Applovin Corp (APP)vsCognizant Technology Solutions Corp Class A (CTSH)
APP
Applovin Corp
$468.55
-6.08%
COMMUNICATION SERVICES · Cap: $167.59B
CTSH
Cognizant Technology Solutions Corp Class A
$51.68
-0.50%
TECHNOLOGY · Cap: $24.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Cognizant Technology Solutions Corp Class A generates 247% more annual revenue ($21.41B vs $6.16B). APP leads profitability with a 64.3% profit margin vs 10.4%. CTSH appears more attractively valued with a PEG of 0.85. APP earns a higher WallStSmart Score of 77/100 (B+).
APP
Strong Buy77
out of 100
Grade: B+
CTSH
Strong Buy67
out of 100
Grade: B-
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
-56.9%
Fair Value
$242.94
Current Price
$468.55
$225.61 premium
Margin of Safety
+76.7%
Fair Value
$304.80
Current Price
$51.68
$253.12 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Every $100 of equity generates 266 in profit
Keeps 64 of every $100 in revenue as profit
Strong operational efficiency at 78.1%
Revenue surging 59.0% year-over-year
Earnings expanding 113.0% YoY
Safe zone — low bankruptcy risk
Attractively priced relative to earnings
Growing faster than its price suggests
Reasonable price relative to book value
Areas to Watch
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 74.3x book value
3.6% earnings growth
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull Case : APP
The strongest argument for APP centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 64.3% and operating margin at 78.1%. Revenue growth of 59.0% demonstrates continued momentum.
Bull Case : CTSH
The strongest argument for CTSH centers on P/E Ratio, PEG Ratio, Price/Book. PEG of 0.85 suggests the stock is reasonably priced for its growth.
Bear Case : APP
The primary concerns for APP are Debt/Equity, P/E Ratio, Price/Book. A P/E of 43.3x leaves little room for execution misses. Debt-to-equity of 1.66 is elevated, increasing financial risk.
Bear Case : CTSH
The primary concerns for CTSH are EPS Growth, Piotroski F-Score.
Key Dynamics to Monitor
APP profiles as a growth stock while CTSH is a value play — different risk/reward profiles.
APP carries more volatility with a beta of 2.37 — expect wider price swings.
APP is growing revenue faster at 59.0% — sustainability is the question.
APP generates stronger free cash flow (1.3B), providing more financial flexibility.
Bottom Line
APP scores higher overall (77/100 vs 67/100), backed by strong 64.3% margins and 59.0% revenue growth. CTSH offers better value entry with a 76.7% margin of safety. 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.
Visit Website →Cognizant Technology Solutions Corp Class A
TECHNOLOGY · INFORMATION TECHNOLOGY SERVICES · USA
Cognizant is an American multinational technology company that provides business consulting, information technology and outsourcing services. It is headquartered in Teaneck, New Jersey, United States.
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