SKIL vs. APP: Which Stock Is the Better Value Option?
ZACKS·2025-12-16 17:41

Core Viewpoint - Skillsoft Corp. (SKIL) is currently viewed as a more attractive investment option compared to AppLovin (APP) for value investors, based on various financial metrics and earnings outlook [1][3][6]. Valuation Metrics - Skillsoft Corp. has a forward P/E ratio of 1.36, significantly lower than AppLovin's forward P/E of 72.43, indicating that SKIL is undervalued relative to APP [5]. - The PEG ratio for Skillsoft is 0.14, while AppLovin's PEG ratio stands at 3.62, suggesting that SKIL has a better growth outlook relative to its valuation [5]. - Skillsoft's P/B ratio is 12.38, compared to AppLovin's P/B of 155.07, further highlighting the valuation disparity between the two companies [6]. Earnings Outlook - Skillsoft holds a Zacks Rank of 1 (Strong Buy), indicating a stronger improvement in its earnings outlook compared to AppLovin, which has a Zacks Rank of 3 (Hold) [3][6]. - The overall valuation figures and solid earnings outlook contribute to Skillsoft earning a Value grade of A, while AppLovin has a Value grade of D [6].