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

Updated

Here’s a clear look at APP and XOM, comparing key factors like performance, valuation metrics, dividends, and financial strength.

Company Overview

XOM’s market capitalization of 452.38 billion USD is significantly greater than APP’s 129.81 billion USD, highlighting its more substantial market valuation.

APP’s beta of 2.53 points to significantly higher volatility compared to XOM (beta: 0.46), suggesting APP has greater potential for both gains and losses relative to market movements.

SymbolAPPXOM
Company NameAppLovin CorporationExxon Mobil Corporation
CountryUSUS
SectorTechnologyEnergy
IndustrySoftware - ApplicationOil & Gas Integrated
CEOMr. Adam Arash ForoughiMr. Darren W. Woods
Price383.6 USD104.97 USD
Market Cap129.81 billion USD452.38 billion USD
Beta2.530.46
ExchangeNASDAQNYSE
IPO DateApril 15, 2021January 13, 1978
ADRNoNo

Performance Comparison

This chart compares the performance of APP and XOM over the past year by tracking the growth of an initial $10,000 investment in each (starting one year ago).

Data is adjusted for dividends and splits.

Valuation Metrics Comparison

This section compares the market valuation of APP and XOM. Key takeaways regarding their valuation, when viewed within their industry context, are presented in the commentary that follows.

  • APP’s Price-to-Earnings (P/E) ratio of 67.90 is very high. This often means that its current market price reflects high investor confidence in its future earnings potential, but it could also suggest the stock is expensive relative to its current earnings power.
SymbolAPPXOM
Price-to-Earnings Ratio (P/E, TTM)67.9014.12
Forward PEG Ratio (TTM)2.750.78
Price-to-Sales Ratio (P/S, TTM)25.281.33
Price-to-Book Ratio (P/B, TTM)226.551.78
EV-to-EBITDA (TTM)50.556.44
EV-to-Sales (TTM)25.891.39

Dividend Comparison

APP currently offers no dividend yield, suggesting it may be reinvesting available cash back into the business for future growth, while XOM provides a 3.73% dividend yield, offering investors a component of income return.

SymbolAPPXOM
Dividend Yield (TTM)0.00%3.73%

Financial Strength Metrics Comparison

This section evaluates the financial strength of APP and XOM. Noteworthy observations on their financial resilience, considered from an industry perspective, are detailed in the points that follow.

  • APP’s Debt-to-Equity (D/E) ratio of 6.45 is very high. This indicates that the company is significantly financed by debt, which can amplify returns but also substantially increases its financial risk profile and vulnerability to earnings fluctuations.
SymbolAPPXOM
Current Ratio (TTM)1.681.24
Quick Ratio (TTM)1.680.90
Debt-to-Equity Ratio (TTM)6.450.14
Debt-to-Asset Ratio (TTM)0.650.08
Net Debt-to-EBITDA Ratio (TTM)1.200.28
Interest Coverage Ratio (TTM)7.4130.30