ARM vs. ESTC: A Head-to-Head Stock Comparison

Company Overview

ARM dwarfs ESTC in market cap, clocking in at 137.89 billion USD—about 14.57 times the 9.47 billion USD of its counterpart.

ARM rides a wilder wave with a beta of 4.41, hinting at bigger swings than ESTC’s steadier 1.20.

Worth noting: ARM flies the ADR flag, tying it to a foreign outfit on U.S. soil, while ESTC sticks to plain-vanilla U.S. listing.

Performance Comparison

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

• ARM carries a lofty P/E of 170.26, where its market price towers over its earnings from the past year—investors are paying a significant premium for each dollar of profit. In stark contrast, ESTC at -71.03 is negative, revealing a complete absence of net earnings over the same period.

Dividend Comparison

Neither ARM nor ESTC pays dividends, suggesting both reinvest all profits into growth—likely expansion or innovation—favoring long-term value over immediate income.

Financial Strength Metrics Comparison

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

• ARM’s interest coverage reads “--”, suggesting interest expenses are next to nothing—think tiny debt or ultra-low rates—while ESTC at -3.16 teeters below 1.5, earnings barely clearing interest.