Commerce.com (NASDAQ:CMRC) & Xperi (NYSE:XPER) Head to Head Analysis

Commerce.com (NASDAQ:CMRC) and Xperi (NYSE:XPER) are both small-cap services companies, but which is the better stock? We will compare the two companies based on the strength of their risk, profitability, earnings, institutional ownership, analyst recommendations, valuation and dividends.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Commerce.com and Xperi, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Commerce.com	3	2	2	0	1.86
Xperi	1	1	2	0	2.25

Commerce.com currently has a consensus target price of $4.80, indicating a potential upside of 77.12%. Xperi has a consensus target price of $11.00, indicating a potential upside of 45.41%. Given Commerce.com’s higher possible upside, analysts plainly believe Commerce.com is more favorable than Xperi.

Earnings and Valuation

This table compares Commerce.com and Xperi”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Commerce.com	$342.35 million	0.65	-$19.34 million	($0.18)	-15.06
Xperi	$448.11 million	0.81	-$56.34 million	($0.99)	-7.64

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

Risk & Volatility

Commerce.com has a beta of 1.15, indicating that its share price is 15% more volatile than the S&P 500. Comparatively, Xperi has a beta of 1.42, indicating that its share price is 42% more volatile than the S&P 500.

Profitability

This table compares Commerce.com and Xperi’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Commerce.com	-4.40%	6.10%	0.82%
Xperi	-10.22%	1.09%	0.73%

Institutional & Insider Ownership

79.2% of Commerce.com shares are held by institutional investors. Comparatively, 94.3% of Xperi shares are held by institutional investors. 2.7% of Commerce.com shares are held by company insiders. Comparatively, 3.2% of Xperi shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Xperi beats Commerce.com on 7 of the 13 factors compared between the two stocks.

About Commerce.com

BigCommerce Holdings, Inc. operates a software-as-a-service platform for small businesses, mid-markets, and large enterprises in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and internationally. The company’s platform provides various services for launching and scaling e-commerce operation, including store design, catalog management, hosting, checkout, order management, reporting, and pre-integrations. As of December 31, 2021, it served approximately 60,000 online stores across industries. BigCommerce Holdings, Inc. was founded in 2009 and is headquartered in Austin, Texas.

About Xperi

Xperi Holding Corporation, together with its subsidiaries, operates as a consumer and entertainment product/solutions licensing company worldwide. It operates through two segments, Product, and Intellectual Property Licensing. The company invents, develops, and delivers various technologies. It licenses audio, digital radio, imaging, edge-based machine learning, and multi-channel video user experience solutions to consumer electronics customers, automotive manufacturers, or supply chain partners. The company also provides licensing to multichannel video programming distributors, OTT video service providers, consumer electronics manufacturers, social media, and other new media companies in media industry; and memory, sensors, RF component, and foundry companies in semiconductor industry. It provides its technologies under the DTS, HD Radio, IMAX Enhanced, Invensas, TiVo, and Perceive brands. The company is headquartered in San Jose, California.