Reviewing Nextdoor (NXDR) & The Competition

Nextdoor (NYSE:NXDR) is one of 48 public companies in the “Services – Computer Programming And Data Processing” industry, but how does it compare to its competitors? We will compare Nextdoor to related businesses based on the strength of its earnings, profitability, institutional ownership, risk, dividends, valuation and analyst recommendations.

Profitability

This table compares Nextdoor and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nextdoor	-21.04%	-11.48%	-10.11%
Nextdoor Competitors	-64.93%	-919.57%	-68.56%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Nextdoor and its competitors, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nextdoor	1	2	0	0	1.67
Nextdoor Competitors	100	205	223	14	2.28

Nextdoor presently has a consensus target price of $2.10, suggesting a potential upside of 17.98%. As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 108.69%. Given Nextdoor’s competitors stronger consensus rating and higher probable upside, analysts plainly believe Nextdoor has less favorable growth aspects than its competitors.

Institutional & Insider Ownership

35.7% of Nextdoor shares are owned by institutional investors. Comparatively, 57.9% of shares of all “Services – Computer Programming And Data Processing” companies are owned by institutional investors. 33.4% of Nextdoor shares are owned by company insiders. Comparatively, 20.6% of shares of all “Services – Computer Programming And Data Processing” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Volatility and Risk

Nextdoor has a beta of 1.18, indicating that its stock price is 18% more volatile than the S&P 500. Comparatively, Nextdoor’s competitors have a beta of 0.54, indicating that their average stock price is 46% less volatile than the S&P 500.

Valuation & Earnings

This table compares Nextdoor and its competitors top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Nextdoor	$253.40 million	-$54.20 million	-12.71
Nextdoor Competitors	$255.05 million	-$80.63 million	-12.17

Nextdoor’s competitors have higher revenue, but lower earnings than Nextdoor. Nextdoor is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Nextdoor competitors beat Nextdoor on 7 of the 13 factors compared.

Nextdoor Company Profile

Nextdoor Holdings, Inc. operates as the neighborhood network that connects neighbors, businesses, and public services in the United States and internationally. It enables small and mid-sized businesses, large brands, public agencies, and nonprofits to receive information, give and get help, and build connections. The company is headquartered in San Francisco, California.