📊 APG Key Takeaways
Is APi Group Corp (APG) a Good Investment?
APi Group demonstrates solid 12.7% revenue growth and strong absolute earnings, but operates with thin margins (2.9% net) and poor capital efficiency (1.6% ROE), typical of the competitive building services sector. The dramatic share dilution (EPS down 23.2% despite 204.9% net income growth) raises concerns about the quality of earnings growth.
APi Group shows improving fundamental quality, with double-digit revenue growth, a sharp rebound in net income, and strong free cash flow generation. Liquidity is solid and leverage appears manageable, but margins remain moderate and the negative diluted EPS despite positive net income suggests either dilution effects or a reporting/data issue worth monitoring.
APi Group Corp Key Strengths (APG)
- Strong 12.7% YoY revenue growth in competitive market
- Positive free cash flow of $67M with sustainable 3.4% FCF margin
- Solid cash position of $645M provides operational flexibility and strategic optionality
- Moderate leverage with 0.79x Debt/Equity ratio and adequate liquidity ratios
- Revenue growth of 12.7% with net income up 204.9% YoY indicates improving operating execution
- Strong cash generation with $663M of free cash flow and an 8.4% FCF margin supports balance sheet flexibility
- Healthy financial position with 1.50x current ratio, 0.81x debt-to-equity, and 16.3x interest coverage
APG Stock Risks: APi Group Corp Investment Risks
- Severe share dilution: EPS down 23.2% YoY despite 204.9% net income growth indicates equity issuance
- Very low profitability with 2.9% net margin and 5.2% operating margin vulnerable to competition
- Poor capital efficiency with 1.6% ROE and 0.6% ROA on $9B asset base indicates inefficient deployment
- Interest coverage of 3.0x leaves limited margin for financial stress or economic downturn
- 26.1-point gap between gross margin (31.3%) and operating margin (5.2%) suggests high SG&A burden
- Net margin remains relatively thin at 3.8%, leaving profitability sensitive to cost inflation or project execution issues
- Long-term debt of $2.76B is still meaningful and could limit flexibility if operating conditions weaken
- Diluted EPS of -0.69 despite positive net income points to potential dilution, preferred share effects, or data-quality/reporting complexity
Key Metrics to Watch
- Operating margin trajectory - sustainability of 5.2% level and path to expansion
- Share dilution rate and management's capital allocation strategy going forward
- Return on equity trend from current 1.6% - capital efficiency is critical concern
- Free cash flow conversion and working capital management as growth continues
- Operating margin expansion and net margin sustainability
- Free cash flow conversion relative to net income
APi Group Corp (APG) Financial Metrics & Key Ratios
💡 AI Analyst Insight
The relatively thin 3.4% FCF margin may limit capital allocation flexibility.
APG Profit Margin, ROE & Profitability Analysis
APG vs Services Sector: How APi Group Corp Compares
How APi Group Corp compares to Services sector averages
Sector benchmarks are approximate industry averages. Actual sector performance may vary.
Is APi Group Corp Stock Overvalued? APG Valuation Analysis 2026
Based on fundamental analysis, APi Group Corp shows some fundamental concerns relative to the Services sector in 2026.
Note: This is a fundamental analysis based on SEC filings. For P/E ratio, price targets, and market-based valuation, consult financial data providers. This is not investment advice.
APi Group Corp Balance Sheet: APG Debt, Cash & Liquidity
APG Revenue & Earnings Growth: 5-Year Financial Trend
5-Year Trend Summary: APi Group Corp's revenue has grown significantly by 101% over the 5-year period, indicating strong business expansion. The most recent EPS of $-0.46 indicates the company is currently unprofitable.
APG Revenue Growth, EPS Growth & YoY Performance
APG Quarterly Earnings & Performance
| Quarter | Revenue | Net Income | EPS |
|---|---|---|---|
| Q1 2026 | $1.7B | $35.0M | $0.07 |
| Q3 2025 | $1.8B | $35.0M | $0.15 |
| Q2 2025 | $1.7B | $35.0M | $0.15 |
| Q1 2025 | $1.6B | $35.0M | $0.11 |
| Q3 2024 | $1.8B | $26.0M | $0.15 |
| Q2 2024 | $1.7B | $26.0M | $0.12 |
| Q1 2024 | $1.6B | $26.0M | $0.05 |
| Q3 2023 | $1.7B | -$7.0M | $0.06 |
Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.
APi Group Corp Dividends, Buybacks & Capital Allocation
APG SEC Filings: Latest 10-K & 10-Q Analysis
Access official SEC EDGAR filings for APi Group Corp (CIK: 0001796209)
📋 Recent SEC Filings
❓ Frequently Asked Questions about APG
What is the AI rating for APG?
APi Group Corp (APG) has a Combined AI Grade of A from Claude (B) and ChatGPT (A) with 74% combined confidence, based on fundamental analysis of SEC EDGAR filings.
What are APG's key strengths?
Claude: Strong 12.7% YoY revenue growth in competitive market. Positive free cash flow of $67M with sustainable 3.4% FCF margin. ChatGPT: Revenue growth of 12.7% with net income up 204.9% YoY indicates improving operating execution. Strong cash generation with $663M of free cash flow and an 8.4% FCF margin supports balance sheet flexibility.
What are the risks of investing in APG?
Claude: Severe share dilution: EPS down 23.2% YoY despite 204.9% net income growth indicates equity issuance. Very low profitability with 2.9% net margin and 5.2% operating margin vulnerable to competition. ChatGPT: Net margin remains relatively thin at 3.8%, leaving profitability sensitive to cost inflation or project execution issues. Long-term debt of $2.76B is still meaningful and could limit flexibility if operating conditions weaken.
What is APG's revenue and growth?
APi Group Corp reported revenue of $2.0B.
Does APG pay dividends?
APi Group Corp does not currently pay dividends.
Where can I find APG SEC filings?
Official SEC filings for APi Group Corp (CIK: 0001796209) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.
What is APG's EPS?
APi Group Corp has a diluted EPS of $0.12.
How is the AI analysis conducted?
Two independent AI systems — Claude (Anthropic) and ChatGPT (OpenAI) — analyze SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports. Each AI evaluates financial health, profitability ratios, balance sheet strength, and growth metrics. The combined grade reflects both perspectives for balanced insights.
What is APG's fundamental grade?
Based on our AI fundamental analysis in June 2026, APi Group Corp has a A grade with 74% confidence. The AI analysis suggests favorable fundamentals based on SEC filings. This is not investment advice.
Is APG stock overvalued or undervalued?
Valuation metrics for APG: ROE of 1.6% (sector avg: 16%), net margin of 2.9% (sector avg: 10%). Compare these metrics with sector averages to assess valuation.
What is APG's AI grade for 2026?
Our dual AI analysis gives APi Group Corp a combined A grade for 2026. Revenue is data pending, with profitability at or below sector average. Always conduct your own research.
What is APG's free cash flow?
APi Group Corp's operating cash flow is $85.0M, with capital expenditures of $18.0M. FCF margin is 3.4%.
How does APG compare to other Services stocks?
Vs Services sector averages: Net margin 2.9% (avg: 10%), ROE 1.6% (avg: 16%), current ratio 1.44 (avg: 1.5).