Roadzen (RDZN) vs. The Competition Financial Analysis

Roadzen (NASDAQ:RDZN) is one of 36 public companies in the “Insurance agents, brokers, & service” industry, but how does it contrast to its peers? We will compare Roadzen to related businesses based on the strength of its valuation, institutional ownership, dividends, earnings, analyst recommendations, risk and profitability.

Risk and Volatility

Roadzen has a beta of 0.63, meaning that its share price is 37% less volatile than the S&P 500. Comparatively, Roadzen’s peers have a beta of 1.61, meaning that their average share price is 61% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Roadzen	-287.82%	-31,166.20%	-221.81%
Roadzen Competitors	-4.62%	-1,277.43%	-7.51%

Valuation and Earnings

This table compares Roadzen and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Roadzen	$50.04 million	-$99.67 million	-0.30
Roadzen Competitors	$4.17 billion	$533.07 million	29.20

Roadzen’s peers have higher revenue and earnings than Roadzen. Roadzen 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 summary of current ratings for Roadzen and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Roadzen	0	0	1	0	3.00
Roadzen Competitors	193	1213	1337	34	2.44

Roadzen currently has a consensus price target of $10.00, suggesting a potential upside of 1,010.99%. As a group, “Insurance agents, brokers, & service” companies have a potential upside of 0.63%. Given Roadzen’s stronger consensus rating and higher possible upside, research analysts clearly believe Roadzen is more favorable than its peers.

Institutional & Insider Ownership

24.7% of Roadzen shares are held by institutional investors. Comparatively, 54.7% of shares of all “Insurance agents, brokers, & service” companies are held by institutional investors. 19.7% of shares of all “Insurance agents, brokers, & service” companies are held by company 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.

Summary

Roadzen peers beat Roadzen on 10 of the 13 factors compared.

Roadzen Company Profile

Roadzen, Inc., an insurtech company, provides various insurance products in the United States and internationally. It offers insurance as a service platform, including Via, which enables fleets, carmakers, and insurers to inspect a vehicle using computer vision; Global Distribution Network that enables the configuration, customer quote, payment, and administration of any insurance policy with any insurance carrier as the underwriter; xClaim, which enables digital, touchless, and real-time resolution of claims; StrandD, a digital, real-time dispatch, and tracking for roadside assistance and first notice of loss during accident claims; Good Driving that enables insurers and fleets to recognize drivers, train drivers, and build usage based insurance programs; and Drivebuddy AI, which provides driver-assistance capabilities. The company also provides insurance distribution platform that enables product creation and underwriting, re-insurer backing, and API exchange; and distribution, pre-inspection assistance, telematics, and roadside assistance. In addition, it offers insurance broker services. Roadzen, Inc. was founded in 2015 and is based in Burlingame, California.