Financial Analysis: Innventure (NASDAQ:INV) & NextNav (NASDAQ:NN)

Innventure (NASDAQ:INVGet Free Report) and NextNav (NASDAQ:NNGet Free Report) are both business services companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, risk, profitability, institutional ownership, valuation, earnings and analyst recommendations.

Institutional and Insider Ownership

56.0% of Innventure shares are held by institutional investors. Comparatively, 79.2% of NextNav shares are held by institutional investors. 14.3% of Innventure shares are held by insiders. Comparatively, 7.8% of NextNav shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings for Innventure and NextNav, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Innventure 1 0 0 0 1.00
NextNav 1 1 2 0 2.25

Innventure currently has a consensus target price of $8.00, indicating a potential upside of 20.66%. NextNav has a consensus target price of $37.50, indicating a potential upside of 106.27%. Given NextNav’s stronger consensus rating and higher possible upside, analysts clearly believe NextNav is more favorable than Innventure.

Profitability

This table compares Innventure and NextNav’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Innventure -5,225.19% -34.73% -27.36%
NextNav -3,921.17% N/A -34.03%

Earnings & Valuation

This table compares Innventure and NextNav”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Innventure $2.06 million 270.48 -$293.32 million ($2.82) -2.35
NextNav $4.57 million 542.77 -$189.25 million ($1.21) -15.02

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

Risk & Volatility

Innventure has a beta of 0.38, meaning that its share price is 62% less volatile than the S&P 500. Comparatively, NextNav has a beta of 1.04, meaning that its share price is 4% more volatile than the S&P 500.

Summary

NextNav beats Innventure on 11 of the 14 factors compared between the two stocks.

About Innventure

(Get Free Report)

Innventure Inc. founds, funds and operates companies with a focus on transformative, sustainable technology solutions acquired or licensed from multinational corporations. Innventure Inc., formerly known as Learn CW Investment Corporation, is based in ORLANDO, Fla.

About NextNav

(Get Free Report)

NextNav Inc. provides next generation positioning, navigation, and timing (PNT) solutions in the United States. It offers Pinnacle, a dedicated vertical positioning network to cover entire metropolitan areas including devices equipped with a barometric pressure sensor with the highest quality wide-area altitude service. The company also provides TerraPoiNT, an 3D PNT system, provides positioning, navigation and timing services provided by GPS through a land-based GPS satellite constellation. It serves Wi-Fi, telecom, public safety, gaming and location apps, and critical infrastructure applications. NextNav Inc. was founded in 2007 and is headquartered in McLean, Virginia.

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