APP vs. ERIC: A Head-to-Head Stock Comparison
UpdatedHere’s a clear look at APP and ERIC, 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 dominates in value with a market cap of 121.26 billion USD, eclipsing ERIC’s 29.42 billion USD by roughly 4.12×.
APP’s beta of 2.39 points to much larger expected swings compared to ERIC’s calmer 0.44, suggesting both higher upside and downside potential.
ERIC is an ADR, letting U.S. buyers tap its non-U.S. business directly, unlike APP, which is purely domestic.
| Symbol | APP | ERIC |
|---|---|---|
| Company Name | AppLovin Corporation | Telefonaktiebolaget LM Ericsson (publ) |
| Country | US | SE |
| Sector | Technology | Technology |
| Industry | Software - Application | Communication Equipment |
| CEO | Mr. Adam Arash Foroughi | Mr. Anthony F. Bartolo |
| Price | 358.35 USD | 8.86 USD |
| Market Cap | 121.26 billion USD | 29.42 billion USD |
| Beta | 2.39 | 0.44 |
| Exchange | NASDAQ | NASDAQ |
| IPO Date | April 15, 2021 | August 24, 1981 |
| ADR | No | Yes |
Performance Comparison
This chart compares the performance of APP and ERIC 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 APP and ERIC based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.
- ERIC features a high P/E of 175.63, indicating strong growth expectations, compared to APP at 63.43, which trades at a more standard valuation based on its current earnings.
- ERIC shows a negative forward PEG of -63.27, signaling expected earnings contraction, while APP at 2.43 maintains analysts’ projections for stable or improved profits.
| Symbol | APP | ERIC |
|---|---|---|
| Price-to-Earnings Ratio (P/E, TTM) | 63.43 | 175.63 |
| Forward PEG Ratio (TTM) | 2.43 | -63.27 |
| Price-to-Sales Ratio (P/S, TTM) | 23.61 | 1.13 |
| Price-to-Book Ratio (P/B, TTM) | 211.64 | 3.29 |
| Price-to-Free Cash Flow Ratio (P/FCF, TTM) | 47.87 | 6.71 |
| EV-to-EBITDA (TTM) | 47.30 | 6.12 |
| EV-to-Sales (TTM) | 24.23 | 1.12 |
| EV-to-Free Cash Flow (TTM) | 49.12 | 6.66 |
Dividend Comparison
APP offers a 0% dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while ERIC provides a 3.28% dividend yield, giving investors a steady income stream.
| Symbol | APP | ERIC |
|---|---|---|
| Dividend Yield (TTM) | 0.00% | 3.28% |
Financial Strength Metrics Comparison
This section dives into the financial resilience of APP and ERIC, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.
- APP is heavily leveraged (debt-to-equity ratio 6.45), which can boost returns but raises risk if borrowing costs climb, while ERIC at 0.49 keeps leverage at a more moderate level.
| Symbol | APP | ERIC |
|---|---|---|
| Current Ratio (TTM) | 1.68 | 1.09 |
| Quick Ratio (TTM) | 1.68 | 0.88 |
| Debt-to-Equity Ratio (TTM) | 6.45 | 0.49 |
| Debt-to-Assets Ratio (TTM) | 0.65 | 0.15 |
| Interest Coverage Ratio (TTM) | 7.41 | 6.76 |