Critical Analysis: Grindr (NYSE:GRND) versus Adyen (OTCMKTS:ADYEY)

Grindr (NYSE:GRND) and Adyen (OTCMKTS:ADYEY) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, earnings, valuation, profitability, risk and dividends.

Analyst Ratings

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

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grindr	1	0	5	0	2.67
Adyen	0	0	6	2	3.25

Grindr currently has a consensus price target of $22.50, suggesting a potential upside of 85.34%. Given Grindr’s higher possible upside, equities research analysts plainly believe Grindr is more favorable than Adyen.

Profitability

This table compares Grindr and Adyen’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grindr	-11.99%	80.21%	16.71%
Adyen	N/A	N/A	N/A

Insider and Institutional Ownership

7.2% of Grindr shares are held by institutional investors. Comparatively, 0.1% of Adyen shares are held by institutional investors. 67.7% of Grindr shares 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.

Valuation & Earnings

This table compares Grindr and Adyen”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grindr	$344.64 million	6.51	-$131.00 million	($0.37)	-32.81
Adyen	$2.41 billion	21.08	$1.00 billion	N/A	N/A

Adyen has higher revenue and earnings than Grindr.

Volatility and Risk

Grindr has a beta of 0.23, indicating that its share price is 77% less volatile than the S&P 500. Comparatively, Adyen has a beta of 2.41, indicating that its share price is 141% more volatile than the S&P 500.

Summary

Adyen beats Grindr on 8 of the 13 factors compared between the two stocks.

About Grindr

Grindr Inc. operates social network and dating application for the lesbian, gay, bisexual, transgender, and queer (LGBTQ) communities worldwide. Its platform enables LGBTQ people to find and engage with each other, share content and experiences, and express themselves. The company offers ad-supported service and a premium subscription version. Grindr Inc. was founded in 2009 and is headquartered in West Hollywood, California.

About Adyen

Adyen N.V. operates a payments platform in Europe, the Middle East, Africa, North America, the Asia Pacific, Latin America. The company's platform integrates payments stack that include gateway, risk management, processing, issuing, acquiring, and settlement services. It offers a back-end infrastructure for authorizing. It serves digital, mobility, platforms and marketplace, retail, food and beverages, subscription, and hospital businesses. Adyen N.V. was incorporated in 2006 and is headquartered in Amsterdam, the Netherlands.