ZipRecruiter (NYSE:ZIP) versus Grindr (NYSE:GRND) Head-To-Head Review

Grindr (NYSE:GRND) and ZipRecruiter (NYSE:ZIP) are both communication services companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, risk, institutional ownership, valuation and profitability.

Institutional and Insider Ownership

7.2% of Grindr shares are owned by institutional investors. Comparatively, 70.6% of ZipRecruiter shares are owned by institutional investors. 60.9% of Grindr shares are owned by insiders. Comparatively, 19.9% of ZipRecruiter shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Grindr and ZipRecruiter”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grindr	$439.90 million	5.20	$94.75 million	$0.50	26.32
ZipRecruiter	$448.95 million	0.82	-$32.99 million	$0.35	12.85

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

Profitability

This table compares Grindr and ZipRecruiter’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grindr	18.75%	357.13%	20.08%
ZipRecruiter	6.20%	N/A	-3.73%

Volatility and Risk

Grindr has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500. Comparatively, ZipRecruiter has a beta of 1.55, meaning that its stock price is 55% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current recommendations for Grindr and ZipRecruiter, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grindr	0	1	6	0	2.86
ZipRecruiter	0	4	0	0	2.00

Grindr presently has a consensus target price of $20.00, indicating a potential upside of 51.96%. ZipRecruiter has a consensus target price of $4.17, indicating a potential downside of 7.39%. Given Grindr’s stronger consensus rating and higher possible upside, equities analysts clearly believe Grindr is more favorable than ZipRecruiter.

Summary

Grindr beats ZipRecruiter on 10 of the 13 factors compared between the two stocks.

About Grindr

Grindr Inc. operates social network and dating application for the lesbian, gay, bisexual, transgender, and queer (LGBTQ) communities worldwide. Its platform enables LGBTQ people to find and engage with each other, share content and experiences, and express themselves. The company offers ad-supported service and a premium subscription version. Grindr Inc. was founded in 2009 and is headquartered in West Hollywood, California.

About ZipRecruiter

ZipRecruiter, Inc. operates an online employment marketplace that connects job seekers and employers. Its platform provides various solutions, such as job posting, online interviews, job alerts, match scores, and application updates. The company was incorporated in 2010 and is based in Santa Monica, California.