Financial Contrast: Flywire (FLYW) versus Its Rivals

Flywire (NASDAQ:FLYW) is one of 341 public companies in the “Financial Services” industry, but how does it weigh in compared to its peers? We will compare Flywire to related companies based on the strength of its analyst recommendations, profitability, risk, dividends, valuation, earnings and institutional ownership.

Institutional and Insider Ownership

95.9% of Flywire shares are held by institutional investors. Comparatively, 43.0% of shares of all “Financial Services” companies are held by institutional investors. 5.0% of Flywire shares are held by company insiders. Comparatively, 21.9% of shares of all “Financial Services” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings for Flywire and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flywire	0	8	7	0	2.47
Flywire Competitors	1975	6910	11659	444	2.50

Flywire currently has a consensus price target of $21.73, suggesting a potential upside of 4.24%. As a group, “Financial Services” companies have a potential downside of 8.03%. Given Flywire’s higher possible upside, equities analysts clearly believe Flywire is more favorable than its peers.

Profitability

This table compares Flywire and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Flywire	10.34%	9.46%	6.62%
Flywire Competitors	-412.95%	-40.67%	-5.97%

Valuation and Earnings

This table compares Flywire and its peers gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Flywire	$623.03 million	$13.50 million	80.18
Flywire Competitors	$6.41 billion	$1.09 billion	8.47

Flywire’s peers have higher revenue and earnings than Flywire. Flywire is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Risk and Volatility

Flywire has a beta of 1.32, indicating that its share price is 32% more volatile than the S&P 500. Comparatively, Flywire’s peers have a beta of 2.51, indicating that their average share price is 151% more volatile than the S&P 500.

Summary

Flywire peers beat Flywire on 7 of the 13 factors compared.

Flywire Company Profile

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.