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

Company Overview

APP dominates in value with a market cap of 121.26 billion USD, eclipsing TTWO’s 40.02 billion USD by roughly 3.03×.

APP’s beta of 2.39 points to much larger expected swings compared to TTWO’s calmer 1.09, suggesting both higher upside and downside potential.

Performance Comparison

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

• TTWO shows a negative P/E of -8.95, highlighting a year of losses, whereas APP at 63.43 trades on solid profitability.
• TTWO shows a negative forward PEG of -0.30, signaling expected earnings contraction, while APP at 2.43 maintains analysts’ projections for stable or improved profits.
• TTWO reports a negative Price-to-Free Cash Flow ratio of -80.92, showing a cash flow shortfall that could threaten its operational sustainability, while APP at 47.87 maintains positive cash flow.

Dividend Comparison

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

Financial Strength Metrics Comparison

This section dives into the financial resilience of APP and TTWO, spotlighting key metrics like liquidity, leverage, and debt coverage. Check out the standout observations below where notable differences or extremes pop up.

• TTWO’s current ratio of 0.78 indicates its assets may not cover near-term debts, whereas APP at 1.68 maintains healthy liquidity.
• TTWO posts a quick ratio of 0.78, indicating limited coverage of short-term debts from its most liquid assets—while APP at 1.68 enjoys stronger liquidity resilience.
• APP is heavily leveraged (debt-to-equity ratio 6.45), which can boost returns but raises risk if borrowing costs climb, while TTWO at 0.75 keeps leverage at a more moderate level.
• APP meets its interest obligations (ratio 7.41). In stark contrast, TTWO’s negative ratio (-86.19) means its operating earnings (EBIT) don't cover basic operations, let alone interest, signaling serious financial trouble.