Applovin Corp (APP)vsCognizant Technology Solutions Corp Class A (CTSH)
APP
Applovin Corp
$435.91
-5.02%
COMMUNICATION SERVICES · Cap: $155.10B
CTSH
Cognizant Technology Solutions Corp Class A
$59.79
-0.75%
TECHNOLOGY · Cap: $28.86B
Smart Verdict
WallStSmart Research — data-driven comparison
Cognizant Technology Solutions Corp Class A generates 285% more annual revenue ($21.11B vs $5.48B). APP leads profitability with a 60.8% profit margin vs 10.6%. CTSH appears more attractively valued with a PEG of 1.02. APP earns a higher WallStSmart Score of 77/100 (B+).
APP
Strong Buy77
out of 100
Grade: B+
CTSH
Strong Buy71
out of 100
Grade: B
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+10.4%
Fair Value
$470.34
Current Price
$435.91
$34.43 discount
Margin of Safety
+63.1%
Fair Value
$192.25
Current Price
$59.79
$132.46 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Keeps 61 of every $100 in revenue as profit
Strong operational efficiency at 76.9%
Revenue surging 65.9% year-over-year
Earnings expanding 84.7% YoY
Safe zone — low bankruptcy risk
Large-cap with strong market position
Attractively priced relative to earnings
Reasonable price relative to book value
Earnings expanding 22.1% YoY
Areas to Watch
ROE of 2.1% — below average capital efficiency
Elevated debt levels
Premium valuation, high expectations priced in
Trading at 69.1x book value
4.9% revenue growth
Weak financial health signals
Comparative Analysis Report
WallStSmart ResearchBull 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 : CTSH
The strongest argument for CTSH centers on P/E Ratio, Price/Book, EPS Growth. PEG of 1.02 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 : CTSH
The primary concerns for CTSH are Revenue 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 2.50 — 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
APP scores higher overall (77/100 vs 71/100), backed by strong 60.8% margins and 65.9% revenue growth. CTSH offers better value entry with a 63.1% 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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