1. MARKETS
  2. SECTOR : SOFTWARE & SERVICES
  3. INDUSTRY : PACKAGED SOFTWARE
  4. APPLOVIN CORP - ORDINARY SHARES - CLASS A
Applovin Corp - Ordinary Shares - Class A XNAS: APP
324.70 -19.67 (-5.71%)
8.7M
XNAS Volume

XNAS 20 Jun, 2025 4:19 PM (EDT)

Analyze undervaluation/ overvaluation of Applovin Corp - Ordinary Shares - Class A with current and 1 Year Forward PE

INSIGHT
Applovin Corp - Ordinary Shares - Class A is undervalued at both current PE and future earnings estimates
Right Now : Current PE vs 5 year Average PE
Undervalued
Fair price

Based on 5Yr Average PE

1473.0
Upside

Current PE versus 5Yr Average PE

353.63 %
1 Year Forward : 5 Yr Average PE & Projected 1Yr Forward EPS*
Undervalued
Fair price

Based on 1Yr Forward EPS

2105.3
Upside

5 Yr Average PE & 1Yr Forward EPS

548.39 %
Info: The Applovin Corp - Ordinary Shares - Class A's current PE is 57.23 ,while its 5 year PE average is 259.6. Its forward PE based on analyst estimates is 40.0
Note: The forward P/E ratio (or forward price-to-earnings ratio) is calculated by dividing the current share price of a company by the estimated(1Yr) future (“forward”) earnings per share (EPS) of that company.
Choose Stock, Parameter and Date Range
Furthest date for non subscribers is 22-06-2023
generated report

Analyze undervaluation/ overvaluation of Applovin Corp - Ordinary Shares - Class A with historical PE and PBV ratios

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from 22 Jun, 2023 to 21 Jun, 2025

Restated P/E

Buy Zone

28.7% into P/E buy sell zone

% time spent below current P/E
0 20 40 60 80 100
Strong upside potential
Gains already realized

Out of 449 days, Applovin Corp - Ordinary Shares - Class A traded 129 (28.7%) days below the current P/E of on Restated basis.

Originally Reported P/E

Buy Zone

36.3% into P/E buy sell zone

% time spent below current P/E
0 20 40 60 80 100
Strong upside potential
Gains already realized

Out of 466 days, Applovin Corp - Ordinary Shares - Class A traded 169 (36.3%) days below the current P/E of on Originally Reported basis.

Note: This is a reverse percentile score. Values close to 100% are bad while values close to 0% are good. Days when PE is negative are not considered in the analysis
P/E range Days traded in range % Days traded in range Days traded within & below range % Days traded within & below range
27-38
26 5.6% 26 5.6%
38-42
Forward PE is 40.04
26 5.6% 52 11.2%
42-47
52 11.2% 104 22.3%
47-56
59 12.7% 163 35.0%
56-68
Current P/E is 57.2
74 15.9% 237 50.9%
68-100
65 13.9% 302 64.8%
100-127
70 15.0% 372 79.8%
127-529
47 10.1% 419 89.9%
529-741
47 10.1% 466 100.0%
Total 466 466
P/E range Days traded in range % Days traded in range Days traded within & below range % Days traded within & below range
27-37
22 4.9% 22 4.9%
37-45
Forward PE is 40.04
25 5.6% 47 10.5%
45-49
44 9.8% 91 20.3%
49-62
Current P/E is 57.2
67 14.9% 158 35.2%
62-71
71 15.8% 229 51.0%
71-107
64 14.3% 293 65.3%
107-138
66 14.7% 359 80.0%
138-649
46 10.2% 405 90.2%
649-741
44 9.8% 449 100.0%
Total 449 449

FAQ

  • What is the PE ratio?

    In its simplest definition, the price-to-earnings ratio (P/E ratio) represents the price an investor pays per dollar of a company's earnings.
    For example, if a company has a P/E ratio of 25, investors are willing to pay USD 25 for each dollar of the company's current earnings. This indicates that investors value the stock at 25 times its current earnings, with an expectation of future earnings growth.
    The P/E ratio fluctuates based on investor sentiment towards a company. Positive sentiment drives the stock price higher, resulting in a higher P/E ratio (investors pay more for each dollar of earnings). Conversely, negative sentiment lowers the P/E ratio (investors pay less for each dollar of earnings).
  • What is the PE buy/sell zone?

    The PE buy/sell zone is calculated based on how many days a stock has traded at its current PE level.
    To do this, we compare the current PE to the stock’s historical PE performance, to find out how often (for how many days in the past) the stock has traded at its current PE value.
    If the stock has usually traded above its current PE level (it’s at a higher PE for the majority of trading days), then the stock is cheaper than usual and in the PE buy zone.
    If the stock has usually traded below its current PE level (it’s at a lower PE for the majority of trading days), then the stock is more expensive than usual and in the PE sell zone.
  • How is the PE buy sell zone useful?

    The PE buy sell zone tells you if a stock’s current PE level is unusually high or low, and if a stock doesn’t typically trade at that level. It helps investors identify stocks that are undervalued or overvalued in terms of their typical PE trading behavior.
    Investors should keep in mind that the buy zone/sell zone is not a foolproof buy or sell signal. For example, the PE of a stock may have fallen substantially due to adverse events or negative news. Or the PE may have risen sharply after the company has won new orders, made an acquisition, announced a buyback, or some other positive event. PE Buy/Sell Zone signals should be looked at in conjunction with other information.
  • Why are the number of days different for Restated and Originally Reported data?

    This can be because of any of the 2 following reasons:
    1. Days when PE is negative are not considered in the analysis. So if only 1 of the Restated or Originally Reported PE is negative and the other is not, then the days will be different
    2. Companies have reported Originally Reported data for limited period.