Core Insights - Futu Holdings Limited (FUTU) is currently viewed as a more attractive investment option compared to AppLovin (APP) for value investors due to its stronger earnings outlook and better valuation metrics [3][7]. Valuation Metrics - FUTU has a forward P/E ratio of 21.28, significantly lower than APP's forward P/E of 62.74, indicating that FUTU is potentially undervalued [5]. - The PEG ratio for FUTU is 0.67, while APP's PEG ratio is 3.14, suggesting that FUTU offers better value relative to its expected earnings growth [5]. - FUTU's P/B ratio stands at 6.11, compared to APP's P/B of 134.22, further highlighting the disparity in valuation between the two companies [6]. Earnings Estimates - FUTU holds a Zacks Rank of 1 (Strong Buy), reflecting positive revisions in earnings estimates, while APP has a Zacks Rank of 3 (Hold), indicating a less favorable outlook [3][7]. - The Zacks Rank system emphasizes stocks with strong earnings estimate revision trends, which favors FUTU's improving earnings outlook [2][3].
FUTU or APP: Which Is the Better Value Stock Right Now?