Appian Corporation
Appian Corporation Fundamental Analysis
Appian Corporation (APPN) shows weak financial fundamentals with a PE ratio of 1624.04, profit margin of 0.12%, and ROE of -1.70%. The company generates $0.8B in annual revenue with strong year-over-year growth of 17.81%.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 91.6/100 based on profitability, valuation, growth, and balance sheet metrics. The A grade reflects excellent fundamentals and strong overall stability.
Fundamental Health Score
We analyze APPN's fundamental strength across five key dimensions:
Efficiency Score
WeakAPPN struggles to generate sufficient returns from assets.
Valuation Score
WeakAPPN trades at a premium to fair value.
Growth Score
ModerateAPPN shows steady but slowing expansion.
Financial Health Score
ExcellentAPPN maintains a strong and stable balance sheet.
Profitability Score
WeakAPPN struggles to sustain strong margins.
Key Financial Metrics
Is APPN Expensive or Cheap?
P/E Ratio
APPN trades at 1624.04 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, APPN's PEG of 4.19 indicates potential overvaluation.
Price to Book
The market values Appian Corporation at -24.37 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 39.75 times EBITDA. This signals the market has high growth expectations.
How Well Does APPN Make Money?
Net Profit Margin
For every $100 in sales, Appian Corporation keeps $0.12 as profit after all expenses.
Operating Margin
Core operations generate 0.60 in profit for every $100 in revenue, before interest and taxes.
ROE
Management delivers $-1.70 in profit for every $100 of shareholder equity.
ROA
Appian Corporation generates $0.14 in profit for every $100 in assets, demonstrating efficient asset deployment.
Following the Money - Real Cash Generation
Operating Cash Flow
Appian Corporation generates limited operating cash flow of $70.45M, signaling weaker underlying cash strength.
Free Cash Flow
Appian Corporation produces free cash flow of $67.58M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.91 in free cash annually.
FCF Yield
APPN converts 4.69% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1624.04
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
4.19
vs 25 benchmark
P/B Ratio
Price to book value ratio
-24.37
vs 25 benchmark
P/S Ratio
Price to sales ratio
1.89
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-4.84
vs 25 benchmark
Current Ratio
Current assets to current liabilities
1.13
vs 25 benchmark
Efficiency Ratios
ROE
Return on equity percentage
-0.02
vs 25 benchmark
ROA
Return on assets percentage
0.001
vs 25 benchmark
ROCE
Return on capital employed
0.02
vs 25 benchmark
How APPN Stacks Against Its Sector Peers
| Metric | APPN Value | Sector Average | Performance |
|---|---|---|---|
| P/E Ratio | 1624.04 | 36.81 | Worse (Expensive) |
| ROE | -1.70% | 974.00% | Weak |
| Net Margin | 0.12% | 5914823191.00% | Weak |
| Debt/Equity | -4.84 | 0.34 | Strong (Low Leverage) |
| Current Ratio | 1.13 | 4.93 | Neutral |
| ROA | 0.14% | -294975.00% (disorted) | Weak |
APPN outperforms its industry in 1 out of 6 key metrics, but lagging in P/E Ratio.
Historical Growth Performance
5-Year Growth Trajectory
This section reviews Appian Corporation's 5-year compound annual growth rate (CAGR) and compares its performance against the typical investment style of its industry.
Revenue CAGR
122.56%
Industry Style: Growth, Innovation, High Beta
High GrowthEPS CAGR
103.43%
Industry Style: Growth, Innovation, High Beta
High GrowthFCF CAGR
869.42%
Industry Style: Growth, Innovation, High Beta
High Growth