Contrasting Nextdoor (NXDR) & Its Rivals

Nextdoor (NYSE:NXDR) is one of 49 publicly-traded companies in the “Services – Computer Programming And Data Processing” industry, but how does it compare to its peers? We will compare Nextdoor to related businesses based on the strength of its dividends, profitability, earnings, risk, valuation, analyst recommendations and institutional ownership.

Insider & Institutional Ownership

35.7% of Nextdoor shares are held by institutional investors. Comparatively, 56.4% 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, 16.4% 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 peers’ 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	-65.22%	-919.72%	-68.66%

Risk and Volatility

Nextdoor has a beta of 1.19, indicating that its stock price is 19% more volatile than the S&P 500. Comparatively, Nextdoor’s peers have a beta of 0.53, indicating that their average stock price is 47% less volatile than the S&P 500.

Valuation and Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Nextdoor	$257.65 million	-$54.20 million	-11.79
Nextdoor Competitors	$260.79 million	-$83.53 million	-12.23

Nextdoor’s peers have higher revenue, but lower earnings than Nextdoor. Nextdoor 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.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nextdoor	1	2	0	0	1.67
Nextdoor Competitors	101	206	231	14	2.29

Nextdoor currently has a consensus target price of $2.10, indicating a potential upside of 27.27%. As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 97.90%. Given Nextdoor’s peers stronger consensus rating and higher possible upside, analysts plainly believe Nextdoor has less favorable growth aspects than its peers.

Summary

Nextdoor beats its peers 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.