WallStSmart

Applovin Corp (APP)vsMagnite Inc (MGNI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Applovin Corp generates 668% more annual revenue ($5.48B vs $713.95M). APP leads profitability with a 60.8% profit margin vs 20.3%. MGNI trades at a lower P/E of 13.0x. APP earns a higher WallStSmart Score of 77/100 (B+).

APP

Strong Buy

77

out of 100

Grade: B+

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

MGNI

Strong Buy

68

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 8.3Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

APPUndervalued (+10.4%)

Margin of Safety

+10.4%

Fair Value

$470.34

Current Price

$442.39

$27.95 discount

UndervaluedFair: $470.34Overvalued
MGNIUndervalued (+73.5%)

Margin of Safety

+73.5%

Fair Value

$44.46

Current Price

$12.38

$32.08 discount

UndervaluedFair: $44.46Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

APP6 strengths · Avg: 10.0/10
Return on EquityProfitability
213.0%10/10

Every $100 of equity generates 213 in profit

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

MGNI5 strengths · Avg: 8.6/10
EPS GrowthGrowth
230.0%10/10

Earnings expanding 230.0% YoY

Profit MarginProfitability
20.3%9/10

Keeps 20 of every $100 in revenue as profit

P/E RatioValuation
13.0x8/10

Attractively priced relative to earnings

Price/BookValuation
1.9x8/10

Reasonable price relative to book value

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

Areas to Watch

APP3 concerns · Avg: 2.3/10
Debt/EquityHealth
1.663/10

Elevated debt levels

P/E RatioValuation
45.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
70.1x2/10

Trading at 70.1x book value

MGNI1 concerns · Avg: 3.0/10
Market CapQuality
$1.78B3/10

Smaller company, higher risk/reward

Comparative Analysis Report

WallStSmart Research

Bull Case : APP

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

Bull Case : MGNI

The strongest argument for MGNI centers on EPS Growth, Profit Margin, P/E Ratio. Profitability is solid with margins at 20.3% and operating margin at 25.4%.

Bear Case : APP

The primary concerns for APP are Debt/Equity, P/E Ratio, Price/Book. 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 : MGNI

The primary concerns for MGNI are Market Cap.

Key Dynamics to Monitor

APP profiles as a growth stock while MGNI 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

APP scores higher overall (77/100 vs 68/100), backed by strong 60.8% margins and 65.9% revenue growth. MGNI offers better value entry with a 73.5% 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.

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Magnite Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

Magnite, Inc. operates an independent sales advertising platform in the United States and internationally. The company is headquartered in Los Angeles, California.

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