Critical Comparison: Vivid Seats (SEAT) & Its Rivals

Vivid Seats (NASDAQ:SEAT – Get Rating) is one of 29 public companies in the “Miscellaneous amusement & recreation services” industry, but how does it weigh in compared to its competitors? We will compare Vivid Seats to similar businesses based on the strength of its earnings, risk, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Analyst Recommendations

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vivid Seats	0	3	4	0	2.57
Vivid Seats Competitors	145	821	1828	49	2.63

Vivid Seats currently has a consensus target price of $11.13, indicating a potential upside of 64.81%. As a group, “Miscellaneous amusement & recreation services” companies have a potential upside of 28.45%. Given Vivid Seats’ higher possible upside, equities research analysts clearly believe Vivid Seats is more favorable than its competitors.

Institutional & Insider Ownership

31.4% of Vivid Seats shares are held by institutional investors. Comparatively, 49.3% of shares of all “Miscellaneous amusement & recreation services” companies are held by institutional investors. 23.3% of shares of all “Miscellaneous amusement & recreation services” companies are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Vivid Seats has a beta of 0.94, indicating that its share price is 6% less volatile than the S&P 500. Comparatively, Vivid Seats’ competitors have a beta of 1.27, indicating that their average share price is 27% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Vivid Seats	4.77%	-5.44%	2.37%
Vivid Seats Competitors	-122.43%	-37.24%	-18.87%

Earnings and Valuation

This table compares Vivid Seats and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Vivid Seats	$600.27 million	$28.66 million	18.75
Vivid Seats Competitors	$4.54 billion	$142.93 million	17.49

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

Summary

Vivid Seats competitors beat Vivid Seats on 8 of the 13 factors compared.

Vivid Seats Company Profile

(Get Rating)

Vivid Seats Inc. operates as an online secondary marketplace for tickets in the United States and Canada. The company operates in two segments, Marketplace and Resale. The Marketplace segment acts as an intermediary between event ticket buyers and sellers; processes ticket sales on its website and mobile applications through its distribution partners; and sells tickets for live sports, concerts, and theater shows, and other live events. This segment offers Skybox, a proprietary enterprise resource planning tool that helps ticket sellers manage ticket inventories, adjust pricing, and fulfill orders across multiple ticket resale marketplaces. The Resale segment acquires tickets to resell on secondary ticket marketplaces; and provides internal research and development support for Skybox and to deliver seller software and tools. The company was founded in 2001 and is headquartered in Chicago, Illinois.