Critical Survey: Xperi (XPER) and The Competition

Xperi (NYSE:XPER) is one of 44 public companies in the “Services – Computer Programming And Data Processing” industry, but how does it weigh in compared to its peers? We will compare Xperi to similar companies based on the strength of its dividends, profitability, earnings, institutional ownership, risk, valuation and analyst recommendations.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Xperi	1.53%	-0.22%	-0.14%
Xperi Competitors	-51.08%	-912.69%	-63.05%

Insider and Institutional Ownership

94.3% of Xperi shares are held by institutional investors. Comparatively, 55.0% of shares of all “Services – Computer Programming And Data Processing” companies are held by institutional investors. 2.1% of Xperi shares are held by insiders. Comparatively, 17.9% of shares of all “Services – Computer Programming And Data Processing” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares Xperi and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Xperi	$493.69 million	-$14.01 million	37.38
Xperi Competitors	$271.94 million	-$60.53 million	-9.03

Xperi has higher revenue and earnings than its peers. Xperi 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 & Volatility

Xperi has a beta of 1.31, indicating that its stock price is 31% more volatile than the S&P 500. Comparatively, Xperi’s peers have a beta of 0.80, indicating that their average stock price is 20% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings for Xperi and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Xperi	1	1	0	0	1.50
Xperi Competitors	93	195	216	11	2.28

As a group, “Services – Computer Programming And Data Processing” companies have a potential upside of 74.77%. Given Xperi’s peers stronger consensus rating and higher probable upside, analysts plainly believe Xperi has less favorable growth aspects than its peers.

Summary

Xperi beats its peers on 8 of the 13 factors compared.

Xperi Company Profile

Xperi Holding Corporation, together with its subsidiaries, operates as a consumer and entertainment product/solutions licensing company worldwide. It operates through two segments, Product, and Intellectual Property Licensing. The company invents, develops, and delivers various technologies. It licenses audio, digital radio, imaging, edge-based machine learning, and multi-channel video user experience solutions to consumer electronics customers, automotive manufacturers, or supply chain partners. The company also provides licensing to multichannel video programming distributors, OTT video service providers, consumer electronics manufacturers, social media, and other new media companies in media industry; and memory, sensors, RF component, and foundry companies in semiconductor industry. It provides its technologies under the DTS, HD Radio, IMAX Enhanced, Invensas, TiVo, and Perceive brands. The company is headquartered in San Jose, California.