Financial Analysis: Trump Media & Technology Group (NASDAQ:DJT) and Nextdoor (NYSE:KIND)

Nextdoor (NYSE:KINDGet Free Report) and Trump Media & Technology Group (NASDAQ:DJTGet Free Report) are both computer and technology companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, dividends, valuation and profitability.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Nextdoor and Trump Media & Technology Group, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Nextdoor 1 2 1 0 2.00
Trump Media & Technology Group 1 0 0 0 1.00

Nextdoor currently has a consensus target price of $2.21, suggesting a potential upside of 7.40%. Given Nextdoor’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Nextdoor is more favorable than Trump Media & Technology Group.

Profitability

This table compares Nextdoor and Trump Media & Technology Group’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Nextdoor -36.95% -15.75% -13.84%
Trump Media & Technology Group -2,922.66% -8.86% -7.31%

Volatility and Risk

Nextdoor has a beta of 1.19, suggesting that its stock price is 19% more volatile than the S&P 500. Comparatively, Trump Media & Technology Group has a beta of 4.59, suggesting that its stock price is 359% more volatile than the S&P 500.

Institutional & Insider Ownership

35.7% of Nextdoor shares are held by institutional investors. Comparatively, 4.3% of Trump Media & Technology Group shares are held by institutional investors. 33.4% of Nextdoor shares are held by company insiders. Comparatively, 53.0% of Trump Media & Technology Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Nextdoor and Trump Media & Technology Group”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Nextdoor $248.31 million 3.17 -$98.06 million ($0.24) -8.58
Trump Media & Technology Group $3.62 million 1,327.18 -$400.86 million ($0.49) -35.39

Nextdoor has higher revenue and earnings than Trump Media & Technology Group. Trump Media & Technology Group is trading at a lower price-to-earnings ratio than Nextdoor, indicating that it is currently the more affordable of the two stocks.

Summary

Nextdoor beats Trump Media & Technology Group on 9 of the 14 factors compared between the two stocks.

About Nextdoor

(Get Free Report)

Nextdoor Holdings, Inc. operates a neighborhood network that connects neighbors, businesses, and public services in the United States and internationally. The company enables neighbors and organizations to get information, give and get help, and build connections. It also offers advertising solutions, designs to generate value for businesses for connection and sales expansion. The company is headquartered in San Francisco, California.

About Trump Media & Technology Group

(Get Free Report)

Trump Media & Technology Group Corp. engages in operating social media and in the technology business. Its brands include TRUTH Social, TMTG+ and TMTG News. The company was founded on March 28, 2024 and is headquartered in Sarasota, FL.

Receive News & Ratings for Nextdoor Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Nextdoor and related companies with MarketBeat.com's FREE daily email newsletter.