WallStSmart

Applovin Corp (APP)vsBank of America Corp (BAC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Bank of America Corp generates 1860% more annual revenue ($107.42B vs $5.48B). APP leads profitability with a 60.8% profit margin vs 28.4%. BAC appears more attractively valued with a PEG of 0.89. BAC earns a higher WallStSmart Score of 80/100 (B+).

APP

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 8.5Value: 8.7Quality: 9.0
Piotroski: 5/9Altman Z: 3.74

BAC

Strong Buy

80

out of 100

Grade: B+

Growth: 8.0Profit: 7.5Value: 10.0Quality: 5.0
Piotroski: 5/9Altman Z: -0.27
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

APPUndervalued (+10.4%)

Margin of Safety

+10.4%

Fair Value

$470.34

Current Price

$435.91

$34.43 discount

UndervaluedFair: $470.34Overvalued
BACUndervalued (+68.6%)

Margin of Safety

+68.6%

Fair Value

$155.14

Current Price

$48.75

$106.39 discount

UndervaluedFair: $155.14Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

APP6 strengths · Avg: 9.8/10
Profit MarginProfitability
60.8%10/10

Keeps 61 of every $100 in revenue as profit

Operating MarginProfitability
76.9%10/10

Strong operational efficiency at 76.9%

Revenue GrowthGrowth
65.9%10/10

Revenue surging 65.9% year-over-year

EPS GrowthGrowth
84.7%10/10

Earnings expanding 84.7% YoY

Altman Z-ScoreHealth
3.7410/10

Safe zone — low bankruptcy risk

Market CapQuality
$155.10B9/10

Large-cap with strong market position

BAC6 strengths · Avg: 9.2/10
Market CapQuality
$351.54B10/10

Mega-cap, among the largest globally

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
41.6%10/10

Strong operational efficiency at 41.6%

Profit MarginProfitability
28.4%9/10

Keeps 28 of every $100 in revenue as profit

PEG RatioValuation
0.898/10

Growing faster than its price suggests

P/E RatioValuation
12.6x8/10

Attractively priced relative to earnings

Areas to Watch

APP4 concerns · Avg: 2.5/10
Return on EquityProfitability
2.1%3/10

ROE of 2.1% — below average capital efficiency

Debt/EquityHealth
1.663/10

Elevated debt levels

P/E RatioValuation
45.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
69.1x2/10

Trading at 69.1x book value

BAC3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.213/10

Elevated debt levels

Free Cash FlowQuality
$-22.95B2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
-0.272/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : APP

The strongest argument for APP centers on Profit Margin, Operating Margin, Revenue Growth. Profitability is solid with margins at 60.8% and operating margin at 76.9%. Revenue growth of 65.9% demonstrates continued momentum.

Bull Case : BAC

The strongest argument for BAC centers on Market Cap, Price/Book, Operating Margin. Profitability is solid with margins at 28.4% and operating margin at 41.6%. PEG of 0.89 suggests the stock is reasonably priced for its growth.

Bear Case : APP

The primary concerns for APP are Return on Equity, Debt/Equity, P/E Ratio. A P/E of 45.7x leaves little room for execution misses. Debt-to-equity of 1.66 is elevated, increasing financial risk.

Bear Case : BAC

The primary concerns for BAC are Debt/Equity, Free Cash Flow, Altman Z-Score.

Key Dynamics to Monitor

APP profiles as a growth stock while BAC is a mature play — different risk/reward profiles.

APP carries more volatility with a beta of 2.50 — expect wider price swings.

APP is growing revenue faster at 65.9% — sustainability is the question.

APP generates stronger free cash flow (1.3B), providing more financial flexibility.

Bottom Line

BAC scores higher overall (80/100 vs 77/100), backed by strong 28.4% margins. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Applovin Corp

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

AppLovin Corporation is committed to creating a software-based platform for mobile application developers to improve the marketing and monetization of their applications globally. The company is headquartered in Palo Alto, California.

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Bank of America Corp

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

The Bank of America Corporation is an American multinational investment bank and financial services holding company headquartered in Charlotte, North Carolina. Founded in San Francisco, Bank of America was formed through NationsBank's acquisition of BankAmerica in 1998. It is the second largest banking institution in the United States, after JPMorgan Chase, and the eighth largest bank in the world. Bank of America is one of the Big Four banking institutions of the United States. It services approximately 10 percent of all American bank deposits, in direct competition with JPMorgan Chase, Citigroup and Wells Fargo. Its primary financial services revolve around commercial banking, wealth management, and investment banking.

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