Applovin Corp (APP)vsSynopsys Inc (SNPS)
APP
Applovin Corp
$435.91
-5.02%
COMMUNICATION SERVICES · Cap: $155.10B
SNPS
Synopsys Inc
$410.13
-1.99%
TECHNOLOGY · Cap: $78.57B
Smart Verdict
WallStSmart Research — data-driven comparison
Synopsys Inc generates 46% more annual revenue ($8.01B vs $5.48B). APP leads profitability with a 60.8% profit margin vs 13.8%. APP appears more attractively valued with a PEG of 1.22. APP earns a higher WallStSmart Score of 77/100 (B+).
APP
Strong Buy77
out of 100
Grade: B+
SNPS
Buy51
out of 100
Grade: C-
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
-825.0%
Fair Value
$44.34
Current Price
$410.13
$365.79 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
Revenue surging 65.5% year-over-year
Large-cap with strong market position
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
ROE of 5.5% — below average capital efficiency
Weak financial health signals
Expensive relative to growth rate
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 : SNPS
The strongest argument for SNPS centers on Revenue Growth, Market Cap, Price/Book. Revenue growth of 65.5% demonstrates continued momentum.
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 : SNPS
The primary concerns for SNPS are Return on Equity, Piotroski F-Score, PEG Ratio. A P/E of 62.9x leaves little room for execution misses.
Key Dynamics to Monitor
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.
Monitor ADVERTISING AGENCIES industry trends, competitive dynamics, and regulatory changes.
Bottom Line
APP scores higher overall (77/100 vs 51/100), backed by strong 60.8% margins and 65.9% revenue growth. Both earn "Strong Buy" and "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 →Synopsys Inc
TECHNOLOGY · SOFTWARE - INFRASTRUCTURE · USA
Synopsys is an American electronic design automation company that focuses on silicon design and verification, silicon intellectual property and software security and quality. Products include logic synthesis, behavioral synthesis, place and route, static timing analysis, formal verification, hardware description language (SystemC, SystemVerilog/Verilog, VHDL) simulators, and transistor-level circuit simulation.
Visit Website →Compare with Other ADVERTISING AGENCIES Stocks
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