AppLovin Corp vs SAP SE, two Software stocks. A side-by-side on valuation, growth, margins, returns, and what each price is betting.
AppLovin and SAP are both filed under software and share almost nothing else: one is an advertising-optimization engine that keeps 78.2% of revenue as operating profit, the other a 50-year-old enterprise-applications estate at 26.1%. AppLovin's 167.7% return on equity divides by a base shrunk by leverage (1.49 debt to equity) and buybacks, so the honest comparison is return on assets, where its 51.4% still towers over SAP's 10.4%. The market prices the ferocity: 41 times AppLovin's earnings against 23.3 times SAP's, with SAP handing back the better cash yield, 5.5% to 2.7%. Buying the first is a bet that an algorithmic profit machine keeps its edge; buying the second, that installed-base gravity keeps paying. Different physics, same shelf.
Comparison updated 2026-07-10.
| Metric | APP | SAP |
|---|---|---|
| Price | $476.75 | $155.23 |
| Market cap | $161.5B | $181.0B |
| Sector | Software | Software |
| Stage | Growth | Mature |
| P/E | 41.0 | 23.3 |
| P/B | 68.33 | 3.69 |
| P/S | 26.20 | 4.52 |
| EV/EBITDA | 33.9 | 16.5 |
| Revenue growth | +92.9% | +8.1% |
| Gross margin | — | 72.9% |
| Operating margin | 78.2% | 26.1% |
| Net margin | 64.3% | 19.9% |
| Return on equity | 167.7% | 16.3% |
| Return on assets | 51.4% | 10.4% |
| Return on invested capital | 68.1% | 15.2% |
| FCF yield | 2.7% | 5.5% |
| Debt / equity | 1.49 | 0.00 |
| Current ratio | 3.24 | 1.16 |
| Altman Z (solvency) | 8.29 | 5.92 |
| Piotroski F (quality) | 7 / 9 | 7 / 9 |
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The stronger value is highlighted per metric where one is strictly better on that single number; it is not an overall verdict on either company. For informational and research purposes only. Not investment advice. Not a recommendation to buy, sell, or hold any security. boothcheck is not a registered investment adviser. Past performance does not guarantee future results.