Appian Corporation Fundamental Analysis (NASDAQ: APPN)
Appian Corporation Fundamental Analysis (NASDAQ: APPN)
Appian Corporation (NASDAQ: APPN) shows weak financial fundamentals with a PE ratio of 1719.62, profit margin of 0.12%, and ROE of -1.70%. The company generates $0.8B in annual revenue with N/A year-over-year growth of N/A.
Key Strengths
Areas of Concern
The stock receives a Fundamental Health Score of 94.2/100 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 1719.62 times earnings. This suggests a premium valuation.
PEG Ratio
When adjusting for growth, APPN's PEG of 4.44 indicates potential overvaluation.
Price to Book
The market values Appian Corporation at -34.01 times its book value. This may indicate undervaluation.
EV/EBITDA
Enterprise value stands at 53.01 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 $66.88M, signaling weaker underlying cash strength.
Free Cash Flow
Appian Corporation produces free cash flow of $64.02M, offering steady but limited capital for shareholder returns and expansion.
FCF Per Share
Each share generates $0.87 in free cash annually.
FCF Yield
APPN converts 3.18% of its market value into free cash.
Financial Ratios Analysis
Valuation Ratios
P/E Ratio
Price to earnings ratio
1719.62
vs 25 benchmark
PEG Ratio
Price/earnings to growth ratio
4.44
vs 25 benchmark
P/B Ratio
Price to book value ratio
-34.01
vs 25 benchmark
P/S Ratio
Price to sales ratio
2.64
vs 25 benchmark
Financial Health
Debt/Equity
Total debt to shareholders' equity
-5.01
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 | 1719.62 | 35.12 | Worse (Expensive) |
| ROE | -1.70% | 671.00% | Weak |
| Net Margin | 0.12% | -138220.00% (disorted) | Weak |
| Debt/Equity | -5.01 | 0.25 | Strong (Low Leverage) |
| Current Ratio | 1.13 | 3.44 | Neutral |
| ROA | 0.14% | 246.00% | 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
N/A
Industry Style: Growth, Innovation, High Beta
EPS CAGR
N/A
Industry Style: Growth, Innovation, High Beta
FCF CAGR
N/A
Industry Style: Growth, Innovation, High Beta