AppLovin Corp's valuation metrics, including EV/EBITDA and P/E ratios, have shown a mixed trend, with EV/EBITDA increasing to 38.70x in Q2 2025 from 35.33x in Q1 2025, while P/E decreased slightly from 46.95x to 48.79x. Growth metrics remain robust, with revenue growth accelerating to 58.45% and earnings growth at 201.72%, although free cash flow growth has slightly moderated. Profitability continues to strengthen, with gross margins rising to 79.29% and operating margins reaching 48.75%, indicating solid operational efficiency and profitability.
Valuation: AppLovin Corp's valuation metrics have shown mixed trends, with EV/EBITDA increasing to 38.70x in Q2 2025 from 35.33x in Q1 2025, while the P/E ratio increased to 48.79x from 46.95x. The Price-to-Sales (P/S) ratio also rose to 20.85x, indicating a higher market valuation relative to sales, reflecting investor confidence despite the higher valuation multiples.
Profitability: Profitability metrics for AppLovin Corp continue to strengthen, with gross margins rising to 79.29% in Q2 2025, up from 77.72% in Q1 2025. The operating margin also improved to 48.75%, indicating enhanced operational efficiency, while the ROIC increased to 72.24%, showcasing effective capital utilization and strong returns on investment.
Growth Metrics: AppLovin Corp's growth metrics remain robust, with revenue growth accelerating to 58.45% in Q2 2025, up from 41.63% in Q1 2025. However, earnings growth has moderated to 201.72%, down from 233.13%, while free cash flow growth also slowed slightly to 180.55% from 164.76%, indicating a potential cooling in growth momentum but still reflecting strong overall performance.
