Financial Analysis: Nextdoor (NYSE:KIND) versus Sportradar Group (NASDAQ:SRAD)

Nextdoor (NYSE:KIND) and Sportradar Group (NASDAQ:SRAD) are both computer and technology companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, profitability and earnings.

Earnings and Valuation

This table compares Nextdoor and Sportradar Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nextdoor	$237.61 million	3.78	-$147.76 million	($0.32)	-7.39
Sportradar Group	$1.05 billion	17.90	$37.51 million	$0.20	84.70

Sportradar Group has higher revenue and earnings than Nextdoor. Nextdoor is trading at a lower price-to-earnings ratio than Sportradar Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Nextdoor and Sportradar Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nextdoor	-53.23%	-19.42%	-16.78%
Sportradar Group	5.61%	6.69%	2.63%

Volatility and Risk

Nextdoor has a beta of 1.08, meaning that its share price is 8% more volatile than the S&P 500. Comparatively, Sportradar Group has a beta of 2.05, meaning that its share price is 105% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Nextdoor and Sportradar Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nextdoor	0	2	0	0	2.00
Sportradar Group	0	1	7	0	2.88

Nextdoor presently has a consensus price target of $2.75, suggesting a potential upside of 16.28%. Sportradar Group has a consensus price target of $15.63, suggesting a potential downside of 7.76%. Given Nextdoor’s higher possible upside, equities research analysts clearly believe Nextdoor is more favorable than Sportradar Group.

Institutional & Insider Ownership

35.7% of Nextdoor shares are held by institutional investors. 46.0% of Nextdoor shares are held by insiders. Comparatively, 85.0% of Sportradar Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Sportradar Group beats Nextdoor on 12 of the 14 factors compared between the two stocks.

About Nextdoor

Nextdoor Holdings, Inc. operates a neighborhood network that connects neighbors, businesses, and public services in the United States and internationally. The company enables neighbors and organizations to get information, give and get help, and build connections. It also offers advertising solutions, designs to generate value for businesses for connection and sales expansion. The company is headquartered in San Francisco, California.

About Sportradar Group

Sportradar Group AG, together with its subsidiaries, provides sports data services for the sports betting and media industries in the United Kingdom, the United States, Malta, Switzerland, and internationally. Its sports data services to the bookmaking under the Betradar brand name, and to the international media industry under the Sportradar Media Services brand name. The company offers mission-critical software, data, and content to sports leagues and federations, betting operators, and media companies. It also provides sports entertainment, gaming, and sports solutions, as well as live streaming solution for online, mobile, and retail sports betting. In addition, its software solutions address the entire sports betting value chain from traffic generation and advertising technology to the collection, processing, and extrapolation of data and odds, as well as to visualization solutions, risk management, and platform services. Sportradar Group AG was founded in 2001 and is headquartered in Sankt Gallen, Switzerland.