AppLovinLIM:APP 34 ROC (Joel Greenblatt) % is 800.80% as of Mar. 2026, which is 461% above its 10-year median of 142.71. 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 1,028 Media - Diversified companies, AppLovin ranks better than 97.18% on this metric.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits). He defines ROC (Joel Greenblatt) % as EBIT divided by the total of Property, Plant and Equipment and net working capital. AppLovin's annualized ROC (Joel Greenblatt) % for the quarter that ended in Mar. 2026 was 800.80%.
The historical rank and industry rank for AppLovin's ROC (Joel Greenblatt) % or its related term are showing as below:
LIM:APP'
s ROC (Joel Greenblatt) % Range Over the Past 10 Years
Min: -85.22 Med: 142.71 Max: 878.18
Current: 604.82
During the past 7 years, AppLovin's highest ROC (Joel Greenblatt) % was 878.18%. The lowest was -85.22%. And the median was 142.71%.
LIM:APP's ROC (Joel Greenblatt) % is ranked better than 97.18% of 1028
companies
in the Media - Diversified industry
Industry Median: 9.285
vs LIM:APP: 604.82
AppLovin's 5-Year average Growth Rate of ROC (Joel Greenblatt) % was 0.00% per year.
The way Joel Greenblatt defines Return on Capital is a more accurate measure of how efficiently the company generates returns onthe capital actually invested in the business. EBIT is used instead of net income because the tax and interest payment may be affected by factors other than the core business operation. Intangible assets are not included in the calculation because they don't need to be replaced.
The historical data trend for AppLovin's ROC (Joel Greenblatt) % 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: ROC (Joel Greenblatt) % Comparison
For the Advertising Agencies subindustry, AppLovin's ROC (Joel Greenblatt) %, along with its competitors' market caps and ROC (Joel Greenblatt) % 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 ROC (Joel Greenblatt) % vs Media - Diversified Industry
For the Media - Diversified industry and Communication Services sector, AppLovin's ROC (Joel Greenblatt) % distribution charts can be found below:
* The bar in red indicates where AppLovin's ROC (Joel Greenblatt) % falls into.
Joel Greenblatt defined Return on Capital differently in his book The Little Book That Still Beats the Market (Little Books. Big Profits) . He defines Return on Capital as follows:
EBIT stands for Earnings Before Interest and Taxes.
Fixed Assets are also known as non-current assets. They include the Property, Plant and Equipment that the firm needs in its operation.
GuruFocus calculates net working capital as: (Accounts Receivable + Total Inventories + Other Current Assets) - (Accounts Payable & Accrued Expense + Deferred Revenue + Other Current Liabilities). We're trying to account for OPERATING assets and liabilities (part of daily business) when calculating working capital. Cash and marketable securities are considered NON-OPERATING assets and are not included in calculation. We will also back out all interest bearing debt, short term debt and the portion of long term debt that is due in the current period from the current liabilities. This debt will be considered when computing cost of capital and it would be inappropriate to count it twice.
Note:
The EBIT data used here is four times the quarterly (Mar. 2026) EBIT data.
* 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.
What does a ROC (Joel Greenblatt) % of 800.80% mean?
AppLovin (LIM:APP) has a ROC (Joel Greenblatt) % of 800.80% as of Mar. 2026. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on AppLovin and its competitors. This is 461% above median its historical median of 142.71. According to the industry distribution chart, AppLovin ranks #29 out of 1028 companies in the Media - Diversified industry, placing it in the top 2.8%.
Is AppLovin's ROC (Joel Greenblatt) % too high?
AppLovin's current ROC (Joel Greenblatt) % of 800.80% is 461% above median its 10-year median of 142.71. The Media - Diversified industry median ROC (Joel Greenblatt) % is 9.29. AppLovin's value of 800.80% is 8524.7% above this industry median. Based on the distribution chart, AppLovin ranks #29 out of 1028 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 ROC (Joel Greenblatt) % compare to OMC and TTD?
According to the Media - Diversified industry distribution chart, AppLovin ranks #29 out of 1028 companies for ROC (Joel Greenblatt) %. This places AppLovin in the top 3% of its industry — outperforming the majority of peers. The industry median ROC (Joel Greenblatt) % is 9.29. AppLovin's value of 800.80% is 8524.7% above this benchmark. While the company's 10-year median is 142.71 vs. the industry median of 9.29, 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 ROC (Joel Greenblatt) % for a Media - Diversified company?
The median ROC (Joel Greenblatt) % among Media - Diversified companies is 9.29, based on 1,028 companies in the industry. Companies in the top quartile (top 25%) have a ROC (Joel Greenblatt) % significantly above this median, while those in the bottom quartile fall well below. However, ROC (Joel Greenblatt) % should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. AppLovin's current ROC (Joel Greenblatt) % of 800.80% is 8524.7% 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 ROC (Joel Greenblatt) % mean?
A high ROC (Joel Greenblatt) % can signal that a stock is expensive relative to its fundamentals. Joel Greenblatt's return on capital is the ratio of EBIT to average fixed assets and net working capital. View historical data on AppLovin and its competitors. For the Media - Diversified industry, the median ROC (Joel Greenblatt) % is 9.29 — values significantly above this may indicate overvaluation, while values below may suggest a bargain or underlying issues. AppLovin's current ROC (Joel Greenblatt) % is 800.80%, which is 461% above median its own 10-year median of 142.71. 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 ROC (Joel Greenblatt) % is 800.80%, which is 461% above median its 10-year median of 142.71 and 8524.7% above the Media - Diversified industry median of 9.29. 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 ROC (Joel Greenblatt) % calculated?
ROC (Joel Greenblatt) % is calculated from a company's financial statements. For AppLovin (LIM:APP), the current ROC (Joel Greenblatt) % is 800.80% 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:
ROC (Joel Greenblatt) %: 800.80% (461% above median its 10-year median of 142.71)
GF Value™: $523.17 vs. price of $476.03 (9% below fair value)
Industry Position: 8524.7% above the Media - Diversified median (#29 of 1028)
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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