Head to Head Comparison: Green Dot (GDOT) and Its Rivals

Green Dot (NYSE:GDOT) is one of 120 public companies in the “Consumer Finance” industry, but how does it compare to its rivals? We will compare Green Dot to similar businesses based on the strength of its analyst recommendations, risk, dividends, institutional ownership, profitability, valuation and earnings.

Profitability

This table compares Green Dot and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Green Dot	-1.14%	6.92%	1.04%
Green Dot Competitors	10.31%	-15.77%	1.99%

Volatility and Risk

Green Dot has a beta of 0.93, indicating that its share price is 7% less volatile than the S&P 500. Comparatively, Green Dot’s rivals have a beta of 1.26, indicating that their average share price is 26% more volatile than the S&P 500.

Institutional & Insider Ownership

92.6% of Green Dot shares are held by institutional investors. Comparatively, 45.8% of shares of all “Consumer Finance” companies are held by institutional investors. 1.4% of Green Dot shares are held by company insiders. Comparatively, 22.0% of shares of all “Consumer Finance” companies are held 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.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Green Dot and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Green Dot	1	3	1	0	2.00
Green Dot Competitors	891	3352	5292	274	2.50

Green Dot presently has a consensus target price of $16.12, suggesting a potential upside of 31.72%. As a group, “Consumer Finance” companies have a potential upside of 21.12%. Given Green Dot’s higher possible upside, equities analysts clearly believe Green Dot is more favorable than its rivals.

Valuation & Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Green Dot	$2.08 billion	-$98.87 million	-24.00
Green Dot Competitors	$65.58 billion	$385.17 million	6.18

Green Dot’s rivals have higher revenue and earnings than Green Dot. Green Dot 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.

Summary

Green Dot rivals beat Green Dot on 10 of the 13 factors compared.

About Green Dot

Green Dot Corporation, a financial technology and registered bank holding company, provides various financial services to consumers and businesses in the United States. It operates through three segments: Consumer Services, Business to Business Services, and Money Movement Services. The company provides deposit account programs, including consumer and small business checking account products, network-branded reloadable prepaid debit cards and gift cards, and secured credit programs. It offers money processing services, such as cash transfer services that enable consumers to deposit or pick up cash and pay bills with cash at the point-of-sale at any participating retailer; and simply paid disbursement services, which enable wages and authorized funds disbursement to its deposit account programs and accounts issued by any third-party bank or program manager. In addition, the company offers tax processing services comprising tax refund transfers, which provide the processing technology to facilitate receipt of a taxpayers' refund proceeds; small business lending to independent tax preparation providers that seek small advances; and fast cash advance, a loan that enables tax refund recipients. Green Dot Corporation was incorporated in 1999 and is headquartered in Austin, Texas.