Shift4 Payments (FOUR) Competitors

Reddit (NYSE:RDDT) and Shift4 Payments (NYSE:FOUR) are both business services companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, media sentiment, risk, valuation, institutional ownership, earnings, analyst recommendations and profitability.

Do analysts prefer RDDT or FOUR?

Reddit presently has a consensus price target of $141.04, suggesting a potential downside of 0.61%. Shift4 Payments has a consensus price target of $116.10, suggesting a potential upside of 13.13%. Given Shift4 Payments' stronger consensus rating and higher possible upside, analysts clearly believe Shift4 Payments is more favorable than Reddit.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reddit	1 Sell rating(s)	9 Hold rating(s)	12 Buy rating(s)	2 Strong Buy rating(s)	2.63
Shift4 Payments	0 Sell rating(s)	6 Hold rating(s)	13 Buy rating(s)	2 Strong Buy rating(s)	2.81

Is RDDT or FOUR more profitable?

Reddit has a net margin of 8.07% compared to Shift4 Payments' net margin of 6.50%. Shift4 Payments' return on equity of 32.97% beat Reddit's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Reddit	8.07%	5.69%	5.19%
Shift4 Payments	6.50%	32.97%	7.17%

Does the media favor RDDT or FOUR?

In the previous week, Reddit had 28 more articles in the media than Shift4 Payments. MarketBeat recorded 46 mentions for Reddit and 18 mentions for Shift4 Payments. Shift4 Payments' average media sentiment score of 0.78 beat Reddit's score of 0.37 indicating that Shift4 Payments is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Reddit	13 Very Positive mention(s)	2 Positive mention(s)	29 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Neutral
Shift4 Payments	8 Very Positive mention(s)	1 Positive mention(s)	5 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do institutionals and insiders hold more shares of RDDT or FOUR?

98.9% of Shift4 Payments shares are held by institutional investors. 34.3% of Reddit shares are held by insiders. Comparatively, 25.2% of Shift4 Payments shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Which has preferable valuation & earnings, RDDT or FOUR?

Shift4 Payments has higher revenue and earnings than Reddit. Shift4 Payments is trading at a lower price-to-earnings ratio than Reddit, 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
Reddit	$1.30B	20.14	-$484.28M	$0.59	240.52
Shift4 Payments	$3.33B	2.73	$229.60M	$2.96	34.67

Which has more volatility & risk, RDDT or FOUR?

Reddit has a beta of 2.33, suggesting that its stock price is 133% more volatile than the S&P 500. Comparatively, Shift4 Payments has a beta of 1.8, suggesting that its stock price is 80% more volatile than the S&P 500.

Summary

Shift4 Payments beats Reddit on 10 of the 16 factors compared between the two stocks.