Top 15 Application Software Stocks by Marvin Score
Marvin's rules ranked 15 application software stocks above a minimum size by Overall score within their industry. Dave, AppLovin and JFrog lead the list as of October 2026.
Application software is the industry for programs that people and businesses use directly, such as apps and online tools, usually sold by subscription, advertising or fees. This list covers 15 companies from that industry, ranked by Marvin's Overall score as of October 2026.
The numbers in each pick show how fast sales are growing and how much of each sales dollar turns into operating profit or free cash flow. Where available, they also show return on equity and debt. Strong margins and low debt are generally good signs. Negative operating margins or very fast growth paired with losses call for more caution.
Marvin's scores compare each company only with others in the same industry, and they describe today's picture, not the future. Use this list as a starting point for your own research, not as a recommendation.
The list
How Marvin ranked these stocks
Marvin included companies above a minimum size and ranked them by Marvin scores, which are relative to each company's own industry. Here that industry is Software - Application, with the highest Overall score first. A high score means a company compares well with other application software companies, not with the whole market. Some figures are missing for certain companies, and each blurb notes this where it matters.
Companies above about $300 million in size, ranked by Marvin scores (0-100, relative to each company's own industry). The Software - Application industry, highest Overall score first.
The stocks, one by one
Dave Inc. DAVE
Dave Inc. tops the list with an Overall score of 97. Revenue growth of 59.7% and a free cash flow margin of 50.7% are both strong, and return on equity is 107.1%. Caution: operating margin and debt figures are not available, so the profit picture is incomplete.
AppLovin Corporation APP
AppLovin combines revenue growth of 70.0% with an operating margin of 77.4% and a gross margin of 88.5%, which points to fast growth and very high profitability. Caution: debt-to-equity of 1.11 means borrowing is a real part of its funding, and free cash flow margin is unavailable.
JFrog Ltd. FROG
JFrog grew revenue 24.1% and keeps a gross margin of 77.9%, with a free cash flow margin of 28.3% showing it generates cash. Caution: its operating margin is negative at -11.5% and return on equity is -4.6%, so it does not yet earn an operating profit.
Snowflake Inc. SNOW
Snowflake shows revenue growth of 29.2% and a free cash flow margin of 22.0%, with a gross margin of 67.0%. Caution: the operating margin of -22.8% and return on equity of -50.7% are clearly negative, meaning heavy spending relative to sales.
Clear Secure, Inc. YOU
Clear Secure has a free cash flow margin of 50.8% and an operating margin of 25.1%, both strong, plus return on equity of 71.7%. Caution: revenue growth of 16.9% is more modest than most peers here, and gross margin and debt figures are not available.
Duolingo, Inc. DUOL
Duolingo combines revenue growth of 38.7% with a free cash flow margin of 35.6% and a gross margin of 72.7%. Caution: its operating margin of 13.7% is much thinner than its cash flow margin, and debt data is not available.
GitLab Inc. GTLB
GitLab has a high gross margin of 85.8%, revenue growth of 25.8% and a free cash flow margin of 20.3%. Caution: the operating margin of -8.5% and return on equity of -5.7% are slightly negative, so reported operating results are still in the red.
Adeia Inc. ADEA
Adeia shows an operating margin of 41.6% and a free cash flow margin of 40.0%, strong profitability, with debt-to-equity of 0.83. Caution: its Quality score of 64 is well below its Overall score, and revenue growth of 17.9% is modest.
Zeta Global Holdings Corp. ZETA
Zeta Global grew revenue 29.7% and carries low debt, with debt-to-equity of 0.24. Its free cash flow margin is 14.3%. Caution: the operating margin of 1.6% is very thin and return on equity of -0.2% is slightly negative.
Figma, Inc. FIG
Figma shows revenue growth of 41.0%, a gross margin of 79.1% and a free cash flow margin of 18.1%. Caution: its operating margin of -123.8% and return on equity of -106.8% are deeply negative, and its Opportunity score of 81 is lower than most here.
Chime Financial, Inc. Class A Common Stock CHYM
Chime Financial has a gross margin of 88.7%, revenue growth of 30.7% and a free cash flow margin of 12.7%. Caution: its operating margin of -2.1% and return on equity of -1.3% are slightly negative, and debt data is not available.
Grindr Inc. GRND
Grindr has revenue growth of 27.6%, an operating margin of 29.8% and a free cash flow margin of 30.2%, a healthy mix of growth and profit. Caution: its Quality score is 75, and gross margin, return on equity and debt figures are missing.
Freshworks Inc. FRSH
Freshworks has a gross margin of 85.0%, a free cash flow margin of 25.9% and return on equity of 20.7%. Caution: revenue growth of 16.4% is modest and the operating margin of 3.3% is thin, so little of each sales dollar becomes operating profit.
Intapp, Inc. INTA
Intapp has a gross margin of 75.8% and a free cash flow margin of 25.0%, showing it generates cash. Caution: revenue growth of 14.6% is modest, and the operating margin of -6.9% and return on equity of -13.0% are negative.
Intuit Inc. INTU
Intuit has an operating margin of 27.4%, a free cash flow margin of 40.4% and modest debt, with debt-to-equity of 0.44. Caution: revenue growth of 13.9% is the slowest of the 15, and its Opportunity score is only 68.
Common questions
What is application software?
Application software is software built for end users to do specific tasks, such as managing work, learning, communicating or handling money. It is different from the operating systems and hardware that run underneath. Many of these companies sell subscriptions or earn money from advertising or fees.
What does a high Marvin Overall score mean?
It means a company compares well with other companies in the same industry on Marvin's measures of business quality and opportunity. It describes today's picture only. It does not predict future results, and it does not say whether you should buy, sell or hold.
What is free cash flow margin and why does it matter?
Free cash flow margin is the share of sales left as cash after a company pays its operating costs and investments in equipment. A high figure suggests a business is generating real cash. It can differ from operating margin, because some accounting costs are not paid in cash.
Keep reading
- Top 11 Software Stocks by Marvin Scores
- Top 15 Technology Stocks Right Now, Ranked by Marvin Scores
- Top 15 Technology Companies With the Strongest Businesses
- Top 15 Technology Stocks by Marvin Opportunity Score
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Marvin's scores (0-100) compare each company with others in its industry today. Growth and margin figures come from SEC filings. This is general information, not personal investment advice or a recommendation to buy or sell anything. Do your own research.