Applovin Corp Information Ratio
| APP Stock | | | USD 468.55 -30.32 -6.08% |
The Information Ratio measures excess return (alpha) per unit of tracking error relative to a benchmark. Unlike the Sharpe Ratio, which uses total volatility, the Information Ratio isolates only the variability of the alpha component — the return attributable to active decisions rather than passive market exposure. Below is Applovin Corp's current Information Ratio with peer comparisons and related risk metrics.
Current Information Ratio Value
A Information Ratio of 0.0839 for Applovin Corp signals positive but modest excess return per unit of tracking risk. Applovin Corp has outperformed its benchmark, though the margin is limited relative to the tracking error incurred.
INFOR | = | ER[a] - ER[b]STD[a] |
| = | 0.0839 | |
Information Ratio Peers Comparison
Relative to peers, Applovin Corp's Information Ratio is above the group average of 0.01. Peer readings range from -0.1072 (Workday) to 0.1786 (Datadog), reflecting wide dispersion across the sector. Applovin Corp's risk-adjusted return exceeds the peer average, indicating more efficient compensation for risk taken.
Information Ratio Relative To Other Indicators
The chart below plots Information Ratio against Maximum Drawdown for Applovin Corp and its peers. Each point represents one equity — position along the horizontal axis shows Information Ratio while the vertical axis shows Maximum Drawdown. Equities that cluster in different quadrants carry distinct risk-return profiles. Use the dropdowns to swap in other indicators for either axis.
Applovin Corp's Information Ratio reads
0.08 while Maximum Drawdown reads
32.87 , a
391.82 ratio between the two. This indicates Maximum Drawdown substantially exceeds Information Ratio for Applovin Corp.
Methodology, Assumptions & Data Sources
The current Information Ratio for Applovin Corp is 0.0839. The Information Ratio for Applovin Corp applies a standardized calculation to daily closing prices and, where applicable, volume data across the selected period. The underlying data comes from exchange-reported daily closes with corporate action adjustments applied where relevant. Applovin Corp operates in the information technology sector, which may exhibit distinct volatility and momentum characteristics relative to the broader market. Results are based on historical returns and do not predict future performance. This indicator is provided for informational purposes.
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