Seek Returns logo

APP vs. GTM: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at APP and GTM, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolAPPGTM
Company NameAppLovin CorporationZoomInfo Technologies Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyCommunication Services
GICS IndustrySoftwareInteractive Media & Services
Market Capitalization213.00 billion USD3.32 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateApril 15, 2021June 4, 2020
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of APP and GTM by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

APP vs. GTM: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAPPGTM
5-Day Price Return-7.89%-0.38%
13-Week Price Return78.52%-0.19%
26-Week Price Return140.36%--
52-Week Price Return349.95%--
Month-to-Date Return-12.36%-4.58%
Year-to-Date Return94.45%3.79%
10-Day Avg. Volume7.94M3.86M
3-Month Avg. Volume6.96M4.40M
3-Month Volatility62.37%50.65%
Beta2.571.89

Profitability

Return on Equity (TTM)

APP

257.74%

Software Industry

Max
66.28%
Q3
21.28%
Median
9.33%
Q1
-8.77%
Min
-48.16%

APP’s Return on Equity of 257.74% is exceptionally high, placing it well beyond the typical range for the Software industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

GTM

5.44%

Interactive Media & Services Industry

Max
49.37%
Q3
33.08%
Median
10.37%
Q1
5.76%
Min
-24.17%

GTM’s Return on Equity of 5.44% is in the lower quartile for the Interactive Media & Services industry. This indicates a less efficient generation of profit from its equity base when compared to its competitors.

APP vs. GTM: A comparison of their Return on Equity (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Net Profit Margin (TTM)

APP

45.72%

Software Industry

Max
51.92%
Q3
19.23%
Median
6.98%
Q1
-7.14%
Min
-41.00%

A Net Profit Margin of 45.72% places APP in the upper quartile for the Software industry, signifying strong profitability and more effective cost management than most of its peers.

GTM

7.28%

Interactive Media & Services Industry

Max
49.74%
Q3
29.54%
Median
20.53%
Q1
7.52%
Min
-14.52%

Falling into the lower quartile for the Interactive Media & Services industry, GTM’s Net Profit Margin of 7.28% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

APP vs. GTM: A comparison of their Net Profit Margin (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Operating Profit Margin (TTM)

APP

52.02%

Software Industry

Max
60.40%
Q3
21.25%
Median
9.90%
Q1
-4.97%
Min
-43.50%

An Operating Profit Margin of 52.02% places APP in the upper quartile for the Software industry. This signals a strong ability to translate revenue into operating profit, outperforming most of its competitors in core business efficiency.

GTM

13.26%

Interactive Media & Services Industry

Max
65.96%
Q3
36.82%
Median
18.53%
Q1
7.69%
Min
-18.13%

GTM’s Operating Profit Margin of 13.26% is around the midpoint for the Interactive Media & Services industry, indicating that its efficiency in managing core business operations is typical for the sector.

APP vs. GTM: A comparison of their Operating Profit Margin (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Profitability at a Glance

SymbolAPPGTM
Return on Equity (TTM)257.74%5.44%
Return on Assets (TTM)42.29%1.39%
Net Profit Margin (TTM)45.72%7.28%
Operating Profit Margin (TTM)52.02%13.26%
Gross Profit Margin (TTM)80.87%83.90%

Financial Strength

Current Ratio (MRQ)

APP

2.74

Software Industry

Max
4.29
Q3
2.37
Median
1.40
Q1
1.03
Min
0.25

APP’s Current Ratio of 2.74 is in the upper quartile for the Software industry. This signifies a strong liquidity position, suggesting the company is well-equipped to cover its immediate liabilities compared to its peers.

GTM

0.71

Interactive Media & Services Industry

Max
3.92
Q3
2.72
Median
1.85
Q1
1.20
Min
0.25

GTM’s Current Ratio of 0.71 falls into the lower quartile for the Interactive Media & Services industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

APP vs. GTM: A comparison of their Current Ratio (MRQ) against their respective Software and Interactive Media & Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

APP

3.01

Software Industry

Max
2.16
Q3
0.86
Median
0.31
Q1
0.00
Min
0.00

With a Debt-to-Equity Ratio of 3.01, APP operates with exceptionally high leverage compared to the Software industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

GTM

0.85

Interactive Media & Services Industry

Max
0.85
Q3
0.49
Median
0.29
Q1
0.04
Min
0.00

GTM’s leverage is in the upper quartile of the Interactive Media & Services industry, with a Debt-to-Equity Ratio of 0.85. While this approach can boost equity growth, it also exposes the company to greater financial vulnerability.

APP vs. GTM: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and Interactive Media & Services industry benchmarks.

Interest Coverage Ratio (TTM)

APP

6.44

Software Industry

Max
89.65
Q3
32.64
Median
1.00
Q1
-9.84
Min
-71.23

APP’s Interest Coverage Ratio of 6.44 is positioned comfortably within the norm for the Software industry, indicating a standard and healthy capacity to cover its interest payments.

GTM

2.05

Interactive Media & Services Industry

Max
23.65
Q3
16.48
Median
6.73
Q1
-0.87
Min
-3.62

GTM’s Interest Coverage Ratio of 2.05 is positioned comfortably within the norm for the Interactive Media & Services industry, indicating a standard and healthy capacity to cover its interest payments.

APP vs. GTM: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Financial Strength at a Glance

SymbolAPPGTM
Current Ratio (MRQ)2.740.71
Quick Ratio (MRQ)2.540.62
Debt-to-Equity Ratio (MRQ)3.010.85
Interest Coverage Ratio (TTM)6.442.05

Growth

Revenue Growth

APP vs. GTM: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

APP vs. GTM: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

APP

0.00%

Software Industry

Max
0.22%
Q3
0.11%
Median
0.00%
Q1
0.00%
Min
0.00%

APP currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

GTM

0.00%

Interactive Media & Services Industry

Max
3.07%
Q3
1.27%
Median
0.28%
Q1
0.00%
Min
0.00%

GTM currently does not pay a dividend, resulting in a yield of 0%. This is a common strategy for growth-focused companies that prioritize reinvesting earnings, though it may be less typical in mature, income-oriented sectors.

APP vs. GTM: A comparison of their Dividend Yield (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Dividend Payout Ratio (TTM)

APP

0.00%

Software Industry

Max
3.29%
Q3
2.41%
Median
0.00%
Q1
0.00%
Min
0.00%

APP has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

GTM

0.00%

Interactive Media & Services Industry

Max
101.53%
Q3
40.64%
Median
0.00%
Q1
0.00%
Min
0.00%

GTM has a Dividend Payout Ratio of 0%, indicating it does not currently pay a dividend. This is a common strategy for growth-oriented companies that reinvest all profits back into the business.

APP vs. GTM: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Dividend at a Glance

SymbolAPPGTM
Dividend Yield (TTM)0.00%0.00%
Dividend Payout Ratio (TTM)0.00%0.00%

Valuation

Price-to-Earnings Ratio (TTM)

APP

87.67

Software Industry

Max
145.74
Q3
94.88
Median
45.35
Q1
26.66
Min
8.80

APP’s P/E Ratio of 87.67 is within the middle range for the Software industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

GTM

37.19

Interactive Media & Services Industry

Max
50.72
Q3
41.60
Median
25.84
Q1
18.18
Min
1.76

GTM’s P/E Ratio of 37.19 is within the middle range for the Interactive Media & Services industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

APP vs. GTM: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Price-to-Sales Ratio (TTM)

APP

40.08

Software Industry

Max
25.67
Q3
13.68
Median
8.28
Q1
4.95
Min
0.90

With a P/S Ratio of 40.08, APP trades at a valuation that eclipses even the highest in the Software industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

GTM

2.71

Interactive Media & Services Industry

Max
23.76
Q3
11.40
Median
7.69
Q1
2.49
Min
0.00

GTM’s P/S Ratio of 2.71 aligns with the market consensus for the Interactive Media & Services industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

APP vs. GTM: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and Interactive Media & Services industry benchmarks.

Price-to-Book Ratio (MRQ)

APP

101.50

Software Industry

Max
30.67
Q3
14.92
Median
8.52
Q1
3.89
Min
0.38

At 101.50, APP’s P/B Ratio is at an extreme premium to the Software industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

GTM

2.21

Interactive Media & Services Industry

Max
16.71
Q3
9.00
Median
3.97
Q1
2.19
Min
0.33

GTM’s P/B Ratio of 2.21 is within the conventional range for the Interactive Media & Services industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

APP vs. GTM: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and Interactive Media & Services industry benchmarks.

Valuation at a Glance

SymbolAPPGTM
Price-to-Earnings Ratio (TTM)87.6737.19
Price-to-Sales Ratio (TTM)40.082.71
Price-to-Book Ratio (MRQ)101.502.21
Price-to-Free Cash Flow Ratio (TTM)73.5711.95
APP vs. GTM: A Head-to-Head Stock Comparison