Izea Worldwide (NASDAQ:IZEA) versus Magnite (NASDAQ:MGNI) Head-To-Head Contrast

Magnite (NASDAQ:MGNI) and Izea Worldwide (NASDAQ:IZEA) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their profitability, dividends, analyst recommendations, risk, institutional ownership, earnings and valuation.

Institutional and Insider Ownership

73.4% of Magnite shares are held by institutional investors. Comparatively, 15.6% of Izea Worldwide shares are held by institutional investors. 3.2% of Magnite shares are held by insiders. Comparatively, 6.5% of Izea Worldwide shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Magnite and Izea Worldwide’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Magnite	21.96%	8.40%	2.40%
Izea Worldwide	-1.98%	-1.20%	-1.03%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Magnite and Izea Worldwide, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnite	0	2	8	0	2.80
Izea Worldwide	2	0	0	0	1.00

Magnite presently has a consensus target price of $24.56, indicating a potential upside of 26.93%. Given Magnite’s stronger consensus rating and higher probable upside, research analysts plainly believe Magnite is more favorable than Izea Worldwide.

Valuation and Earnings

This table compares Magnite and Izea Worldwide”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magnite	$713.95 million	3.88	$144.61 million	$1.04	18.60
Izea Worldwide	$31.24 million	1.88	$40,000.00	($0.03)	-111.97

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

Risk & Volatility

Magnite has a beta of 2.25, meaning that its stock price is 125% more volatile than the S&P 500. Comparatively, Izea Worldwide has a beta of 1.23, meaning that its stock price is 23% more volatile than the S&P 500.

Summary

Magnite beats Izea Worldwide on 13 of the 14 factors compared between the two stocks.

About Magnite

Magnite, Inc., together with its subsidiaries, operates an independent omni-channel sell-side advertising platform in the United States and internationally. The company’s platform offers applications and services for sellers of digital advertising inventory or publishers that own and operate CTV channels, applications, websites, and other digital media properties to manage and monetize their inventory; and applications and services for buyers, including advertisers, agencies, agency trading desks, and demand side platforms to buy digital advertising inventory, as well as an independent marketplace that connects buyers and sellers. It markets its solutions through sales teams that operate from various locations. The company was formerly known as The Rubicon Project, Inc. and changed name to Magnite, Inc. in July 2020. Magnite, Inc. was incorporated in 2007 and is headquartered in New York, New York.

About Izea Worldwide

IZEA Worldwide, Inc., together with its subsidiaries, offers software and professional services to connect brands and content creators in North America, the Asia Pacific, and internationally. The company offers IZEA Flex, its flagship platform for managing enterprise influencer marketing; and comprehensive expense management service to track and manage off-platform expenses related to influencer marketing campaigns. It also operates The Creator Marketplace on IZEA.com that provides creators tools to present their work to marketers. In addition, the company provides management of content workflow, creator search and targeting, bidding, analytics, and payment processing services. It primarily sells influencer marketing and custom content campaigns through client development team and platforms. The company was formerly known as IZEA, Inc. and changed its name to IZEA Worldwide, Inc. in August 2018. IZEA Worldwide, Inc. was founded in 2006 and is headquartered in Orlando, Florida.