Financial Comparison: WEBTOON Entertainment (WBTN) and Its Rivals

WEBTOON Entertainment (NASDAQ:WBTN) is one of 255 publicly-traded companies in the “INTERNET SOFTWARE” industry, but how does it weigh in compared to its rivals? We will compare WEBTOON Entertainment to similar companies based on the strength of its risk, profitability, institutional ownership, valuation, analyst recommendations, earnings and dividends.

Institutional and Insider Ownership

60.5% of shares of all “INTERNET SOFTWARE” companies are held by institutional investors. 18.0% of shares of all “INTERNET SOFTWARE” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
WEBTOON Entertainment	-12.77%	1.23%	0.96%
WEBTOON Entertainment Competitors	-235.93%	-56.30%	-7.36%

Analyst Ratings

This is a breakdown of recent ratings and target prices for WEBTOON Entertainment and its rivals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WEBTOON Entertainment	0	2	5	0	2.71
WEBTOON Entertainment Competitors	1520	10046	19365	454	2.60

WEBTOON Entertainment currently has a consensus target price of $14.36, suggesting a potential upside of 64.84%. As a group, “INTERNET SOFTWARE” companies have a potential upside of 11.51%. Given WEBTOON Entertainment’s stronger consensus rating and higher probable upside, equities analysts clearly believe WEBTOON Entertainment is more favorable than its rivals.

Valuation and Earnings

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

	Gross Revenue	Net Income	Price/Earnings Ratio
WEBTOON Entertainment	$1.35 billion	-$143.90 million	-6.05
WEBTOON Entertainment Competitors	$2.14 billion	$335.71 million	-0.21

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

WEBTOON Entertainment Company Profile

WEBTOON Entertainment Inc. operates a storytelling platform worldwide. The company’s platform allows a community of creators and users to discover, create, and share new content. Its platform offers stories primarily in two ways, including web-comics, a graphical comic-like medium; and web-novels, which are text-based stories. The company was founded in 2014 and is headquartered in Los Angeles, California. WEBTOON Entertainment Inc. is a subsidiary of NAVER Corporation.