RELX (NYSE:RELX) vs. Opera (NASDAQ:OPRA) Financial Review

RELX (NYSE:RELX) and Opera (NASDAQ:OPRA) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, profitability, risk, valuation, earnings and analyst recommendations.

Profitability

This table compares RELX and Opera’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
RELX	N/A	N/A	N/A
Opera	14.53%	8.85%	7.91%

Earnings and Valuation

This table compares RELX and Opera”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
RELX	$12.06 billion	6.90	$2.47 billion	$1.86	24.42
Opera	$480.65 million	3.20	$80.77 million	$0.89	19.34

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

Risk & Volatility

RELX has a beta of 0.87, suggesting that its stock price is 13% less volatile than the S&P 500. Comparatively, Opera has a beta of 1.12, suggesting that its stock price is 12% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings for RELX and Opera, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
RELX	0	0	5	1	3.17
Opera	1	1	6	0	2.63

Opera has a consensus price target of $24.90, indicating a potential upside of 44.68%. Given Opera’s higher possible upside, analysts clearly believe Opera is more favorable than RELX.

Dividends

RELX pays an annual dividend of $0.53 per share and has a dividend yield of 1.2%. Opera pays an annual dividend of $0.78 per share and has a dividend yield of 4.5%. RELX pays out 28.5% of its earnings in the form of a dividend. Opera pays out 87.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Institutional and Insider Ownership

15.0% of RELX shares are held by institutional investors. Comparatively, 10.2% of Opera shares are held by institutional investors. 0.0% of RELX shares are held by company insiders. Comparatively, 84.4% of Opera shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Summary

RELX beats Opera on 9 of the 17 factors compared between the two stocks.

About RELX

RELX Plc engages in provision of information and analytics solutions for professional and business customers across industries. It operates through the following business segments: Scientific, Technical & Medical; Risk & Business Analytics; Legal; and Exhibitions. The Scientific, Technical & Medical segment is a global information analytics business that helps institutions and professionals advance healthcare, open science, and improve performance for the benefit of humanity. The Risk & Business Analytics segment provides customers with solutions and decision tools that combine public and industry specific content with advanced technology and analytics to assist them in evaluating and predicting risk and enhancing operational efficiency. The Legal segment is a global provider of legal, regulatory and business information and analytics that helps customers increase productivity, improve decision-making and outcomes and advance the rule of law around the world. The Exhibitions segment is an event business, enhancing the effect of face-to-face through data and digital tools. The company was founded by Albert Edward Reed in 1903 and is headquartered in London, the United Kingdom.

About Opera

Opera Limited, together with its subsidiaries, provides mobile and PC web browsers and related products and services in Norway and internationally. The company offers mobile browser products, such as Opera Mini, Opera browser for Android and iOS, and Opera GX for PCs and Mobile; Opera Touch; PC browsers, including Opera for Computers and Opera GX; Apex Football; Opera VPN Pro; and Opera News, an AI-powered personalized news discovery and aggregation service. It provides Opera Crypto Browser for PCs and mobile; browser-based cashback rewards programs; owns GameMaker Studio, a 2D gaming development platform; and GXC, a gaming portal. In addition, the company operates Opera Ads, an online advertising platform; and offers Web3 and e-commerce services. Opera Limited was founded in 1995 and is headquartered in Oslo, Norway. Opera Limited is a subsidiary of Kunlun Tech Limited.