Rumble (NASDAQ:RUM) and AppFolio (NASDAQ:APPF) Head to Head Review

Rumble (NASDAQ:RUM) and AppFolio (NASDAQ:APPF) are both mid-cap computer and technology companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, valuation, dividends and profitability.

Profitability

This table compares Rumble and AppFolio’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rumble	-106.91%	-42.47%	-34.74%
AppFolio	15.27%	32.35%	25.69%

Volatility & Risk

Rumble has a beta of 1.07, indicating that its share price is 7% more volatile than the S&P 500. Comparatively, AppFolio has a beta of 0.8, indicating that its share price is 20% less volatile than the S&P 500.

Institutional and Insider Ownership

26.2% of Rumble shares are owned by institutional investors. Comparatively, 85.2% of AppFolio shares are owned by institutional investors. 45.1% of Rumble shares are owned by insiders. Comparatively, 1.6% of AppFolio shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Rumble and AppFolio”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rumble	$100.62 million	32.84	-$81.83 million	($0.43)	-17.63
AppFolio	$950.82 million	6.21	$140.92 million	$4.20	39.75

AppFolio has higher revenue and earnings than Rumble. Rumble is trading at a lower price-to-earnings ratio than AppFolio, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings for Rumble and AppFolio, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rumble	1	0	0	0	1.00
AppFolio	0	1	9	0	2.90

AppFolio has a consensus price target of $252.29, indicating a potential upside of 51.12%. Given AppFolio’s stronger consensus rating and higher probable upside, analysts clearly believe AppFolio is more favorable than Rumble.

Summary

AppFolio beats Rumble on 11 of the 14 factors compared between the two stocks.

About Rumble

Rumble Inc. operates video sharing platforms in the United States, Canada, and internationally. The company operates rumble.com, a free-to-use video sharing and livestreaming platform where users can subscribe to channels to stay in touch with creators, and access video on-demand (VOD) and live content streamed by creators. It also operates locals.com, a platform where users can access free content and purchase subscriptions to support creators and access exclusive content in creator communities; Rumble Streaming Marketplace, a patent-pending application designed to enable a first-of-its-kind livestreaming and monetization service for creators; and Rumble Advertising Center (RAC), an online advertising management exchange. The company was founded in 2013 and is headquartered in Longboat Key, Florida.

About AppFolio

AppFolio, Inc., together with its subsidiaries, provides cloud business management solutions for the real estate industry in the United States. The company provides a cloud-based platform that enables users to automate and optimize common workflows; tools that assist with leasing, maintenance, and accounting; and other technology and services offered by third parties. It offers AppFolio Property Manager Core, a platform that provides the basic functionalities required to operate a property management business, as well as serves as a system of record; AppFolio Property Manager Plus, which offers housing management, student housing management, complex accounting, leasing insights, large-scale operations support, role-based permissions, stack integrations, and enhanced customer support services; AppFolio Property Manager Max offers customer relationship management functionality, field customization, customer database functionality, and customer success management services; and AppFolio Investment Manager, a software that provides investment management, asset management, and relationship management solutions. The company also provides value-added services that are designed to enhance, automate, and streamline processes and workflows for property management businesses, such as electronic payment, tenant screening, and insurance services. AppFolio, Inc. was incorporated in 2006 and is headquartered in Santa Barbara, California.