Appian Corporation (APPN) vs DLocal Limited (DLO)

Appian Corporation and DLocal Limited are both Software Infrastructure companies. Appian Corporation and DLocal Limited are of similar size ($3.7B and $3.5B). Appian Corporation has negative trailing earnings, so its P/E is not meaningful; DLocal Limited trades at 18.9×. DLocal Limited grew revenue faster over the last twelve months: 57.0% against 20.9%. DLocal Limited has the higher net margin (15.0% vs −1.34%) and the higher return on invested capital (0.00% vs 0.00%). Across the 19 metrics below, DLocal Limited leads on 16 and Appian Corporation on 3.

Valuation

Metric APPN DLO Software Infrastructure median
P/E n/m 18.86 26.15
P/S 4.46 2.80 2.87
P/B n/m 7.03 2.94
Price to free cash flow 46.25 9.79 17.26
EV/EBITDA 178.56 11.24 15.00
EV/Sales 4.55 2.21 2.95
Earnings yield (0.29%) 5.30% 0.00%
Free cash flow yield 2.16% 10.22% 0.39%

Profitability

Metric APPN DLO Software Infrastructure median
Gross margin 72.40% 34.28% 59.21%
Operating margin 1.28% 17.35% 0.00%
Net margin (1.34%) 15.04% 0.00%
Free cash flow margin 9.65% 28.65% 0.00%
Return on equity 13.37% 41.26% 0.00%
Return on assets (1.81%) 11.95% 0.00%
Return on invested capital 0.00% 0.00% 0.00%

Growth

Metric APPN DLO Software Infrastructure median
Revenue growth (TTM) 20.90% 57.03% 13.57%
EPS growth (last fiscal year) 101.59% 66.67% 20.22%
Revenue growth, 5-year CAGR 19.00% 60.05% 16.02%
Net income growth, 5-year CAGR 0.00% 47.50% 0.00%

Health

Metric APPN DLO Software Infrastructure median
Debt to equity (2.24) 0.00 0.02
Current ratio 1.00 1.25 1.54
Net debt to EBITDA 4.91 (3.32) 0.05

Dividend

Metric APPN DLO Software Infrastructure median
Dividend yield — 1.49% 1.09%
Payout ratio — 0.29 0.30

Size

Metric APPN DLO Software Infrastructure median
Market cap 3.48b 3.72b 655.75m

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