Financial Contrast: Pathfinder Acquisition (NASDAQ:PFDR) versus Xperi (NASDAQ:XPER)

Pathfinder Acquisition (NASDAQ:PFDR) and Xperi (NASDAQ:XPER) are both small-cap companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, profitability, risk and earnings.

Volatility and Risk

Pathfinder Acquisition has a beta of -0.02, indicating that its share price is 102% less volatile than the S&P 500. Comparatively, Xperi has a beta of 1.26, indicating that its share price is 26% more volatile than the S&P 500.

Insider & Institutional Ownership

77.8% of Pathfinder Acquisition shares are held by institutional investors. Comparatively, 94.3% of Xperi shares are held by institutional investors. 20.0% of Pathfinder Acquisition shares are held by insiders. Comparatively, 2.1% of Xperi shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for Pathfinder Acquisition and Xperi, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pathfinder Acquisition	0	0	0	0	0.00
Xperi	0	0	1	0	3.00

Xperi has a consensus price target of $13.50, indicating a potential upside of 122.96%. Given Xperi’s stronger consensus rating and higher possible upside, analysts clearly believe Xperi is more favorable than Pathfinder Acquisition.

Earnings and Valuation

This table compares Pathfinder Acquisition and Xperi”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pathfinder Acquisition	N/A	N/A	$7.97 million	N/A	N/A
Xperi	$475.22 million	0.59	-$136.61 million	($0.08)	-75.69

Pathfinder Acquisition has higher earnings, but lower revenue than Xperi.

Profitability

This table compares Pathfinder Acquisition and Xperi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Pathfinder Acquisition	N/A	-102.69%	4.33%
Xperi	-16.72%	-7.03%	-4.14%

Summary

Xperi beats Pathfinder Acquisition on 7 of the 11 factors compared between the two stocks.

About Pathfinder Acquisition

Pathfinder Acquisition Corporation does not have significant operations. It intends to effect a merger, share exchange, asset acquisition, share purchase, reorganization, or similar business combination with one or more businesses in the technology or technology-enabled sectors. The company was incorporated in 2020 and is based in Palo Alto, California.

About Xperi

Xperi Inc. operates as a consumer and entertainment technology company worldwide. It offers Pay-TV solutions, including UX solutions that allows service providers to customize elements of the interactive program guide for their customers and to upgrade the programming features and services; IPTV, a cloud-based solution that supports various services and applications, such as TV programming, broadband OTT video content, digital music, photos, and other media experiences; managed IPTV service; video metadata and services; managed IPTV Service, a customizable, cloud-enabled, and end-to-end streaming video solution that enables operators to quickly launch a branded, fully compliant, full-featured Pay-TV service; metadata libraries comprising television, sports, movies, digital-first, celebrities, books, and video games; personalized content discovery, natural language voice, and insights; and TiVo DVR subscriptions, as well as technical support service. It also provides consumer electronics solutions, such as home and mobile audio solutions, and silicon and software solutions for edge inference; connected car solutions, including HD Radio and DTS AutoStage; and Media Platform that provides Vewd middleware solutions, TiVo OS, TiVo Stream 4K, connected TVs, and connected cars that leverage the TiVo OS, as well as advertising solutions. The company was incorporated in 2019 and is headquartered in San Jose, California.