Head to Head Analysis: Nextdoor (NXDR) & The Competition

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

Volatility & Risk

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

Earnings and Valuation

This table compares Nextdoor and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Nextdoor	$257.65 million	-$54.20 million	-12.50
Nextdoor Competitors	$248.25 million	-$80.63 million	-12.42

Nextdoor has higher revenue and earnings than its rivals. Nextdoor is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Institutional & Insider Ownership

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

Profitability

This table compares Nextdoor and its rivals’ 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 Recommendations

This is a summary of recent recommendations and price targets for Nextdoor and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nextdoor	1	2	0	0	1.67
Nextdoor Competitors	100	206	223	14	2.28

Nextdoor currently has a consensus price target of $2.10, suggesting a potential upside of 20.00%. As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 114.30%. Given Nextdoor’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Nextdoor has less favorable growth aspects than its rivals.

Summary

Nextdoor beats its rivals 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.