FactSet Research Systems (NYSE:FDS) vs. MarketWise (NASDAQ:MKTW) Financial Contrast

FactSet Research Systems (NYSE:FDS) and MarketWise (NASDAQ:MKTW) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, earnings, valuation, institutional ownership, analyst recommendations, dividends and risk.

Valuation & Earnings

This table compares FactSet Research Systems and MarketWise”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FactSet Research Systems	$2.48 billion	4.77	$533.48 million	$14.56	23.01
MarketWise	$328.12 million	1.07	$5.62 million	$0.83	26.77

FactSet Research Systems has higher revenue and earnings than MarketWise. FactSet Research Systems is trading at a lower price-to-earnings ratio than MarketWise, indicating that it is currently the more affordable of the two stocks.

Dividends

FactSet Research Systems pays an annual dividend of $4.64 per share and has a dividend yield of 1.4%. MarketWise pays an annual dividend of $1.00 per share and has a dividend yield of 4.5%. FactSet Research Systems pays out 31.9% of its earnings in the form of a dividend. MarketWise pays out 120.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. FactSet Research Systems has increased its dividend for 27 consecutive years and MarketWise has increased its dividend for 1 consecutive years.

Analyst Ratings

This is a breakdown of recent ratings for FactSet Research Systems and MarketWise, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FactSet Research Systems	6	10	2	1	1.89
MarketWise	0	1	1	0	2.50

FactSet Research Systems presently has a consensus price target of $280.93, suggesting a potential downside of 16.15%. Given FactSet Research Systems’ higher probable upside, equities analysts plainly believe FactSet Research Systems is more favorable than MarketWise.

Volatility & Risk

FactSet Research Systems has a beta of 0.69, meaning that its share price is 31% less volatile than the S&P 500. Comparatively, MarketWise has a beta of 0.28, meaning that its share price is 72% less volatile than the S&P 500.

Institutional and Insider Ownership

91.2% of FactSet Research Systems shares are held by institutional investors. Comparatively, 23.0% of MarketWise shares are held by institutional investors. 0.2% of FactSet Research Systems shares are held by insiders. Comparatively, 29.9% of MarketWise shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares FactSet Research Systems and MarketWise’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FactSet Research Systems	21.54%	31.66%	15.73%
MarketWise	0.72%	-0.94%	1.15%

Summary

FactSet Research Systems beats MarketWise on 14 of the 18 factors compared between the two stocks.

About FactSet Research Systems

FactSet Research Systems provides financial data, analytics, and workflow technology to investment professionals and businesses. Its platform brings together market and company data, research, and analytical tools to help clients evaluate investments, manage portfolios, and support financial decision-making. The company offers subscription-based products and services, including its workstation, data feeds, application programming interfaces, and portfolio analytics. Its clients include investment managers, investment banks, wealth managers, private equity firms, and corporations.

About MarketWise

MarketWise, Inc. is a digital subscription-based financial research and education company. It provides individual investors with investment research, market analysis, trading ideas, educational content and portfolio-management tools designed to support self-directed investing. The company operates a portfolio of financial media and research brands, including Stansberry Research, InvestorPlace, Empire Financial Research, Chaikin Analytics and TradeSmith. Its offerings generally include newsletters, analyst research, market commentary, trading and investing courses, software tools, and premium subscription services covering stocks, options, cryptocurrencies and other investment topics.