NerdWallet (NASDAQ:NRDS) & Applied Digital (NASDAQ:APLD) Head-To-Head Survey

NerdWallet (NASDAQ:NRDS) and Applied Digital (NASDAQ:APLD) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, analyst recommendations, earnings and institutional ownership.

Profitability

This table compares NerdWallet and Applied Digital’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NerdWallet	-1.65%	-2.90%	-2.45%
Applied Digital	-127.86%	-117.67%	-27.84%

Earnings and Valuation

This table compares NerdWallet and Applied Digital”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NerdWallet	$599.40 million	1.71	-$11.80 million	($0.14)	-99.42
Applied Digital	$211.62 million	9.60	-$149.27 million	($1.73)	-5.27

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

Risk & Volatility

NerdWallet has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500. Comparatively, Applied Digital has a beta of 4.77, indicating that its share price is 377% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for NerdWallet and Applied Digital, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NerdWallet	0	1	4	0	2.80
Applied Digital	0	0	9	0	3.00

NerdWallet currently has a consensus target price of $17.20, indicating a potential upside of 23.56%. Applied Digital has a consensus target price of $12.11, indicating a potential upside of 32.94%. Given Applied Digital’s stronger consensus rating and higher probable upside, analysts plainly believe Applied Digital is more favorable than NerdWallet.

Insider and Institutional Ownership

38.8% of NerdWallet shares are owned by institutional investors. Comparatively, 65.7% of Applied Digital shares are owned by institutional investors. 45.9% of NerdWallet shares are owned by insiders. Comparatively, 11.8% of Applied Digital shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

About NerdWallet

NerdWallet, Inc. operates a digital platform that provides consumer-driven advice about personal finance by connecting individuals and small and mid-sized businesses with financial products providers in the United States, the United Kingdom, Australia, and Canada. Its platform offers guidance to consumers through educational content, tools and calculators, and product marketplaces, as well as through NerdWallet app for various financial products, including credit cards, mortgages, insurance, SMB products, personal loans, banking, investing, and student loans. The company was founded in 2009 and is based in San Francisco, California.

About Applied Digital

Applied Digital Corporation designs, develops, and operates datacenters in North America. Its datacenters provide digital infrastructure solutions to the high-performance computing industry. The company also provides artificial intelligence cloud services, high performance computing datacenter hosting, and crypto datacenter hosting services. The company was formerly known as Applied Blockchain, Inc. and changed its name to Applied Digital Corporation in November 2022. Applied Digital Corporation is based in Dallas, Texas.