Head-To-Head Analysis: Grom Social Enterprises (GROM) and The Competition

Grom Social Enterprises (NASDAQ:GROM) is one of 115 public companies in the “Computer programming, data processing, & other computer related” industry, but how does it compare to its peers? We will compare Grom Social Enterprises to related companies based on the strength of its earnings, valuation, dividends, institutional ownership, profitability, risk and analyst recommendations.

Institutional and Insider Ownership

15.9% of Grom Social Enterprises shares are owned by institutional investors. Comparatively, 51.2% of shares of all “Computer programming, data processing, & other computer related” companies are owned by institutional investors. 0.0% of Grom Social Enterprises shares are owned by insiders. Comparatively, 16.8% of shares of all “Computer programming, data processing, & other computer related” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Grom Social Enterprises and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Grom Social Enterprises	$4.04 million	-$12.53 million	-0.03
Grom Social Enterprises Competitors	$8.93 billion	$1.91 billion	59.84

Grom Social Enterprises’ peers have higher revenue and earnings than Grom Social Enterprises. Grom Social Enterprises 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.

Risk & Volatility

Grom Social Enterprises has a beta of 1.57, suggesting that its stock price is 57% more volatile than the S&P 500. Comparatively, Grom Social Enterprises’ peers have a beta of 1.42, suggesting that their average stock price is 42% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for Grom Social Enterprises and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grom Social Enterprises	0	0	0	0	N/A
Grom Social Enterprises Competitors	1047	4452	10233	289	2.61

As a group, “Computer programming, data processing, & other computer related” companies have a potential upside of 13.10%. Given Grom Social Enterprises’ peers higher possible upside, analysts clearly believe Grom Social Enterprises has less favorable growth aspects than its peers.

Profitability

This table compares Grom Social Enterprises and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grom Social Enterprises	-309.92%	-71.55%	-57.60%
Grom Social Enterprises Competitors	-151.37%	-40.46%	-8.36%

Summary

Grom Social Enterprises peers beat Grom Social Enterprises on 9 of the 10 factors compared.

About Grom Social Enterprises

Grom Social Enterprises, Inc., through its subsidiaries, operates as a media, technology, and entertainment company that focuses on delivering content in the United States. The company operates a social media network for children under the age of 13 years. It also produces animated films and televisions series; and provides web filtering services to schools and government agencies, as well as acquires, develops, and builds commercial potential of kids and family entertainment properties and associated business opportunities. Grom Social Enterprises, Inc. was founded in 2012 and is headquartered in Boca Raton, Florida.