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

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

Company Profile

SymbolAPPVRSN
Company NameAppLovin CorporationVeriSign, Inc.
CountryUnited StatesUnited States
GICS SectorInformation TechnologyInformation Technology
GICS IndustrySoftwareIT Services
Market Capitalization139.49 billion USD25.35 billion USD
ExchangeNasdaqGSNasdaqGS
Listing DateApril 15, 2021January 30, 1998
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of APP and VRSN 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. VRSN: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolAPPVRSN
5-Day Price Return-7.57%1.72%
13-Week Price Return13.87%-3.92%
26-Week Price Return8.49%18.35%
52-Week Price Return377.82%48.47%
Month-to-Date Return5.61%0.95%
Year-to-Date Return27.41%31.15%
10-Day Avg. Volume7.65M0.91M
3-Month Avg. Volume6.15M0.90M
3-Month Volatility56.57%29.51%
Beta2.480.78

Profitability

Return on Equity (TTM)

APP

257.74%

Software Industry

Max
59.01%
Q3
21.98%
Median
7.15%
Q1
-11.12%
Min
-51.24%

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.

VRSN

113.55%

IT Services Industry

Max
29.51%
Q3
16.98%
Median
13.47%
Q1
7.93%
Min
-3.97%

VRSN’s Return on Equity of 113.55% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates a superior ability to generate profit from shareholder investments, though it could also be inflated by high financial leverage.

APP vs. VRSN: A comparison of their Return on Equity (TTM) against their respective Software and IT Services industry benchmarks.

Net Profit Margin (TTM)

APP

45.72%

Software Industry

Max
48.14%
Q3
18.23%
Median
5.60%
Q1
-9.22%
Min
-49.36%

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.

VRSN

50.03%

IT Services Industry

Max
19.82%
Q3
11.49%
Median
6.67%
Q1
3.61%
Min
-4.62%

VRSN’s Net Profit Margin of 50.03% is exceptionally high, placing it well beyond the typical range for the IT Services industry. This demonstrates outstanding operational efficiency and a strong competitive advantage in converting revenue into profit.

APP vs. VRSN: A comparison of their Net Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Operating Profit Margin (TTM)

APP

52.02%

Software Industry

Max
57.34%
Q3
20.60%
Median
7.84%
Q1
-8.72%
Min
-51.37%

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.

VRSN

67.89%

IT Services Industry

Max
21.69%
Q3
14.50%
Median
10.06%
Q1
6.98%
Min
0.06%

VRSN’s Operating Profit Margin of 67.89% is exceptionally high, placing it well above the typical range for the IT Services industry. This demonstrates outstanding efficiency in managing its core operations, which can be a result of strong pricing power or superior cost control.

APP vs. VRSN: A comparison of their Operating Profit Margin (TTM) against their respective Software and IT Services industry benchmarks.

Profitability at a Glance

SymbolAPPVRSN
Return on Equity (TTM)257.74%113.55%
Return on Assets (TTM)42.29%55.87%
Net Profit Margin (TTM)45.72%50.03%
Operating Profit Margin (TTM)52.02%67.89%
Gross Profit Margin (TTM)80.87%87.88%

Financial Strength

Current Ratio (MRQ)

APP

2.74

Software Industry

Max
3.83
Q3
2.31
Median
1.45
Q1
1.03
Min
0.24

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.

VRSN

0.54

IT Services Industry

Max
2.42
Q3
1.81
Median
1.47
Q1
1.09
Min
0.44

VRSN’s Current Ratio of 0.54 falls into the lower quartile for the IT 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. VRSN: A comparison of their Current Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Debt-to-Equity Ratio (MRQ)

APP

3.01

Software Industry

Max
2.14
Q3
0.90
Median
0.29
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.

VRSN

1.07

IT Services Industry

Max
2.33
Q3
1.17
Median
0.54
Q1
0.15
Min
0.00

VRSN’s Debt-to-Equity Ratio of 1.07 is typical for the IT Services industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

APP vs. VRSN: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Interest Coverage Ratio (TTM)

APP

6.44

Software Industry

Max
67.02
Q3
19.86
Median
0.70
Q1
-12.50
Min
-53.00

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.

VRSN

27.96

IT Services Industry

Max
144.50
Q3
84.49
Median
13.76
Q1
2.59
Min
-28.13

VRSN’s Interest Coverage Ratio of 27.96 is positioned comfortably within the norm for the IT Services industry, indicating a standard and healthy capacity to cover its interest payments.

APP vs. VRSN: A comparison of their Interest Coverage Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Financial Strength at a Glance

SymbolAPPVRSN
Current Ratio (MRQ)2.740.54
Quick Ratio (MRQ)2.540.50
Debt-to-Equity Ratio (MRQ)3.011.07
Interest Coverage Ratio (TTM)6.4427.96

Growth

Revenue Growth

APP vs. VRSN: 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. VRSN: 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
0.08%
Q3
0.03%
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.

VRSN

0.00%

IT Services Industry

Max
2.80%
Q3
1.74%
Median
0.62%
Q1
0.00%
Min
0.00%

VRSN 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. VRSN: A comparison of their Dividend Yield (TTM) against their respective Software and IT Services industry benchmarks.

Dividend Payout Ratio (TTM)

APP

0.00%

Software Industry

Max
1.32%
Q3
0.53%
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.

VRSN

0.00%

IT Services Industry

Max
147.75%
Q3
63.58%
Median
24.63%
Q1
0.00%
Min
0.00%

VRSN 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. VRSN: A comparison of their Dividend Payout Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Dividend at a Glance

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

Valuation

Price-to-Earnings Ratio (TTM)

APP

57.41

Software Industry

Max
149.35
Q3
100.21
Median
47.97
Q1
26.77
Min
11.68

APP’s P/E Ratio of 57.41 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.

VRSN

31.73

IT Services Industry

Max
41.55
Q3
31.54
Median
23.25
Q1
18.12
Min
6.57

A P/E Ratio of 31.73 places VRSN in the upper quartile for the IT Services industry. This high valuation relative to peers suggests the market holds elevated expectations for the company’s future growth.

APP vs. VRSN: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Sales Ratio (TTM)

APP

26.25

Software Industry

Max
25.24
Q3
13.52
Median
8.15
Q1
4.87
Min
0.98

With a P/S Ratio of 26.25, 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.

VRSN

15.88

IT Services Industry

Max
6.61
Q3
4.37
Median
2.02
Q1
1.20
Min
0.19

With a P/S Ratio of 15.88, VRSN trades at a valuation that eclipses even the highest in the IT Services industry. This implies the market has priced in exceptionally optimistic scenarios for future revenue growth, posing considerable valuation risk.

APP vs. VRSN: A comparison of their Price-to-Sales Ratio (TTM) against their respective Software and IT Services industry benchmarks.

Price-to-Book Ratio (MRQ)

APP

101.50

Software Industry

Max
30.95
Q3
14.91
Median
7.75
Q1
3.60
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.

VRSN

11.17

IT Services Industry

Max
11.19
Q3
6.38
Median
3.47
Q1
2.31
Min
0.96

VRSN’s P/B Ratio of 11.17 is in the upper tier for the IT Services industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

APP vs. VRSN: A comparison of their Price-to-Book Ratio (MRQ) against their respective Software and IT Services industry benchmarks.

Valuation at a Glance

SymbolAPPVRSN
Price-to-Earnings Ratio (TTM)57.4131.73
Price-to-Sales Ratio (TTM)26.2515.88
Price-to-Book Ratio (MRQ)101.5011.17
Price-to-Free Cash Flow Ratio (TTM)48.1826.71