Nextdoor (NXDR) vs. Its Rivals Critical Survey

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

Earnings and Valuation

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

	Gross Revenue	Net Income	Price/Earnings Ratio
Nextdoor	$257.65 million	-$54.20 million	-12.32
Nextdoor Competitors	$250.54 million	-$80.63 million	-9.13

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.

Analyst Recommendations

This is a summary of current ratings 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	205	223	14	2.28

Nextdoor currently has a consensus target price of $2.10, suggesting a potential upside of 21.74%. As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 110.04%. Given Nextdoor’s rivals stronger consensus rating and higher possible upside, analysts plainly believe Nextdoor has less favorable growth aspects than its rivals.

Volatility and Risk

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

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	-63.65%	-919.53%	-68.53%

Insider & Institutional Ownership

35.7% of Nextdoor shares are owned by institutional investors. Comparatively, 57.9% of shares of all “Services – Computer Programming And Data Processing” companies are owned by institutional investors. 33.4% of Nextdoor shares are owned by insiders. Comparatively, 20.6% of shares of all “Services – Computer Programming And Data Processing” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Nextdoor beats its rivals on 7 of the 13 factors compared.

About Nextdoor

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.