System1 (NYSE:SST) & Match Group (NASDAQ:MTCH) Head-To-Head Comparison

Match Group (NASDAQ:MTCH) and System1 (NYSE:SST) are both communication services companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.

Insider & Institutional Ownership

94.1% of Match Group shares are owned by institutional investors. Comparatively, 87.5% of System1 shares are owned by institutional investors. 0.7% of Match Group shares are owned by insiders. Comparatively, 10.2% of System1 shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk & Volatility

Match Group has a beta of 1.47, indicating that its share price is 47% more volatile than the S&P 500. Comparatively, System1 has a beta of 1.69, indicating that its share price is 69% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for Match Group and System1, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Match Group	0	9	9	0	2.50
System1	1	1	1	0	2.00

Match Group currently has a consensus target price of $45.64, suggesting a potential upside of 16.94%. System1 has a consensus target price of $6.50, suggesting a potential upside of 270.37%. Given System1’s higher possible upside, analysts clearly believe System1 is more favorable than Match Group.

Profitability

This table compares Match Group and System1’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Match Group	20.69%	-361.92%	17.95%
System1	-50.66%	-439.90%	-19.35%

Earnings & Valuation

This table compares Match Group and System1″s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Match Group	$3.49 billion	2.57	$613.45 million	$2.94	13.28
System1	$266.13 million	0.07	-$65.35 million	($11.31)	-0.16

Match Group has higher revenue and earnings than System1. System1 is trading at a lower price-to-earnings ratio than Match Group, indicating that it is currently the more affordable of the two stocks.

Summary

Match Group beats System1 on 11 of the 14 factors compared between the two stocks.

About Match Group

Match Group, Inc. engages in the provision of dating products. Its portfolio of brands includes Tinder, Hinge, Match, Meetic, OkCupid, Pairs, Plenty Of Fish, Azar, BLK, and Hakuna, as well as a various other brands, each built to increase users' likelihood of connecting with others. Its services are available in over 40 languages to users worldwide. The company was incorporated in 1986 and is based in Dallas, Texas.

About System1

System1, Inc. provides omnichannel customer acquisition platform services through its proprietary responsive acquisition marketing platform in the United States, the United Kingdom, Canada, the Netherlands, and internationally. It operates through two segments: Owned and Operated Advertising, and Partner Network. The company engages in the provision of acquiring traffic to its owned and operated websites, as well as revenue-sharing arrangements and related services. It also operates MapQuest, a web-based navigation service that delivers turn-by-turn direction services to users; Info.com, a metasearch engine that consumers can use to search for relevant information; HowStuffWorks, a commercial website focused on helping people solve problems in their daily lives by using various types of digital media to easily breakdown and explain complex concepts, topics, terminology and mechanisms; Startpage, a private search engine that allows users to browse and search the Internet in complete privacy; and CouponFollow for coupon destinations for online shoppers, as well as ActiveBeat and Infospace. In addition, the company provides antivirus software solutions, which offers customers a single packaged solution that provides protection and reporting to the end users. The company is based in Los Angeles, California.