Commerce.com (CMRC) and Its Rivals Financial Analysis

Commerce.com (NASDAQ:CMRC) is one of 43 publicly-traded companies in the “Services – Computer Programming And Data Processing” industry, but how does it weigh in compared to its competitors? We will compare Commerce.com to similar businesses based on the strength of its profitability, analyst recommendations, valuation, risk, institutional ownership, dividends and earnings.

Risk and Volatility

Commerce.com has a beta of 1.09, meaning that its stock price is 9% more volatile than the S&P 500. Comparatively, Commerce.com’s competitors have a beta of 0.77, meaning that their average stock price is 23% less volatile than the S&P 500.

Profitability

This table compares Commerce.com and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Commerce.com	-3.93%	-6.66%	-0.82%
Commerce.com Competitors	-53.73%	-1,002.64%	-68.20%

Insider and Institutional Ownership

79.2% of Commerce.com shares are owned by institutional investors. Comparatively, 57.1% of shares of all “Services – Computer Programming And Data Processing” companies are owned by institutional investors. 9.1% of Commerce.com shares are owned by company insiders. Comparatively, 16.2% of shares of all “Services – Computer Programming And Data Processing” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations for Commerce.com and its competitors, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Commerce.com	2	2	2	1	2.29
Commerce.com Competitors	87	190	210	11	2.29

Commerce.com presently has a consensus target price of $7.90, suggesting a potential upside of 91.28%. As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 74.05%. Given Commerce.com’s higher probable upside, equities analysts plainly believe Commerce.com is more favorable than its competitors.

Earnings & Valuation

This table compares Commerce.com and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Commerce.com	$332.93 million	-$27.03 million	-25.81
Commerce.com Competitors	$284.81 million	-$61.83 million	-7.31

Commerce.com has higher revenue and earnings than its competitors. Commerce.com is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Summary

Commerce.com beats its competitors on 9 of the 13 factors compared.

Commerce.com Company Profile

BigCommerce Holdings, Inc. operates a software-as-a-service platform for small businesses, mid-markets, and large enterprises in the United States, Europe, the Middle East, Africa, the Asia-Pacific, and internationally. The company’s platform provides various services for launching and scaling e-commerce operation, including store design, catalog management, hosting, checkout, order management, reporting, and pre-integrations. As of December 31, 2021, it served approximately 60,000 online stores across industries. BigCommerce Holdings, Inc. was founded in 2009 and is headquartered in Austin, Texas.