Nerdy (NRDY) Competitors

Nerdy (NYSE:NRDY) and Gaotu Techedu (NYSE:GOTU) are both small-cap consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, media sentiment, earnings, profitability, valuation, risk, institutional ownership and dividends.

Which has more risk and volatility, NRDY or GOTU?

Nerdy has a beta of 1.87, meaning that its share price is 87% more volatile than the S&P 500. Comparatively, Gaotu Techedu has a beta of 0.2, meaning that its share price is 80% less volatile than the S&P 500.

Does the media refer more to NRDY or GOTU?

In the previous week, Nerdy had 1 more articles in the media than Gaotu Techedu. MarketBeat recorded 5 mentions for Nerdy and 4 mentions for Gaotu Techedu. Gaotu Techedu's average media sentiment score of 1.02 beat Nerdy's score of -0.22 indicating that Gaotu Techedu is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Nerdy	1 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Gaotu Techedu	2 Very Positive mention(s)	0 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals and insiders hold more shares of NRDY or GOTU?

39.1% of Nerdy shares are owned by institutional investors. Comparatively, 48.4% of Gaotu Techedu shares are owned by institutional investors. 50.9% of Nerdy shares are owned by company insiders. Comparatively, 44.9% of Gaotu Techedu shares are owned by company 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.

Do analysts prefer NRDY or GOTU?

Nerdy currently has a consensus price target of $1.75, suggesting a potential upside of 28.21%. Given Nerdy's stronger consensus rating and higher possible upside, equities analysts clearly believe Nerdy is more favorable than Gaotu Techedu.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nerdy	1 Sell rating(s)	4 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.00
Gaotu Techedu	1 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	1.00

Which has stronger earnings and valuation, NRDY or GOTU?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nerdy	$190.23M	1.33	-$42.58M	-$0.39	-3.50
Gaotu Techedu	$623.84M	1.50	-$143.71M	-$0.49	-7.54

Is NRDY or GOTU more profitable?

Gaotu Techedu has a net margin of -18.07% compared to Nerdy's net margin of -24.91%. Gaotu Techedu's return on equity of -42.83% beat Nerdy's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Nerdy	-24.91%	-77.11%	-49.93%
Gaotu Techedu	-18.07%	-42.83%	-16.70%

Summary

Nerdy beats Gaotu Techedu on 9 of the 16 factors compared between the two stocks.