Summary Verdict
CARG: 3—APPF: 2wins
Rule of 40
45.5CARG
46.3APPF
check_circleAPPF leads
Revenue Growth
13.7%CARG
21.5%APPF
check_circleAPPF leads
Gross Margin
93%CARG
84%APPF
check_circleCARG leads
FCF Margin
31.9%CARG
24.8%APPF
check_circleCARG leads
Operating Margin
26.9%CARG
15.8%APPF
check_circleCARG leads
NRR
—CARG
—APPF
Metric
Rule of 40Efficiency score
CARG
45.5
APPF
46.3check_circle
Revenue GrowthYoY
CARG
13.7%
APPF
21.5%check_circle
Gross Margin% of revenue
CARG
93%check_circle
APPF
84%
FCF MarginFree cash flow
CARG
31.9%check_circle
APPF
24.8%
Operating MarginGAAP
CARG
26.9%check_circle
APPF
15.8%
NRRNet retention
CARG
N/A
APPF
N/A
EV / RevenueValuation multiple
CARG
N/A
APPF
6.3x
Market CapUSD
CARG
N/A
APPF
$6.1B
ARR GrowthYoY
CARG
N/A
APPF
N/A
CAC PaybackMonths to recover
CARG
N/A
APPF
N/A
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insights
Analysis
As of Q4 2025, CarGurus, Inc. trades at N/A EV/Revenue versus AppFolio, Inc. at 6.3x. On the Rule of 40, CarGurus, Inc. scores 45.5 compared to AppFolio, Inc.'s 46.3, placing AppFolio, Inc. ahead in operating efficiency. Gross margins stand at CarGurus, Inc. 93% vs AppFolio, Inc. 84%.
Sector Context
Both companies operate in the Vertical SaaS sector. The median columns above show where each company stands relative to their peers.