AppLovinLIM:APP 34 Return-on-Tangible-Asset is 86.59% as of Mar. 2026, which is 454% above its 10-year median of 15.63. GuruFocus rates LIM:APP with a GF Score™ of 34/100 and a GF Value™ of $523.17 (Fairly Valued). The stock has 1 warning sign investors should review. Among 1,042 Media - Diversified companies, AppLovin ranks better than 99.71% on this metric.
Return-on-Tangible-Asset is calculated as Net Income divided by its average total tangible assets. Total tangible assets equals to Total Assets minus Intangible Assets. AppLovin's annualizedNet Income for the quarter that ended in Mar. 2026 was $4,822 Mil. AppLovin's average total tangible assets for the quarter that ended in Mar. 2026 was $5,569 Mil. Therefore, AppLovin's annualized Return-on-Tangible-Asset for the quarter that ended in Mar. 2026 was 86.59%.
The historical rank and industry rank for AppLovin's Return-on-Tangible-Asset or its related term are showing as below:
LIM:APP'
s Return-on-Tangible-Asset Range Over the Past 10 Years
Min: -17.35 Med: 15.63 Max: 87.28
Current: 87.28
During the past 7 years, AppLovin's highest Return-on-Tangible-Asset was 87.28%. The lowest was -17.35%. And the median was 15.63%.
LIM:APP's Return-on-Tangible-Asset is ranked better than 99.71% of 1042
companies
in the Media - Diversified industry
Industry Median: 0.74
vs LIM:APP: 87.28
Return-on-Tangible-Asset measures the rate of return on the average total tangible assets (total assets minus intangible assets). Tangible means physical in nature. Intangible Assets are assets that are not physical in nature, and typically "derive their value from legal or intellectual rights." Return-on-Tangible-Asset measures a firm's efficiency at generating profits from its tangible assets. It shows how well a company uses what it has to generate earnings. Return-on-Tangible-Assets can vary drastically across industries. Therefore, Return-on-Tangible-Asset should not be used to compare companies in different industries.
Be Aware
Like ROE and ROA, Return-on-Tangible-Asset is calculated with only 12 months data. Fluctuations in the companys earnings or business cycles can affect the ratio drastically. It is important to look at the ratio from a long term perspective. Return-on-Tangible-Asset can be affected by events such as stock buyback or issuance, and by a companys tax rate and its interest payment. Return-on-Tangible-Asset may not reflect the true earning power of the assets. A more accurate measurement is ROC % (ROC).
Many analysts argue the higher return the better. Buffett states that really high Return-on-Tangible-Asset may indicate vulnerability in the durability of the competitive advantage.
AppLovin Return-on-Tangible-Asset Related Terms
AppLovin Return-on-Tangible-Asset Historical Data
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The historical data trend for AppLovin's Return-on-Tangible-Asset can be seen below:
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
LIM:APP vs OMC, TTD, MGNI: Return-on-Tangible-Asset Comparison
For the Advertising Agencies subindustry, AppLovin's Return-on-Tangible-Asset, along with its competitors' market caps and Return-on-Tangible-Asset data, can be viewed below:
* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.
AppLovin Return-on-Tangible-Asset vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, AppLovin's Return-on-Tangible-Asset distribution charts can be found below:
* The bar in red indicates where AppLovin's Return-on-Tangible-Asset falls into.
* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD. * For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.
In the calculation of annual Return-on-Tangible-Asset, the net income of the last fiscal year and the average total tangible assets over the fiscal year are used. In calculating the quarterly data,
the Net Income data used here is four times the quarterly (Mar. 2026) net income data.
What does a Return-on-Tangible-Asset of 86.59% mean?
AppLovin (LIM:APP) has a Return-on-Tangible-Asset of 86.59% as of Mar. 2026. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on AppLovin and its competitors. This is 454% above median its historical median of 15.63. According to the industry distribution chart, AppLovin ranks #3 out of 1042 companies in the Media - Diversified industry, placing it in the top 0.3%.
Is AppLovin's Return-on-Tangible-Asset too high?
AppLovin's current Return-on-Tangible-Asset of 86.59% is 454% above median its 10-year median of 15.63. The Media - Diversified industry median Return-on-Tangible-Asset is 0.74. AppLovin's value of 86.59% is 11601.4% above this industry median. Based on the distribution chart, AppLovin ranks #3 out of 1042 companies in the Media - Diversified industry, which is in the top quartile — a strong position relative to peers. Overall, AppLovin has a GF Score™ of 34/100 and is considered Fairly Valued, reflecting its overall financial health beyond just this single metric.
How does AppLovin's Return-on-Tangible-Asset compare to OMC and TTD?
According to the Media - Diversified industry distribution chart, AppLovin ranks #3 out of 1042 companies for Return-on-Tangible-Asset. This places AppLovin in the top 0% of its industry — outperforming the majority of peers. The industry median Return-on-Tangible-Asset is 0.74. AppLovin's value of 86.59% is 11601.4% above this benchmark. While the company's 10-year median is 15.63 vs. the industry median of 0.74, AppLovin has consistently been above the industry average. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Return-on-Tangible-Asset for a Media - Diversified company?
The median Return-on-Tangible-Asset among Media - Diversified companies is 0.74, based on 1,042 companies in the industry. Companies in the top quartile (top 25%) have a Return-on-Tangible-Asset significantly above this median, while those in the bottom quartile fall well below. However, Return-on-Tangible-Asset should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. AppLovin's current Return-on-Tangible-Asset of 86.59% is 11601.4% above the industry median. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Return-on-Tangible-Asset mean?
A high Return-on-Tangible-Asset can signal that a stock is expensive relative to its fundamentals. Return on tangible assets is the ratio of current-period net income to average two-period tangible assets. View historical data on AppLovin and its competitors. For the Media - Diversified industry, the median Return-on-Tangible-Asset is 0.74 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AppLovin's current Return-on-Tangible-Asset is 86.59%, which is 454% above median its own 10-year median of 15.63. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is AppLovin stock overvalued right now?
Based on GuruFocus' analysis, AppLovin (LIM:APP) is currently considered Fairly Valued. The stock's GF Value™ is $523.17, compared to a current price of $476.03 — trading 9% below its estimated fair value. The current Return-on-Tangible-Asset is 86.59%, which is 454% above median its 10-year median of 15.63 and 11601.4% above the Media - Diversified industry median of 0.74. AppLovin's overall GF Score™ is 34/100 with 1 warning sign to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Return-on-Tangible-Asset calculated?
Return-on-Tangible-Asset is calculated from a company's financial statements. For AppLovin (LIM:APP), the current Return-on-Tangible-Asset is 86.59% as of Mar. 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.
Is AppLovin (LIM:APP) Overvalued in 2026?
Based on GuruFocus' analysis, AppLovin stock appears to be undervalued.
The current stock price of $476.03 is trading 9% below its estimated GF Value™ of $523.17.
GuruFocus considers AppLovin to be Fairly Valued.
Key valuation signals for LIM:APP:
Return-on-Tangible-Asset: 86.59% (454% above median its 10-year median of 15.63)
GF Value™: $523.17 vs. price of $476.03 (9% below fair value)
Industry Position: 11601.4% above the Media - Diversified median (#3 of 1042)
No single metric tells the full story. See the LIM:APP stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.
AppLovin is a vertically integrated advertising technology company that acts as a demand-side platform for advertisers, a supply-side platform for publishers, and an exchange facilitating transactions between the two. About 80% of AppLovin's revenue comes from the DSP, AppDiscovery, while the remainder comes from the SSP, Max. AppLovin's primary tool for future growth is AXON 2, which is an ad optimizer operating within the DSP that allows advertisers to place ads according to specified return thresholds.
34GF Score
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