# AppLovin CDR (CAD Hedged) (APPS.TO) fundamentals

Data as of 2026-11-04. TSX, Canada. Sector: Technology / Software. Price C$7.67, market value C$112.4 billion.

## Valuation
- **P/E (trailing): 18.7×** (5-yr avg 98.0×, 3-yr avg 98.0×). AppLovin CDR (CAD Hedged) trades at 18.7× trailing earnings, well below its own five-year average of 98.0×: cheap by its own standards. The Technology median in the September 2026 study was 32.1×.
- **Price / sales: 16.5×**. Each dollar of revenue is priced at 16.5×, a level that requires very high margins or very fast growth to justify.
- **Price / book: 18.7×**. The shares trade at 18.7× book value; most of the value is in earnings power and intangibles rather than the balance sheet.
- **EV / EBITDA: 20.4×**. Enterprise value is 20.4× operating earnings before depreciation, the multiple that ignores how the company is financed; above 20× is demanding.
- **Free-cash-flow yield: 4.0%** (5-yr avg 1.2%). Free cash flow equals 4.0% of the market value, above its five-year average of 1.2%, so the shares are cheaper on cash than they have usually been.
- **Earnings yield: 5.3%**. The inverse of the P/E: 5.3% of the price is earned each year.

## Profitability
- **Gross margin: 88.5%**. AppLovin CDR (CAD Hedged) keeps 88.5% of revenue after the direct cost of what it sells, the kind of margin that comes with software, brands or pricing power.
- **Operating margin: 77.4%**. 77.4% of revenue is left after running the business, an exceptional level.
- **Net margin: 60.8%**. 60.8% of each dollar of sales reaches the bottom line.
- **Return on equity: 156.2%**. A 156.2% return on equity is extremely high; check whether buybacks or debt have shrunk the equity base, which flatters the ratio.
- **Return on invested capital: 140.2%**. Return on all capital, debt included, is 140.2%: comfortably above what that capital costs.
- **Return on assets: 60.7%**. Each dollar of assets produces 60.7% of profit.

## Growth
- **Revenue growth (1 yr): 70.0%** (3-yr 24.8%/yr). Revenue grew 70.0% over the last year.
- **Free-cash-flow growth (3 yr): 112.3%/yr**. Free cash flow has compounded at 112.3% a year over three years.

## Financial health
- **Debt to equity: 1.66**. Debt is 1.66 times equity, a leveraged balance sheet that needs steady cash flow to service.
- **Net debt / EBITDA: 0.2×**. It would take 0.2 years of operating earnings to repay net borrowings, within the comfortable range.
- **Interest coverage: 25.8×**. Operating profit covers interest 25.8× over, a safe margin.
- **Current ratio: 3.32** (quick 3.32). Current assets cover the next year's liabilities 3.32 times.
- **Altman Z-score: 15.93**. A Z-score of 15.93 places the company in the safe zone for bankruptcy risk.
- **Piotroski F-score: 8/9**. 8 of 9 fundamental checks pass: strong and improving financials.

## Dividends
- **Dividend: none**. AppLovin CDR (CAD Hedged) does not currently pay a dividend, but it returned 2.2% of its market value through buybacks over the last year.

## Price and momentum
- **Total return (1 yr): -64.1%** (YTD -67.1%, 3-mo -42.0%). The shares are down 64.1% over twelve months including dividends.
- **From 52-week high: -67.3%** (8.8% above the low). Trading 67% below its 52-week high, deep in a drawdown.
- **200-day average: below**. The price sits below its 200-day moving average, the usual definition of a downtrend.
- **RSI (14-day): 26**. An RSI of 26 is oversold; bounces are common, but oversold can stay oversold in a real decline.
- **Beta (1 yr): 1.99** (volatility 72%). Beta of 1.99 against the S&P/TSX Composite: the shares move much more than the market.

Live score and charts: https://foliofundamentals.com/analyzer?s=APPS.TO · Page: https://foliofundamentals.com/stocks/apps.to

Not investment advice.