AppLovin Corporation (APP) vs Magnite, Inc. (MGNI)

AppLovin Corporation and Magnite, Inc. are both Advertising Agencies companies. AppLovin Corporation is the larger, with a market value of $90.9B against $4.0B — 23.0× the size. Magnite, Inc. trades at the lower P/E: 21.9× against 27.3×. AppLovin Corporation grew revenue faster over the last twelve months: 76.3% against 9.14%. AppLovin Corporation has the higher net margin (64.6% vs 23.6%) and the higher return on invested capital (91.2% vs 9.66%). Across the 21 metrics below, Magnite, Inc. leads on 11 and AppLovin Corporation on 10.

Valuation

Metric APP MGNI Advertising Agencies median
P/E 27.27 21.92 21.69
P/S 17.53 5.21 0.73
P/B 37.84 4.15 1.02
Price to free cash flow 26.97 17.83 8.36
EV/EBITDA 22.20 19.66 11.66
EV/Sales 17.62 5.15 0.96
Earnings yield 3.67% 4.56% (2.98%)
Free cash flow yield 3.71% 5.61% 0.00%

Profitability

Metric APP MGNI Advertising Agencies median
Gross margin 88.46% 66.62% 44.67%
Operating margin 77.44% 18.45% 0.00%
Net margin 64.58% 23.58% (2.95%)
Free cash flow margin 66.30% 29.23% 0.00%
Return on equity 203.69% 20.44% 0.00%
Return on assets 61.99% 5.97% 0.00%
Return on invested capital 91.19% 9.66% 0.00%

Growth

Metric APP MGNI Advertising Agencies median
Revenue growth (TTM) 76.34% 9.14% 2.99%
EPS growth (last fiscal year) 115.23% 493.75% 44.63%
Revenue growth, 5-year CAGR 30.45% 26.36% 5.40%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric APP MGNI Advertising Agencies median
Debt to equity 1.11 0.36 0.04
Current ratio 4.30 1.04 1.72
Net debt to EBITDA 0.23 (1.33) 0.02

Dividend

Metric APP MGNI Advertising Agencies median
Dividend yield — — 3.66%
Payout ratio — — —

Size

Metric APP MGNI Advertising Agencies median
Market cap 90.90b 3.95b 60.75m

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