Analyzing ZipRecruiter (ZIP) & The Competition

ZipRecruiter (NYSE:ZIP) is one of 191 publicly-traded companies in the “Interactive Media & Services” industry, but how does it weigh in compared to its peers? We will compare ZipRecruiter to similar businesses based on the strength of its earnings, analyst recommendations, profitability, institutional ownership, dividends, valuation and risk.

Analyst Ratings

This is a summary of recent recommendations and price targets for ZipRecruiter and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ZipRecruiter	1	4	0	0	1.80
ZipRecruiter Competitors	1359	5867	11287	421	2.57

ZipRecruiter presently has a consensus target price of $4.38, indicating a potential downside of 14.33%. As a group, “Interactive Media & Services” companies have a potential upside of 26.51%. Given ZipRecruiter’s peers stronger consensus rating and higher possible upside, analysts clearly believe ZipRecruiter has less favorable growth aspects than its peers.

Institutional and Insider Ownership

70.6% of ZipRecruiter shares are owned by institutional investors. Comparatively, 40.9% of shares of all “Interactive Media & Services” companies are owned by institutional investors. 19.9% of ZipRecruiter shares are owned by company insiders. Comparatively, 23.7% of shares of all “Interactive Media & Services” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares ZipRecruiter and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ZipRecruiter	6.20%	N/A	-3.73%
ZipRecruiter Competitors	-356.59%	-36.43%	4.74%

Risk and Volatility

ZipRecruiter has a beta of 1.42, meaning that its share price is 42% more volatile than the S&P 500. Comparatively, ZipRecruiter’s peers have a beta of 1.60, meaning that their average share price is 60% more volatile than the S&P 500.

Valuation & Earnings

This table compares ZipRecruiter and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ZipRecruiter	$448.95 million	-$32.99 million	-18.24
ZipRecruiter Competitors	$12.44 billion	$3.51 billion	7.86

ZipRecruiter’s peers have higher revenue and earnings than ZipRecruiter. ZipRecruiter is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

ZipRecruiter peers beat ZipRecruiter on 9 of the 13 factors compared.

About ZipRecruiter

ZipRecruiter, Inc. operates an online employment marketplace that connects job seekers and employers. Its platform provides various solutions, such as job posting, online interviews, job alerts, match scores, and application updates. The company was incorporated in 2010 and is based in Santa Monica, California.