Financial Analysis: comScore (NASDAQ:SCOR) versus Etsy (NASDAQ:ETSY)

comScore (NASDAQ:SCOR) and Etsy (NASDAQ:ETSY) are both business services companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, dividends, earnings, profitability, analyst recommendations, valuation and risk.

Valuation & Earnings

This table compares comScore and Etsy”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
comScore	$356.05 million	0.08	-$79.36 million	($15.33)	-0.40
Etsy	$2.81 billion	1.70	$307.57 million	$2.37	18.84

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

Profitability

This table compares comScore and Etsy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
comScore	-25.77%	-243.87%	-19.79%
Etsy	10.80%	-46.62%	12.37%

Analyst Recommendations

This is a summary of current ratings and recommmendations for comScore and Etsy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
comScore	0	1	1	0	2.50
Etsy	4	14	7	1	2.19

comScore presently has a consensus price target of $10.75, indicating a potential upside of 76.23%. Etsy has a consensus price target of $58.78, indicating a potential upside of 31.62%. Given comScore’s stronger consensus rating and higher probable upside, research analysts clearly believe comScore is more favorable than Etsy.

Institutional and Insider Ownership

42.2% of comScore shares are owned by institutional investors. Comparatively, 99.5% of Etsy shares are owned by institutional investors. 8.8% of comScore shares are owned by company insiders. Comparatively, 2.6% of Etsy shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Volatility & Risk

comScore has a beta of 1.21, meaning that its share price is 21% more volatile than the S&P 500. Comparatively, Etsy has a beta of 2.23, meaning that its share price is 123% more volatile than the S&P 500.

Summary

Etsy beats comScore on 12 of the 15 factors compared between the two stocks.

About comScore

comScore, Inc. operates as an information and analytics company that measures audiences, consumer behavior, and advertising across media platforms in the United States, Europe, Latin America, Canada, and internationally. The company provides digital ad solutions, including Media Metrix Multi-Platform and Mobile Metrix, which measure websites and applications on computers, smartphones, and tablets; Video Metrix that delivers measurement of digital video consumption; Plan Metrix, which offers understanding of consumer lifestyle; Total Home Panel Suite, which capture OTT, connected TV, and IOT device usage and content consumption; CCR, which enhances validated campaign essentials verification of mobile and desktop video campaigns; XMedia Enhanced, which provides a deduplicated view of national programming content; Comscore marketing solutions; Lift Models, which measures the impact of advertising on a brand; Survey Analytics, which measure various consumer insights including brand health metrics; and Activation Solutions, including audience activation and content activation. The company's cross platform solutions products and services comprises Comscore TVNational that helps customers understand the performance of network advertising campaigns; Comscore TVLocal allows customers to understand consumer viewing patterns and characteristics; OnDemand Essentials that provides transactional tracking and reporting; Movie Solutions; and Hollywood Software Suite. In addition, it offers custom solutions for planning, optimization, and evaluation of advertising campaigns and brand protection. Further, the company provides products that measure movie viewership and box office results by capturing movie ticket sales in real time or near real time. It serves digital publishers, television networks, movie studios, content owners, brand advertisers, agencies, and technology providers. The company was incorporated in 1999 and is headquartered in Reston, Virginia.

About Etsy

Etsy, Inc., together with its subsidiaries, operates two-sided online marketplaces that connect buyers and sellers in the United States, the United Kingdom, Germany, Canada, Australia, and France. Its primary marketplace is Etsy.com that connects artisans and entrepreneurs with various consumers. The company also offers Reverb, a musical instrument marketplace; Depop, a fashion resale marketplace; and Elo7, a Brazil-based marketplace for handmade and unique items. In addition, it offers various seller services, including Etsy Payments, a payment processing service; Etsy Ads, an advertising platform; and Shipping Labels, which allows sellers in the United States, Canada, the United Kingdom, Australia, and India to purchase discounted shipping labels. Further, the company provides the Etsy Purchase Protection program that is designed to help buyers; the Etsy Share and Save program for sellers to save on Etsy fees for sales that drive to their Etsy shop from their own channels. Additionally, it offers educational resources comprising blog posts, video tutorials, Etsy Seller Handbook, Etsy.com online forums, and insights; Etsy Teams, a platform to build personal relationships with other Etsy sellers; and a Star Seller program. The company was formerly known as Indieco, Inc changed its name to Etsy, Inc. in June 2006. Etsy, Inc. was founded in 2005 and is headquartered in Brooklyn, New York.