This Software Stock Just Produced a Rule of 40 Score Nearly as High as Palantir's, and Its Valuation Is Much More Attractive

AppLovin, an AI-powered adtech company, has achieved a Rule of 40 score of 131, nearly matching Palantir's 155, while trading at significantly lower valuations (19x forward P/E vs. Palantir's 100x). Despite recent gaming advertising weakness, AppLovin's expansion into non-gaming markets and strong 78% operating margins position it for sustained triple-digit Rule of 40 scores, with management projecting 30% long-term revenue growth.