NerdWallet (NRDS) versus Its Rivals Head-To-Head Survey

NerdWallet (NASDAQ:NRDS) is one of 192 publicly-traded companies in the “Interactive Media & Services” industry, but how does it compare to its peers? We will compare NerdWallet to similar businesses based on the strength of its profitability, valuation, earnings, risk, dividends, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares NerdWallet and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
NerdWallet	$836.60 million	$48.70 million	9.55
NerdWallet Competitors	$13.72 billion	$3.48 billion	8.10

NerdWallet’s peers have higher revenue and earnings than NerdWallet. NerdWallet is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Volatility & Risk

NerdWallet has a beta of 1.2, meaning that its share price is 20% more volatile than the S&P 500. Comparatively, NerdWallet’s peers have a beta of 1.86, meaning that their average share price is 86% more volatile than the S&P 500.

Profitability

This table compares NerdWallet and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NerdWallet	6.06%	15.56%	12.25%
NerdWallet Competitors	-158.05%	-17.17%	4.08%

Analyst Ratings

This is a summary of current ratings for NerdWallet and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NerdWallet	1	4	3	0	2.25
NerdWallet Competitors	1450	6038	11562	443	2.56

NerdWallet currently has a consensus target price of $10.90, indicating a potential upside of 46.31%. As a group, “Interactive Media & Services” companies have a potential upside of 31.07%. Given NerdWallet’s higher probable upside, research analysts clearly believe NerdWallet is more favorable than its peers.

Institutional and Insider Ownership

38.8% of NerdWallet shares are held by institutional investors. Comparatively, 41.1% of shares of all “Interactive Media & Services” companies are held by institutional investors. 52.7% of NerdWallet shares are held by insiders. Comparatively, 24.0% of shares of all “Interactive Media & Services” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

NerdWallet peers beat NerdWallet on 7 of the 13 factors compared.

NerdWallet Company Profile

NerdWallet, Inc. is a personal finance company that operates a digital platform to help consumers make financial decisions. Its website and mobile app provide educational content, comparison tools and recommendations across products such as credit cards, banking, mortgages, personal loans, insurance and investing services. The company was founded in 2009 by Tim Chen and offers services primarily in the United States, as well as in Canada and the United Kingdom. NerdWallet also serves small and midsize businesses with financial information and product recommendations.