Critical Survey: Remitly Global (RELY) vs. Its Peers

Remitly Global (NASDAQ:RELY) is one of 191 public companies in the “Business services, not elsewhere classified” industry, but how does it compare to its competitors? We will compare Remitly Global to similar companies based on the strength of its earnings, profitability, risk, institutional ownership, analyst recommendations, valuation and dividends.

Volatility and Risk

Remitly Global has a beta of 0.03, suggesting that its share price is 97% less volatile than the S&P 500. Comparatively, Remitly Global’s competitors have a beta of 1.30, suggesting that their average share price is 30% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Remitly Global and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Remitly Global	0	2	8	0	2.80
Remitly Global Competitors	918	5995	12323	320	2.62

Remitly Global currently has a consensus price target of $22.75, indicating a potential upside of 10.87%. As a group, “Business services, not elsewhere classified” companies have a potential upside of 1.01%. Given Remitly Global’s stronger consensus rating and higher possible upside, research analysts clearly believe Remitly Global is more favorable than its competitors.

Profitability

This table compares Remitly Global and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Remitly Global	-5.63%	-11.58%	-6.57%
Remitly Global Competitors	-15.56%	-158.40%	-4.18%

Earnings and Valuation

This table compares Remitly Global and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Remitly Global	$944.28 million	-$117.84 million	-58.63
Remitly Global Competitors	$4.12 billion	$459.32 million	9.52

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

Insider & Institutional Ownership

74.3% of Remitly Global shares are owned by institutional investors. Comparatively, 58.1% of shares of all “Business services, not elsewhere classified” companies are owned by institutional investors. 8.1% of Remitly Global shares are owned by company insiders. Comparatively, 16.8% of shares of all “Business services, not elsewhere classified” companies are owned 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.

Summary

Remitly Global competitors beat Remitly Global on 7 of the 13 factors compared.

Remitly Global Company Profile

Remitly Global, Inc. provides digital financial services for immigrants and their families. It primarily offers cross-border remittance services in approximately 170 countries. The company was incorporated in 2011 and is headquartered in Seattle, Washington.