Contrasting EverQuote (NASDAQ:EVER) & Sabre (NASDAQ:SABR)

Sabre (NASDAQ:SABR) and EverQuote (NASDAQ:EVER) are both small-cap computer and technology companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, valuation, institutional ownership, earnings, profitability, risk and analyst recommendations.

Volatility & Risk

Sabre has a beta of 1.77, suggesting that its stock price is 77% more volatile than the S&P 500. Comparatively, EverQuote has a beta of 0.9, suggesting that its stock price is 10% less volatile than the S&P 500.

Institutional and Insider Ownership

89.4% of Sabre shares are held by institutional investors. Comparatively, 91.5% of EverQuote shares are held by institutional investors. 1.8% of Sabre shares are held by company insiders. Comparatively, 38.5% of EverQuote shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Sabre and EverQuote’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sabre	-18.15%	N/A	-4.66%
EverQuote	-17.81%	-34.38%	-24.62%

Analyst Ratings

This is a breakdown of current ratings for Sabre and EverQuote, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sabre	0	4	1	0	2.20
EverQuote	0	0	5	0	3.00

Sabre presently has a consensus price target of $4.00, suggesting a potential upside of 53.26%. EverQuote has a consensus price target of $20.80, suggesting a potential upside of 10.64%. Given Sabre’s higher possible upside, equities research analysts clearly believe Sabre is more favorable than EverQuote.

Earnings and Valuation

This table compares Sabre and EverQuote’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sabre	$2.91 billion	0.34	-$527.61 million	($1.58)	-1.65
EverQuote	$287.92 million	2.24	-$51.29 million	($1.54)	-12.21

EverQuote has lower revenue, but higher earnings than Sabre. EverQuote is trading at a lower price-to-earnings ratio than Sabre, indicating that it is currently the more affordable of the two stocks.

Summary

EverQuote beats Sabre on 8 of the 14 factors compared between the two stocks.

About Sabre

Sabre Corporation, together with its subsidiaries, operates as software and technology company for travel industry in the United States, Europe, Asia-Pacific, and internationally. It operates through two segments: Travel Solutions and Hospitality Solutions. The Travel Solutions segment operates a business-to-business travel marketplace that offers travel content, such as inventory, prices, and availability from a range of travel suppliers, including airlines, hotels, car rental brands, rail carriers, cruise lines, and tour operators with a network of travel buyers comprising online and offline travel agencies, travel management companies, and corporate travel departments. This segment provides a portfolio of software technology products and solutions through software-as-a-service (SaaS) and hosted delivery models to airlines and other travel suppliers. Its products include reservation systems for carriers, commercial and operations products, agency solutions, and data-driven intelligence solutions. Its Hospitality Solutions segment provides software and solutions to hoteliers through SaaS and hosted delivery models. Sabre Corporation was incorporated in 2006 and is headquartered in Southlake, Texas.

About EverQuote

EverQuote, Inc. operates an online marketplace for insurance shopping in the United States. The company offers auto, home and renters, and life insurance. The company serves carriers and agents, as well as indirect distributors. The company was formerly known as AdHarmonics, Inc., and changed its name to EverQuote, Inc. in November 2014. EverQuote, Inc. was incorporated in 2008 and is based in Cambridge, Massachusetts.