WallStSmart

Applovin Corp (APP)vsZiff Davis Inc (ZD)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Applovin Corp generates 278% more annual revenue ($5.48B vs $1.45B). APP leads profitability with a 60.8% profit margin vs 3.3%. APP appears more attractively valued with a PEG of 1.22. APP earns a higher WallStSmart Score of 77/100 (B+).

APP

Strong Buy

77

out of 100

Grade: B+

Growth: 10.0Profit: 8.5Value: 8.7Quality: 9.0
Piotroski: 5/9Altman Z: 3.74

ZD

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 5.5Value: 7.3Quality: 6.5
Piotroski: 3/9Altman Z: 1.70
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

APPUndervalued (+10.4%)

Margin of Safety

+10.4%

Fair Value

$470.34

Current Price

$435.91

$34.43 discount

UndervaluedFair: $470.34Overvalued
ZDSignificantly Overvalued (-305.9%)

Margin of Safety

-305.9%

Fair Value

$7.75

Current Price

$43.46

$35.71 premium

UndervaluedFair: $7.75Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

APP6 strengths · Avg: 9.8/10
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

Market CapQuality
$155.10B9/10

Large-cap with strong market position

ZD2 strengths · Avg: 9.0/10
Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Operating MarginProfitability
21.2%8/10

Strong operational efficiency at 21.2%

Areas to Watch

APP4 concerns · Avg: 2.5/10
Return on EquityProfitability
2.1%3/10

ROE of 2.1% — below average capital efficiency

Debt/EquityHealth
1.663/10

Elevated debt levels

P/E RatioValuation
45.7x2/10

Premium valuation, high expectations priced in

Price/BookValuation
69.1x2/10

Trading at 69.1x book value

ZD4 concerns · Avg: 3.8/10
PEG RatioValuation
1.534/10

Expensive relative to growth rate

P/E RatioValuation
38.1x4/10

Premium valuation, high expectations priced in

Altman Z-ScoreHealth
1.704/10

Distress zone — elevated risk

Market CapQuality
$1.72B3/10

Smaller company, higher risk/reward

Comparative Analysis Report

WallStSmart Research

Bull 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 : ZD

The strongest argument for ZD centers on Price/Book, Operating Margin.

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 : ZD

The primary concerns for ZD are PEG Ratio, P/E Ratio, Altman Z-Score. Thin 3.3% margins leave little buffer for downturns.

Key Dynamics to Monitor

APP profiles as a growth stock while ZD 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 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.

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Ziff Davis Inc

COMMUNICATION SERVICES · ADVERTISING AGENCIES · USA

J2 Global, Inc. provides Internet services worldwide. The company is headquartered in Los Angeles, California.

Visit Website →

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