Reviewing MarketWise (MKTW) and The Competition

MarketWise (NASDAQ:MKTW) is one of 1,746 public companies in the “Capital Markets” industry, but how does it contrast to its rivals? We will compare MarketWise to related businesses based on the strength of its institutional ownership, analyst recommendations, earnings, valuation, risk, dividends and profitability.

Valuation & Earnings

This table compares MarketWise and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MarketWise	$316.32 million	$5.62 million	26.89
MarketWise Competitors	$2.23 billion	$397.40 million	15.79

MarketWise’s rivals have higher revenue and earnings than MarketWise. MarketWise is trading at a higher price-to-earnings ratio than its rivals, indicating that it is currently more expensive than other companies in its industry.

Volatility and Risk

MarketWise has a beta of 0.28, meaning that its stock price is 72% less volatile than the S&P 500. Comparatively, MarketWise’s rivals have a beta of 0.79, meaning that their average stock price is 21% less volatile than the S&P 500.

Dividends

MarketWise pays an annual dividend of $1.80 per share and has a dividend yield of 8.1%. MarketWise pays out 216.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Capital Markets” companies pay a dividend yield of 3.2% and pay out 29.2% of their earnings in the form of a dividend. MarketWise has raised its dividend for 1 consecutive years.

Analyst Recommendations

This is a summary of recent ratings for MarketWise and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MarketWise	0	1	1	0	2.50
MarketWise Competitors	5603	20206	22556	649	2.37

As a group, “Capital Markets” companies have a potential upside of 22.94%. Given MarketWise’s rivals higher probable upside, analysts clearly believe MarketWise has less favorable growth aspects than its rivals.

Insider & Institutional Ownership

23.0% of MarketWise shares are owned by institutional investors. Comparatively, 30.6% of shares of all “Capital Markets” companies are owned by institutional investors. 30.0% of MarketWise shares are owned by company insiders. Comparatively, 13.1% of shares of all “Capital Markets” companies are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares MarketWise and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MarketWise	0.72%	-0.94%	1.15%
MarketWise Competitors	314.79%	9.90%	3.46%

Summary

MarketWise rivals beat MarketWise on 10 of the 15 factors compared.

MarketWise Company Profile

MarketWise is a financial research and publishing company that provides independent investment research, market commentary, and financial education to individual investors. Its subscription-based services cover topics such as stocks, options, retirement planning, and trading strategies, and may include research publications, analytical tools, and educational materials. The company operates a portfolio of financial publishing brands, including Stansberry Research, InvestorPlace, TradeSmith, and Chaikin Analytics.