Critical Contrast: Grindr (GRND) versus Its Competitors

Grindr (NYSE:GRND) is one of 114 publicly-traded companies in the “Computer programming, data processing, & other computer related” industry, but how does it weigh in compared to its peers? We will compare Grindr to related companies based on the strength of its valuation, profitability, risk, dividends, analyst recommendations, institutional ownership and earnings.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Grindr	-21.48%	101.02%	1.18%
Grindr Competitors	-154.86%	-42.17%	-8.83%

Earnings and Valuation

This table compares Grindr and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Grindr	$259.69 million	-$55.77 million	-30.25
Grindr Competitors	$9.02 billion	$1.93 billion	51.72

Grindr’s peers have higher revenue and earnings than Grindr. Grindr 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.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Grindr and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grindr	0	0	3	0	3.00
Grindr Competitors	1036	4420	10154	288	2.61

Grindr currently has a consensus target price of $13.33, indicating a potential upside of 37.74%. As a group, “Computer programming, data processing, & other computer related” companies have a potential upside of 16.66%. Given Grindr’s stronger consensus rating and higher possible upside, research analysts plainly believe Grindr is more favorable than its peers.

Risk and Volatility

Grindr has a beta of 0.29, meaning that its stock price is 71% less volatile than the S&P 500. Comparatively, Grindr’s peers have a beta of 1.39, meaning that their average stock price is 39% more volatile than the S&P 500.

Insider & Institutional Ownership

7.2% of Grindr shares are owned by institutional investors. Comparatively, 51.8% of shares of all “Computer programming, data processing, & other computer related” companies are owned by institutional investors. 78.2% of Grindr shares are owned by company insiders. Comparatively, 16.8% of shares of all “Computer programming, data processing, & other computer related” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Summary

Grindr beats its peers on 7 of the 13 factors compared.

About Grindr

Grindr Inc. operates social network and dating application for the lesbian, gay, bisexual, transgender, and queer (LGBTQ) communities worldwide. Its platform enables LGBTQ people to find and engage with each other, share content and experiences, and express themselves. The company offers ad-supported service and a premium subscription version. Grindr Inc. was founded in 2009 and is headquartered in West Hollywood, California.