Head-To-Head Comparison: Flywire (NASDAQ:FLYW) and Procore Technologies (NYSE:PCOR)

Procore Technologies (NYSE:PCOR) and Flywire (NASDAQ:FLYW) are both computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, dividends, analyst recommendations and valuation.

Profitability

This table compares Procore Technologies and Flywire’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Procore Technologies	-9.84%	-6.18%	-3.74%
Flywire	-0.42%	0.80%	0.56%

Risk and Volatility

Procore Technologies has a beta of 0.9, meaning that its share price is 10% less volatile than the S&P 500. Comparatively, Flywire has a beta of 1.28, meaning that its share price is 28% more volatile than the S&P 500.

Institutional and Insider Ownership

81.1% of Procore Technologies shares are owned by institutional investors. Comparatively, 95.9% of Flywire shares are owned by institutional investors. 21.5% of Procore Technologies shares are owned by insiders. Comparatively, 4.4% of Flywire shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares Procore Technologies and Flywire”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Procore Technologies	$1.15 billion	9.21	-$105.96 million	($0.84)	-81.19
Flywire	$492.14 million	3.42	$2.90 million	($0.02)	-689.50

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

Analyst Ratings

This is a summary of current recommendations and price targets for Procore Technologies and Flywire, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Procore Technologies	1	5	14	1	2.71
Flywire	2	8	6	1	2.35

Procore Technologies currently has a consensus target price of $85.11, suggesting a potential upside of 24.80%. Flywire has a consensus target price of $15.65, suggesting a potential upside of 13.52%. Given Procore Technologies’ stronger consensus rating and higher possible upside, research analysts clearly believe Procore Technologies is more favorable than Flywire.

About Procore Technologies

Procore Technologies, Inc. engages in the provision of a cloud-based construction management platform and related software products in the United States and internationally. The company’s platform enables owners, general and specialty contractors, architects, and engineers to collaborate on construction projects. It offers Preconstruction that facilitates collaboration between internal and external stakeholders during the planning, budgeting, estimating, bidding, and partner selection phase of a construction project; and Project Execution, which enables real-time collaboration, information storage, design, BIM model clash detection, and regulation compliance for teams on the jobsite and in the back office. The company also provides Workforce Management, that helps contractors to schedule, track, and forecast labor productivity, enhance time management, communication with workforces, and manage profitability on construction projects; Financial Management, which provides customers with visibility into the financial health of their individual construction projects and portfolios, as well as facilitates untethered access to financial data, linking the field, and the office in real-time; and Construction Intelligence, that allows customers to capture, manage, and learn from data for project and portfolio reporting, analytics, and artificial intelligence-guided workflows, as well as to monitor projects and drive informed decision-making for business needs. It serves owners, general contractors, and specialty contractors operating in the commercial, residential, industrial, and infrastructure segments of the construction industry. The company allow users to access its products on computers, smartphones, and tablets through any web browser or from its mobile application available for iOS and Android platforms through its direct sales team. Procore Technologies, Inc. was incorporated in 2002 and is headquartered in Carpinteria, California.

About Flywire

Flywire Corporation, together with its subsidiaries, operates as a payments enablement and software company in the United States and internationally. Its payment platform and network, and vertical-specific software help clients to get paid and help their customers to pay. The company’s platform facilitates payment flows across multiple currencies, payment types, and payment options, as well as provides direct connections to alternative payment methods, such as Alipay, Boleto, PayPal/Venmo, and Trustly. It serves education, healthcare, travel, and business to business organizations. The company was formerly known as peerTransfer Corporation and changed its name to Flywire Corporation in December 2016. Flywire Corporation was incorporated in 2009 and is headquartered in Boston, Massachusetts.