Locafy (NASDAQ:LCFY) & Bumble (NASDAQ:BMBL) Financial Comparison

Locafy (NASDAQ:LCFY) and Bumble (NASDAQ:BMBL) are both small-cap computer and technology companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, risk, valuation, earnings and dividends.

Volatility & Risk

Locafy has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, Bumble has a beta of 1.66, meaning that its stock price is 66% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Locafy and Bumble, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Locafy	0	0	0	0	N/A
Bumble	1	14	3	0	2.11

Bumble has a consensus price target of $8.50, indicating a potential upside of 21.43%. Given Bumble’s higher possible upside, analysts clearly believe Bumble is more favorable than Locafy.

Profitability

This table compares Locafy and Bumble’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Locafy	-66.21%	-82.35%	-45.02%
Bumble	3.93%	1.82%	1.18%

Insider & Institutional Ownership

0.0% of Locafy shares are held by institutional investors. Comparatively, 94.8% of Bumble shares are held by institutional investors. 28.7% of Locafy shares are held by company insiders. Comparatively, 7.8% of Bumble shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Locafy and Bumble”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Locafy	$4.21 million	1.69	-$2.62 million	($1.87)	-2.98
Bumble	$1.09 billion	0.81	-$4.21 million	$0.17	41.18

Locafy has higher earnings, but lower revenue than Bumble. Locafy is trading at a lower price-to-earnings ratio than Bumble, indicating that it is currently the more affordable of the two stocks.

Summary

Bumble beats Locafy on 10 of the 13 factors compared between the two stocks.

About Locafy

Locafy Limited operates as a software-as-a-service company (SaaS) that specializes in search engine marketing in Australia, New Zealand, Europe, North America, and internationally. The company operates in three segments: Publishing, Direct Sales, and Reseller Sales. It focuses on commercializing its SaaS online publishing technology platform that comprises an integrated suite of solutions. The company also owns and operates several online directories and offers search engine optimization solutions, which include creation of proximity pages and proximity networks, local pages, and map pack booster. In addition, its platform publishes content to various devices that uses a web browser to display web content, as well as programmatically optimizes the published content for local search. The company offers its solutions directly to customers, as well as through digital agencies and search engine optimization freelancers. The company was formerly known as Moboom Limited and changed its name to Locafy Limited in January 2021. Locafy Limited was incorporated in 2009 and is based in Subiaco, Australia.

About Bumble

Bumble Inc. provides online dating and social networking platforms in North America, Europe, internationally. It owns and operates websites and applications that offers subscription and in-app purchases dating products. The company operates apps, including Bumble, a dating app built with women at the center, where women make the first move; Badoo, the web and mobile free-to-use dating app; Official app where users connect their profile with that of their partner enabling a shared, linked product experience; Bumble BFF and Bumble Bizz Modes that have a format similar to the date mode requiring users to set up profiles and matching users through yes and no votes, similar to the dating platform; and Bumble for Friends, a friendship app where people in all stages of life can meet people nearby and create meaningful platonic connections, as well as Fruitz app is centered around encouraging honesty and transparency by sharing dating intentions from the first touch point. Bumble Inc. was founded in 2006 in and is headquartered in Austin, Texas.