Appian (APPN)
NASDAQ:APPN
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Appian
(NASDAQ:APPN)
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Rating:53Neutral
Price Target:
$25.00
▲(0.24% Upside)
Action:ReiteratedDate:02/20/26
The score is held back most by balance-sheet risk (negative equity with meaningful debt) and weak technicals (below key moving averages with negative MACD). These are partially offset by improving operating fundamentals and cash generation, and a notably positive earnings outlook with AI-driven momentum and margin/cash-flow improvement guidance.
Positive Factors
Improved Profitability & Cash Flow
Appian has shifted from multi-year losses to modest GAAP profitability and materially positive operating/free cash flow (~$63M op cash in 2025). Durable cash generation reduces financing risk, funds reinvestment and buybacks, and supports sustained product development and sales scaling.
Negative Factors
Balance Sheet Risk
Negative equity alongside meaningful debt reduces financial flexibility and raises refinancing and covenant risk. Even with improving cash flow, the capital structure constrains strategic optionality (M&A, sustained buybacks) and increases sensitivity to any cash-flow setbacks over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Improved Profitability & Cash Flow
Appian has shifted from multi-year losses to modest GAAP profitability and materially positive operating/free cash flow (~$63M op cash in 2025). Durable cash generation reduces financing risk, funds reinvestment and buybacks, and supports sustained product development and sales scaling.
Read all positive factors
Appian (APPN) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$1.81B
Dividend YieldN/A
Average Volume (3M)696.91K
Price to Earnings (P/E)2127.2
Beta (1Y)1.36
Revenue Growth15.97%
EPS Growth91.88%
CountryUS
Employees2,033
SectorTechnology
Sector Strength88
IndustrySoftware - Infrastructure
Share Statistics
EPS (TTM)0.15
Shares Outstanding42,872,257
10 Day Avg. Volume385,022
30 Day Avg. Volume696,911
Financial Highlights & Ratios
PEG Ratio-20.99
Price to Book (P/B)-55.81
Price to Sales (P/S)3.61
P/FCF Ratio44.04
Enterprise Value/Market Cap1.06
Enterprise Value/Revenue2.64
Enterprise Value/Gross Profit3.54
Enterprise Value/Ebitda51.92
Forecast
1Y Price Target
$31.00Price Target Upside24.30% Upside
Rating ConsensusHold
Number of Analyst Covering6
EPS Forecast (FY)0.89
Revenue Forecast (FY)$810.64M
Appian Business Overview & Revenue Model
Company Description
Appian Corporation provides low-code automation platform in the United States and internationally. The company's platform automates the creation of forms, workflows, data structures, reports, user interfaces, and other software elements that are n...
How the Company Makes Money
Appian generates revenue primarily through its subscription-based model, which includes licensing fees for its software platform, maintenance, and support services. The company offers different tiers of service, catering to a range of business nee...
Appian Key Performance Indicators (KPIs)
Any
Revenue by Segment
Analyzes revenue from different business segments, highlighting which areas drive growth and profitability, and indicating strategic focus and market opportunities.
Analyzes revenue from different business segments, highlighting which areas drive growth and profitability, and indicating strategic focus and market opportunities.
Data provided by:
The Fly
The FlyAppian Earnings Call Summary
Earnings Call Date:Feb 19, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 30, 2026
Earnings Call Sentiment Positive
The call conveyed a broadly positive tone driven by strong top-line growth, notable AI traction and monetization (14x YoY AI usage), expanding large enterprise and public sector wins (including a $500M Army framework), improved full-year profitability and materially stronger cash generation, and a $50M buyback announcement. Offsetting items include some gross-margin compression (especially services), higher operating expenses as the company modestly re-invests, a slight QoQ softness in quarterly cash flow, and lumpiness in on‑prem/services revenue. Management provided constructive guidance for 2026 with continued cloud growth, margin expansion, and a planed measured reinvestment in sales/engineering.Positive Updates
Strong Top-line Growth
Q4 total revenue grew 22% YoY to $202.9M; Q4 subscriptions revenue grew 19% YoY to $162.3M; Q4 cloud subscription revenue grew 18% YoY to $117.0M. Full-year 2025 total revenue grew 18% to $726.9M; full-year cloud subscription revenue grew 19% to $437.4M.
Negative Updates
Gross Margin Compression
Non-GAAP gross margin decreased to 73% in Q4 from 77% a year ago. Subscription non-GAAP gross profit margin declined to 86% from 88% YoY. Professional services gross margin fell to 23% in Q4 from 27% a year ago and 31% in the prior quarter.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Top-line Growth
Q4 total revenue grew 22% YoY to $202.9M; Q4 subscriptions revenue grew 19% YoY to $162.3M; Q4 cloud subscription revenue grew 18% YoY to $117.0M. Full-year 2025 total revenue grew 18% to $726.9M; full-year cloud subscription revenue grew 19% to $437.4M.
Read all positive updates
Company Guidance
Appian guided Q1 2026 cloud subscription revenue of $119–$121M (≈20% YoY at the midpoint), total revenue $189–$193M (≈15% YoY), adjusted EBITDA $19–$22M and non‑GAAP EPS $0.16–$0.20 (assumes ~75.1M diluted shares). For full‑year 2026 it guided cloud subscription revenue of $502–$510M (≈16% YoY at midpoint), total revenue $801–$817M (≈11% YoY), adjusted EBITDA $89–$99M (≈12% margin at midpoint) and non‑GAAP EPS $0.82–$0.96 (~46% growth at midpoint, assumes ~74.8M shares). Guidance assumptions include non‑cloud subscription revenue roughly flat, professional services growth in the teens in Q1 and high single digits for the year, total other income/interest of ~$3M in Q1 and ~$12M for the year, FX rates as of mid‑February (Q1 FX tailwind then neutralizing), a moderate return to OpEx investment (sales and India engineering) and ~1 percentage point of adjusted EBITDA margin expansion in 2026; the company also announced a $50M share buyback to offset dilution.Appian Financial Statement Overview
Summary
Income Statement
56
Neutral
Balance Sheet
38
Negative
Cash Flow
62
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 726.94M | 617.02M | 545.36M | 467.99M | 369.26M |
| Gross Profit | 527.34M | 466.84M | 402.04M | 334.69M | 265.17M |
| EBITDA | 37.00M | -57.60M | -80.90M | -141.26M | -81.75M |
| Net Income | 1.23M | -92.26M | -111.44M | -150.92M | -88.64M |
Balance Sheet | |||||
| Total Assets | 691.39M | 621.04M | 627.50M | 594.21M | 504.52M |
| Cash, Cash Equivalents and Short-Term Investments | 187.22M | 159.86M | 159.00M | 196.00M | 155.97M |
| Total Debt | 345.39M | 314.99M | 277.35M | 184.03M | 56.89M |
| Total Liabilities | 738.39M | 653.68M | 575.16M | 448.51M | 270.60M |
| Stockholders Equity | -46.99M | -32.64M | 52.34M | 145.70M | 233.92M |
Cash Flow | |||||
| Free Cash Flow | 59.56M | 3.08M | -120.08M | -115.65M | -59.98M |
| Operating Cash Flow | 62.87M | 6.88M | -110.44M | -106.55M | -53.92M |
| Investing Cash Flow | -12.83M | -35.39M | 28.59M | 10.26M | 41.94M |
| Financing Cash Flow | -36.28M | -258.00K | 79.17M | 142.87M | 2.79M |
Appian Technical Analysis
Negative
24.94
Price Trends
25.58
Negative
31.41
Negative
30.78
Negative
Market Momentum
-0.56
Negative
44.36
Neutral
58.95
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For APPN, the sentiment is Negative. The current price of 24.94 is above the 20-day moving average (MA) of 24.82, below the 50-day MA of 25.58, and below the 200-day MA of 30.78, indicating a bearish trend. The MACD of -0.56 indicates Negative momentum. The RSI at 44.36 is Neutral, neither overbought nor oversold. The STOCH value of 58.95 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for APPN.
Appian Risk Analysis
Appian disclosed 58 risk factors in its most recent earnings report. Appian reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Appian Peers Comparison
UnderperformOutperform
Sector (61)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
64 Neutral | $13.45B | 63.23 | 3.45% | ― | 12.12% | ― | |
62 Neutral | $16.81B | 28.07 | 9.64% | ― | 4.21% | -0.63% | |
62 Neutral | $4.31B | 42.45 | 7.54% | ― | 23.16% | 27.38% | |
61 Neutral | $37.18B | 12.37 | -10.20% | 1.83% | 8.50% | -7.62% | |
54 Neutral | $10.44B | -31.51 | 64.45% | ― | 48.93% | 69.39% | |
53 Neutral | $1.81B | 2,127.18 | -2.72% | ― | 15.97% | 91.88% |
* Technology Sector Average
APPN
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Appian Corporate Events
Business Operations and StrategyStock BuybackFinancial Disclosures
Appian Posts Profit, Launches Buyback After Strong 2025
Positive
Feb 19, 2026
On February 19, 2026, Appian reported its fourth-quarter and full-year 2025 results, highlighting 18% cloud subscriptions revenue growth in the quarter to $117 million and 19% growth for the year to $437.4 million, with total 2025 revenue up 18% t...
Business Operations and StrategyExecutive/Board Changes
Appian Adds AI-Focused ScienceLogic CEO to Board
Positive
Jan 21, 2026
On January 21, 2026, Appian announced that its Board of Directors had appointed David Link, co-founder and CEO of ScienceLogic, to the Appian Board effective January 25, 2026, with service continuing until the company’s 2026 annual stockhold...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.