Analyzing DoubleVerify (NYSE:DV) and Grab (NASDAQ:GRAB)

Grab (NASDAQ:GRAB) and DoubleVerify (NYSE:DV) are both computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, earnings, dividends, analyst recommendations, institutional ownership, risk and valuation.

Risk & Volatility

Grab has a beta of 0.9, meaning that its stock price is 10% less volatile than the S&P 500. Comparatively, DoubleVerify has a beta of 0.98, meaning that its stock price is 2% less volatile than the S&P 500.

Insider & Institutional Ownership

55.5% of Grab shares are held by institutional investors. Comparatively, 97.3% of DoubleVerify shares are held by institutional investors. 3.6% of Grab shares are held by insiders. Comparatively, 3.6% of DoubleVerify shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Grab and DoubleVerify, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grab	0	1	6	1	3.00
DoubleVerify	2	8	11	1	2.50

Grab currently has a consensus price target of $6.58, suggesting a potential upside of 50.30%. DoubleVerify has a consensus price target of $16.41, suggesting a potential upside of 56.38%. Given DoubleVerify’s higher probable upside, analysts clearly believe DoubleVerify is more favorable than Grab.

Earnings & Valuation

This table compares Grab and DoubleVerify”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grab	$2.80 billion	6.31	-$105.00 million	$0.04	109.50
DoubleVerify	$656.85 million	2.57	$56.23 million	$0.25	41.98

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

Profitability

This table compares Grab and DoubleVerify’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grab	3.81%	1.91%	1.19%
DoubleVerify	6.10%	6.59%	5.52%

Summary

DoubleVerify beats Grab on 9 of the 14 factors compared between the two stocks.

About Grab

Grab Holdings Limited engages in the provision of superapps in Cambodia, Indonesia, Malaysia, Myanmar, the Philippines, Singapore, Thailand, and Vietnam. The company offers its Grab ecosystem, a single platform with superapps for driver- and merchant-partners and consumers, that allows access to mobility, delivery, digital financial services, and enterprise sector offerings. Grab Holdings Limited is headquartered in Singapore.

About DoubleVerify

DoubleVerify Holdings, Inc. provides a software platform for digital media measurement, and data analytics in the United States and internationally. The company provides solutions to advertisers that enable advertisers to increase the effectiveness and quality and return on their digital advertising investments. It offers DV Authentic Ad, a metric of digital media quality, which evaluates the existence of fraud-free, brand-suitable, viewability, and geography for each digital ad; DV Authentic Attention that provides actionable, and comprehensive data to drive campaign performance; and Custom Contextual solution, which allows advertisers to match their ads to relevant content to maximize user engagement and drive campaign performance. In addition, the company provides DV Publisher suite, a solution for digital publishers to manage revenue and increase inventory yield by improving video delivery, identifying lost or unfilled sales, and aggregate data across all inventory sources; and DV Pinnacle, a service and analytics platform user interface that allows its customers to adjust and deploy controls for their media plan and track campaign performance metrics across channels, formats, and devices. Further, it offers software solutions are integrated in the digital advertising ecosystem, including programmatic platforms, social media channels, and digital publishers. It serves brands, publishers, and other supply-side customers covering various industry verticals, including consumer packaged goods, financial services, telecommunications, technology, automotive, and healthcare. The company was founded in 2008 and is headquartered in New York, New York.