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

Updated

Here’s a clear look at APP and SOUN, 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 SOUN’s 3.80 billion USD by roughly 31.87×.

With betas of 2.39 for APP and 2.99 for SOUN, both show similar volatility profiles relative to the overall market.

SymbolAPPSOUN
Company NameAppLovin CorporationSoundHound AI, Inc.
CountryUSUS
SectorTechnologyTechnology
IndustrySoftware - ApplicationSoftware - Application
CEOMr. Adam Arash ForoughiDr. Keyvan Mohajer
Price358.35 USD9.47 USD
Market Cap121.26 billion USD3.80 billion USD
Beta2.392.99
ExchangeNASDAQNASDAQ
IPO DateApril 15, 2021April 28, 2022
ADRNoNo

Performance Comparison

This chart compares the performance of APP and SOUN 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 SOUN based on earnings, cash flow, sales, and book value. Pay attention to the following notable points where extreme values stand out.

  • SOUN shows a negative P/E of -19.79, highlighting a year of losses, whereas APP at 63.43 trades on solid profitability.
  • SOUN reports a negative Price-to-Free Cash Flow ratio of -35.62, showing a cash flow shortfall that could threaten its operational sustainability, while APP at 47.87 maintains positive cash flow.
SymbolAPPSOUN
Price-to-Earnings Ratio (P/E, TTM)63.43-19.79
Forward PEG Ratio (TTM)2.430.04
Price-to-Sales Ratio (P/S, TTM)23.6137.22
Price-to-Book Ratio (P/B, TTM)211.649.40
Price-to-Free Cash Flow Ratio (P/FCF, TTM)47.87-35.62
EV-to-EBITDA (TTM)47.30-20.15
EV-to-Sales (TTM)24.2334.86
EV-to-Free Cash Flow (TTM)49.12-33.36

Dividend Comparison

Neither APP nor SOUN currently pays a dividend yield; this often indicates they are reinvesting earnings for growth, prioritizing long-term expansion over immediate cash returns to shareholders.

SymbolAPPSOUN
Dividend Yield (TTM)0.00%0.00%

Financial Strength Metrics Comparison

This section dives into the financial resilience of APP and SOUN, 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 SOUN at 0.01 keeps leverage at a more moderate level.
  • APP meets its interest obligations (ratio 7.41). In stark contrast, SOUN’s negative ratio (-30.16) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.
SymbolAPPSOUN
Current Ratio (TTM)1.684.92
Quick Ratio (TTM)1.684.92
Debt-to-Equity Ratio (TTM)6.450.01
Debt-to-Assets Ratio (TTM)0.650.01
Interest Coverage Ratio (TTM)7.41-30.16