AFRM vs. APP: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at AFRM and APP, comparing key factors like performance, valuation metrics, dividends, and financial strength. It’s built for investors or anyone curious to see how these two stocks match up.
Company Overview
APP stands out with 121.26 billion USD in market value—about 7.96× AFRM’s market cap of 15.24 billion USD.
AFRM’s beta of 3.66 points to much larger expected swings compared to APP’s calmer 2.39, suggesting both higher upside and downside potential.
| Symbol | AFRM | APP |
|---|---|---|
| Company Name | Affirm Holdings, Inc. | AppLovin Corporation |
| Country | US | US |
| Sector | Technology | Technology |
| Industry | Software - Infrastructure | Software - Application |
| CEO | Mr. Max Roth Levchin | Mr. Adam Arash Foroughi |
| Price | 47.24 USD | 358.35 USD |
| Market Cap | 15.24 billion USD | 121.26 billion USD |
| Beta | 3.66 | 2.39 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | January 13, 2021 | April 15, 2021 |
| ADR | No | No |
Performance Comparison
This chart compares the performance of AFRM and APP over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).
Hover over the lines to see the investment’s value and total return (%) at specific dates.
Data is adjusted for dividends and splits.
Valuation Metrics Comparison
The section examines key financial ratios to assess the valuation of AFRM and APP based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- AFRM posts a negative P/E of -246.14, reflecting last year’s net loss, while APP at 63.43 signals healthy earnings.
- AFRM posts a negative forward PEG of -1.38, hinting at anticipated earnings decline, whereas APP at 2.43 has projections for stable or growing earnings.
| Symbol | AFRM | APP |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | -246.14 | 63.43 |
| Forward PEG Ratio (TTM) | -1.38 | 2.43 |
| Price-to-Sales Ratio (P/S, TTM) | 5.07 | 23.61 |
| Price-to-Book Ratio (P/B, TTM) | 5.32 | 211.64 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 25.04 | 47.87 |
| EV-to-EBITDA (TTM) | 69.85 | 47.30 |
| EV-to-Sales (TTM) | 7.07 | 24.23 |
| EV-to-Free Cash Flow (TTM) | 34.90 | 49.12 |
Dividend Comparison
Neither AFRM nor APP currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.
| Symbol | AFRM | APP |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 0.00% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of AFRM and APP, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- APP is highly leveraged (debt-to-equity ratio 6.45), elevating both potential gains and risks, compared to AFRM at 2.56, which maintains a steadier capital structure.
- With negative EBIT (-0.24), AFRM cannot cover its interest payments. APP, with an interest coverage of 7.41, meets its interest obligations.
| Symbol | AFRM | APP |
|---|---|---|
| Current Ratio (TTM) | 63.09 | 1.68 |
| Quick Ratio (TTM) | 63.09 | 1.68 |
| Debt-to-Equity Ratio (TTM) | 2.56 | 6.45 |
| Debt-to-Assets Ratio (TTM) | 0.71 | 0.65 |
| Interest Coverage Ratio (TTM) | -0.24 | 7.41 |