NerdWallet (NASDAQ:NRDS – Get Free Report) and Intercorp Financial Services (NYSE:IFS – Get Free Report) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, earnings, risk, analyst recommendations and valuation.
Profitability
This table compares NerdWallet and Intercorp Financial Services’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
NerdWallet | 6.11% | 2.54% | 2.05% |
Intercorp Financial Services | 27.98% | 17.27% | 1.98% |
Institutional & Insider Ownership
38.8% of NerdWallet shares are owned by institutional investors. 46.5% of NerdWallet shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.
Analyst Recommendations
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
NerdWallet | 0 | 3 | 3 | 0 | 2.50 |
Intercorp Financial Services | 0 | 0 | 1 | 1 | 3.50 |
NerdWallet currently has a consensus target price of $13.60, suggesting a potential upside of 23.30%. Given NerdWallet’s higher probable upside, equities analysts clearly believe NerdWallet is more favorable than Intercorp Financial Services.
Risk and Volatility
NerdWallet has a beta of 1.44, suggesting that its share price is 44% more volatile than the S&P 500. Comparatively, Intercorp Financial Services has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.
Valuation & Earnings
This table compares NerdWallet and Intercorp Financial Services”s top-line revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
NerdWallet | $771.20 million | 1.09 | $30.40 million | $0.62 | 17.79 |
Intercorp Financial Services | $1.68 billion | 2.78 | $346.47 million | $4.50 | 9.09 |
Intercorp Financial Services has higher revenue and earnings than NerdWallet. Intercorp Financial Services is trading at a lower price-to-earnings ratio than NerdWallet, indicating that it is currently the more affordable of the two stocks.
Summary
Intercorp Financial Services beats NerdWallet on 8 of the 15 factors compared between the two stocks.
About NerdWallet
NerdWallet, Inc. operates a digital platform that provides consumer-driven advice about personal finance by connecting individuals and small and mid-sized businesses with financial products providers in the United States, the United Kingdom, Australia, and Canada. Its platform offers guidance to consumers through educational content, tools and calculators, and product marketplaces, as well as through NerdWallet app for various financial products, including credit cards, mortgages, insurance, SMB products, personal loans, banking, investing, and student loans. The company was founded in 2009 and is based in San Francisco, California.
About Intercorp Financial Services
Intercorp Financial Services Inc., together with its subsidiaries, offers banking, insurance, wealth management, and payment services for retail and commercial clients in Peru. The company provides loans, credit facilities, deposits, and current accounts; life annuity products with single-premium payment and conventional life insurance products, as well as other retail insurance products; and brokerage and investment management services. It engages in the development, management, operation, and processing of credit and debit cards; facilitation of payments and services through commercial stores; and installation and maintenance of infrastructure for transactions through electronic commerce modality and networks of payment methods processors. The company was incorporated in 1897 and is based in Lima, Peru. Intercorp Financial Services Inc. operates as a subsidiary of Intercorp PerĂº Ltd.
Receive News & Ratings for NerdWallet Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for NerdWallet and related companies with MarketBeat.com's FREE daily email newsletter.