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APP vs. SHOP: AppLovin vs. Shopify Stock Comparison

How do AppLovin (APP) and Shopify (SHOP) stack up? This page sets them side by side across company profile, performance and risk, profitability, growth, financial strength, dividends, and valuation, with selected fundamentals also measured against each stock's industry-group peers.

Company Profile

AppLovin (APP) and Shopify (SHOP) both fall under the Software & Services industry group, but APP is classified in Software while SHOP is classified in IT Services.

Company profile comparison for AppLovin (APP) and Shopify (SHOP)
Profile ItemAPPSHOP
NameAppLovin Corporation Class A Common StockShopify Inc.
Country/RegionUnited StatesCanada
GICS SectorInformation TechnologyInformation Technology
GICS Industry GroupSoftware & ServicesSoftware & Services
GICS IndustrySoftwareIT Services
GICS Sub-IndustryApplication SoftwareInternet Services & Infrastructure
Market Capitalization129.62 billion USD191.58 billion USD
CurrencyUSDUSD
ExchangeNasdaqNasdaq
Listing DateApril 15, 2021May 20, 2015
Security TypeCommon StockCommon Stock

Price Performance

Cumulative Growth

APP
SHOP
GSPC
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AppLovin (APP) vs. Shopify (SHOP), with S&P 500 (GSPC) for reference: Growth of a $10,000 investment over the past five years. Adjusted for dividends and splits.

Trailing Returns

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Trailing total returns for AppLovin (APP) and Shopify (SHOP). Returns over one year are annualized.

Calendar-Year Returns

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Calendar-year total returns for AppLovin (APP) and Shopify (SHOP). Each bar is that year's total return, measured year-end to year-end.

Performance Metrics

Price performance metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Total Return (1Y)-34.71%-0.87%
Total Return (3Y, Annualized)116.87%35.77%
Total Return (5Y, Annualized)31.34%-0.57%

Risk Profile

Drawdown History

APP
SHOP
GSPC
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AppLovin (APP) vs. Shopify (SHOP), with S&P 500 (GSPC) for reference: Drawdown from the running peak over the past five years. Each line shows the decline from its prior peak; 0% marks a new high.

Return Distribution

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Distribution of monthly total returns for AppLovin (APP) and Shopify (SHOP). Each bar is the share of months whose return fell in that 5% bucket.

Risk Metrics

Risk profile metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Volatility (1Y, Annualized)80.36%59.71%
Beta (5Y)2.252.65
Max Drawdown (5Y)-91.90%-84.82%
Avg. Volume (3M)5.33M8.79M

Risk-Adjusted Performance

Risk-Return Positioning

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APP and SHOP are plotted by 1-year volatility (risk) and 1-year return. The dashed Capital Allocation Line runs from the risk-free rate through the shared industry median.

Risk-Adjusted Metrics

Risk-adjusted metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Sharpe Ratio (1Y)-0.49-0.09
Sortino Ratio (1Y)-0.69-0.12

Profitability

ROE (TTM)

AppLovin (APP) at 210.09% clears its industry range for ROE, a sharper capital-efficiency signal than Shopify (SHOP) at 16.83%, which is closer to a typical peer reading.

APP

Software & Services industry group

210.09%

APP
210.09%
Max
53.85%
Q3
17.90%
Median
6.59%
Q1
-9.59%
Min
-50.52%

SHOP

Software & Services industry group

16.83%

Max
53.85%
Q3
17.90%
SHOP
16.83%
Median
6.59%
Q1
-9.59%
Min
-50.52%
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their ROE against the Software & Services industry group benchmark.

Net Margin (TTM)

AppLovin (APP) at 65.89% converts revenue to bottom-line profit above its industry’s benchmark range, while Shopify (SHOP) at 15.01% keeps roughly the typical share for its industry.

APP

Software & Services industry group

65.89%

APP
65.89%
Max
41.17%
Q3
15.28%
Median
4.63%
Q1
-5.42%
Min
-33.17%

SHOP

Software & Services industry group

15.01%

Max
41.17%
Q3
15.28%
SHOP
15.01%
Median
4.63%
Q1
-5.42%
Min
-33.17%
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their net margin against the Software & Services industry group benchmark.

Operating Margin (TTM)

AppLovin (APP) at 78.22% shows unusually strong operating efficiency — above its industry’s operating margin range — and Shopify (SHOP) at 18.39% also operates in the top quartile.

APP

Software & Services industry group

78.22%

APP
78.22%
Max
46.89%
Q3
17.64%
Median
8.73%
Q1
-2.13%
Min
-30.45%

SHOP

Software & Services industry group

18.39%

Max
46.89%
SHOP
18.39%
Q3
17.64%
Median
8.73%
Q1
-2.13%
Min
-30.45%
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their operating margin against the Software & Services industry group benchmark.

Profitability Metrics

Profitability metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
ROE (TTM)210.09%16.83%
ROA (TTM)49.57%10.77%
Net Margin (TTM)65.89%15.01%
Operating Margin (TTM)78.22%18.39%
Gross Margin (TTM)88.78%47.49%

Growth

Revenue Growth

Both companies are growing quickly, but AppLovin (APP) at 69.99% is the standout with revenue growth above its industry range; Shopify (SHOP) at 30.14% also sits in the top quartile.

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AppLovin (APP) vs. Shopify (SHOP): A comparison of their Revenue Growth across different time periods.

EPS Growth

AppLovin (APP) at 115.23% sits in the top EPS growth quartile, while Shopify (SHOP) at -39.47% is closer to the peer norm — faster per-share earnings growth for APP.

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AppLovin (APP) vs. Shopify (SHOP): A comparison of their EPS Growth across different time periods.

Growth Metrics

Growth metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Revenue Growth (YoY)69.99%30.14%
Revenue Growth (3Y CAGR)24.84%27.31%
EPS Growth (YoY)115.23%-39.47%
EPS Growth (3Y CAGR)----

Financial Strength

Current Ratio (MRQ)

Both AppLovin (APP) at 3.81 and Shopify (SHOP) at 4.86 post current ratio above their industries’ typical mid-ranges — short-term liquidity appears comfortable, though unusually high readings can point to idle current assets.

APP

Software & Services industry group

3.81

Max
5.11
APP
3.81
Q3
2.77
Median
1.67
Q1
1.01
Min
0.03

SHOP

Software & Services industry group

4.86

Max
5.11
SHOP
4.86
Q3
2.77
Median
1.67
Q1
1.01
Min
0.03
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their current ratio against the Software & Services industry group benchmark.

Debt / Equity (MRQ)

Shopify (SHOP) at 0.01 keeps leverage in the lower industry quartile, while AppLovin (APP) at 1.07 runs a more typical debt-to-equity mix.

APP

Software & Services industry group

1.07

Max
2.52
Q3
1.13
APP
1.07
Median
0.40
Q1
0.07
Min
0.00

SHOP

Software & Services industry group

0.01

Max
2.52
Q3
1.13
Median
0.40
Q1
0.07
SHOP
0.01
Min
0.00
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their debt-to-equity ratio against the Software & Services industry group benchmark.

Financial Strength Metrics

Financial strength metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Current Ratio (MRQ)3.814.86
Debt / Equity (MRQ)1.070.01
Net Debt / EBITDA0.06-1.75

Dividends

Dividend Yield (TTM)

Neither AppLovin (APP) nor Shopify (SHOP) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

APP

Software & Services industry group

0.00%

APP
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SHOP

Software & Services industry group

0.00%

SHOP
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their dividend yield against the Software & Services industry group benchmark.

Dividend Payout Ratio (TTM)

Neither AppLovin (APP) nor Shopify (SHOP) pays a dividend this period — they may reinvest, use buybacks, or simply not return cash through dividends.

APP

Software & Services industry group

0.00%

APP
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%

SHOP

Software & Services industry group

0.00%

SHOP
0.00%
Max
0.00%
Q3
0.00%
Median
0.00%
Q1
0.00%
Min
0.00%
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their payout ratio against the Software & Services industry group benchmark.

Dividend Metrics

Dividend metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

P/E Ratio (TTM)

AppLovin (APP) at 26.34 is near its industry’s usual P/E ratio, while Shopify (SHOP) at 91.36 sits in the richer quartile — SHOP needs stronger growth or earnings quality to justify the premium.

APP

Software & Services industry group

26.34

Max
112.94
Q3
60.32
Median
32.91
APP
26.34
Q1
18.77
Min
6.69

SHOP

Software & Services industry group

91.36

Max
112.94
SHOP
91.36
Q3
60.32
Median
32.91
Q1
18.77
Min
6.69
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their P/E ratio against the Software & Services industry group benchmark.

P/S Ratio (TTM)

Both AppLovin (APP) at 17.04 and Shopify (SHOP) at 13.52 command a richer price per dollar of sales than most peers, sitting in the upper P/S ratio quartile of their industries.

APP

Software & Services industry group

17.04

Max
17.91
APP
17.04
Q3
8.78
Median
4.25
Q1
2.23
Min
0.02

SHOP

Software & Services industry group

13.52

Max
17.91
SHOP
13.52
Q3
8.78
Median
4.25
Q1
2.23
Min
0.02
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their P/S ratio against the Software & Services industry group benchmark.

P/B Ratio (MRQ)

Both look rich against book: Shopify (SHOP) at 15.02 sits in the upper P/B ratio quartile, and AppLovin (APP) at 39.29 prices even higher, above its industry range.

APP

Software & Services industry group

39.29

APP
39.29
Max
16.63
Q3
8.50
Median
4.30
Q1
1.92
Min
-3.90

SHOP

Software & Services industry group

15.02

Max
16.63
SHOP
15.02
Q3
8.50
Median
4.30
Q1
1.92
Min
-3.90
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AppLovin (APP) vs. Shopify (SHOP): A comparison of their P/B ratio against the Software & Services industry group benchmark.

Valuation Metrics

Valuation metrics for AppLovin (APP) and Shopify (SHOP)
MetricAPPSHOP
P/E Ratio (TTM)26.3491.36
P/S Ratio (TTM)17.0413.52
P/B Ratio (MRQ)39.2915.02
Free Cash Flow Yield (TTM)2.87%0.86%