Applovin Corp (APP)vsStagwell Inc (STGW)
APP
Applovin Corp
$435.91
-5.02%
COMMUNICATION SERVICES · Cap: $155.10B
STGW
Stagwell Inc
$6.16
-0.16%
COMMUNICATION SERVICES · Cap: $1.56B
Smart Verdict
WallStSmart Research — data-driven comparison
Applovin Corp generates 88% more annual revenue ($5.48B vs $2.91B). STGW leads profitability with a 100.0% profit margin vs 60.8%. APP trades at a lower P/E of 45.7x. APP earns a higher WallStSmart Score of 77/100 (B+).
APP
Strong Buy77
out of 100
Grade: B+
STGW
Hold45
out of 100
Grade: D+
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
-42.3%
Fair Value
$3.74
Current Price
$6.16
$2.42 premium
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
Keeps 100 of every $100 in revenue as profit
Earnings expanding 65.1% YoY
Reasonable price relative to book value
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
2.4% revenue growth
Smaller company, higher risk/reward
ROE of 3.9% — below average capital efficiency
Premium valuation, high expectations priced in
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 : STGW
The strongest argument for STGW centers on Profit Margin, EPS Growth, Price/Book. Profitability is solid with margins at 100.0% and operating margin at 7.3%.
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 : STGW
The primary concerns for STGW are Revenue Growth, Market Cap, Return on Equity. A P/E of 77.0x leaves little room for execution misses. Debt-to-equity of 2.35 is elevated, increasing financial risk.
Key Dynamics to Monitor
APP profiles as a growth stock while STGW 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 45/100), backed by strong 60.8% margins and 65.9% revenue growth. Both earn "Strong Buy" and "Hold" 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 →Stagwell Inc
COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA
Stagwell Inc. (STGW) is a cutting-edge digital marketing and communications agency that has rapidly established itself as a leader in the industry since its inception in 2015. With a comprehensive suite of services including advertising, public relations, and digital media, Stagwell leverages advanced technology and data analytics to drive impactful growth for brands. The company's strategic focus on performance-driven solutions and targeted acquisitions enhances its competitive positioning while adapting to the dynamic marketing landscape. For institutional investors, Stagwell presents a unique opportunity to invest in a transformative firm poised for continued success in the evolving global marketplace.
Visit Website →Compare with Other ADVERTISING AGENCIES Stocks
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