Nextdoor Holdings, Inc. (NXDR) vs Yelp Inc. (YELP)

Nextdoor Holdings, Inc. and Yelp Inc. are both Internet Content & Information companies. Nextdoor Holdings, Inc. and Yelp Inc. are of similar size ($1.1B and $1.0B). Nextdoor Holdings, Inc. has negative trailing earnings, so its P/E is not meaningful; Yelp Inc. trades at 9.4×. Nextdoor Holdings, Inc. grew revenue faster over the last twelve months: 9.79% against 1.50%. Yelp Inc. has the higher net margin (8.59% vs −11.1%) and the higher return on invested capital (16.6% vs −87.4%). Across the 19 metrics below, Yelp Inc. leads on 14 and Nextdoor Holdings, Inc. on 5.

Valuation

Metric NXDR YELP Internet Content & Information median
P/E n/m 9.36 11.54
P/S 3.41 0.74 0.86
P/B 2.28 1.69 1.20
Price to free cash flow 76.39 3.76 9.63
EV/EBITDA n/m 4.07 8.68
EV/Sales 2.04 0.75 1.18
Earnings yield (3.07%) 10.69% (2.42%)
Free cash flow yield 1.31% 26.62% 2.27%

Profitability

Metric NXDR YELP Internet Content & Information median
Gross margin 84.19% 89.65% 66.84%
Operating margin (16.62%) 11.73% (3.41%)
Net margin (11.08%) 8.59% (3.02%)
Free cash flow margin 4.47% 20.19% 1.75%
Return on equity (7.24%) 18.19% 0.00%
Return on assets (6.39%) 12.84% (0.36%)
Return on invested capital (87.38%) 16.61% 0.00%

Growth

Metric NXDR YELP Internet Content & Information median
Revenue growth (TTM) 9.79% 1.50% 2.65%
EPS growth (last fiscal year) 44.00% 19.15% 34.45%
Revenue growth, 5-year CAGR 15.88% 10.91% 9.73%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric NXDR YELP Internet Content & Information median
Debt to equity 0.00 0.16 0.01
Current ratio 13.27 1.75 1.82
Net debt to EBITDA 5.78 (1.16) (0.48)

Dividend

Metric NXDR YELP Internet Content & Information median
Dividend yield — — 1.07%
Payout ratio — — 0.28

Size

Metric NXDR YELP Internet Content & Information median
Market cap 1.01b 1.11b 318.52m

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