Contrasting TripAdvisor (NASDAQ:TRIP) & 1stdibs.com (NASDAQ:DIBS)

TripAdvisor (NASDAQ:TRIP) and 1stdibs.com (NASDAQ:DIBS) are both small-cap retail/wholesale companies, but which is the superior business? We will compare the two businesses based on the strength of their profitability, analyst recommendations, dividends, risk, earnings, valuation and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and target prices for TripAdvisor and 1stdibs.com, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TripAdvisor	4	7	1	0	1.75
1stdibs.com	1	1	0	0	1.50

TripAdvisor presently has a consensus target price of $16.39, suggesting a potential upside of 5.99%. Given TripAdvisor’s stronger consensus rating and higher probable upside, equities research analysts clearly believe TripAdvisor is more favorable than 1stdibs.com.

Insider & Institutional Ownership

99.0% of TripAdvisor shares are held by institutional investors. Comparatively, 67.0% of 1stdibs.com shares are held by institutional investors. 3.1% of TripAdvisor shares are held by company insiders. Comparatively, 23.5% of 1stdibs.com shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares TripAdvisor and 1stdibs.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TripAdvisor	3.53%	12.40%	3.59%
1stdibs.com	-19.94%	-18.56%	-12.69%

Risk and Volatility

TripAdvisor has a beta of 1.21, meaning that its stock price is 21% more volatile than the S&P 500. Comparatively, 1stdibs.com has a beta of 1.11, meaning that its stock price is 11% more volatile than the S&P 500.

Valuation and Earnings

This table compares TripAdvisor and 1stdibs.com”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TripAdvisor	$1.89 billion	0.95	$5.00 million	$0.64	24.16
1stdibs.com	$88.26 million	1.82	-$18.63 million	($0.50)	-8.76

TripAdvisor has higher revenue and earnings than 1stdibs.com. 1stdibs.com is trading at a lower price-to-earnings ratio than TripAdvisor, indicating that it is currently the more affordable of the two stocks.

Summary

TripAdvisor beats 1stdibs.com on 12 of the 14 factors compared between the two stocks.

About TripAdvisor

TripAdvisor, Inc. operates as an online travel company, primarily engages in the provision of travel guidance products and services worldwide. The company operates in three segments: Brand Tripadvisor, Viator, and TheFork. The Brand Tripadvisor segment offers travel guidance platforms for travelers to discover, generate, and share authentic user-generated content in the form of ratings and reviews for destinations, points-of-interest, experiences, accommodations, restaurants, and cruises. The Viator's segment provides pure-play experiences online travel agency that comprehensive and connecting travelers to discover and book tours, activities, and attractions from experience operators. TheFork segment provides an online marketplace that enables diners to discover and book online reservations at restaurants. TripAdvisor, Inc. was founded in 2000 and is headquartered in Needham, Massachusetts. Tripadvisor, Inc. is a subsidiary of Liberty TripAdvisor Holdings, Inc.

About 1stdibs.com

1stdibs.Com, Inc. operates an online marketplace for luxury design products worldwide. Its marketplace connects customers with sellers and makers of vintage, antique, and contemporary furniture; and home décor, jewelry, watches, art, and fashion products. The company was incorporated in 2000 and is headquartered in New York, New York.