1.0 × revenue ÷ total assets
More on APP
- Revenue
- Net income
- EPS (diluted)
- EBITDA
- Free cash flow
- Operating cash flow
- Gross margin
- Operating margin
- Net margin
- Free cash flow margin
- P/E ratio
- P/S ratio
- P/B ratio
- Price to free cash flow
- EV/EBITDA
- EV/Sales
- EV/FCF
- Return on equity
- Return on assets
- Return on invested capital
- Debt to equity
- Current ratio
- Total debt
- Shares outstanding
- Book value per share
- Revenue growth
- Piotroski F-score
- Beneish M-score
- The full statement