Meta Platforms (NASDAQ:META – Get Free Report) and Ziff Davis (NASDAQ:ZD – Get Free Report) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.
Profitability
This table compares Meta Platforms and Ziff Davis’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Meta Platforms | 32.84% | 36.93% | 23.09% |
| Ziff Davis | 3.26% | 12.17% | 6.16% |
Earnings and Valuation
This table compares Meta Platforms and Ziff Davis”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Meta Platforms | $200.97 billion | 7.96 | $60.46 billion | $27.51 | 22.99 |
| Ziff Davis | $1.45 billion | 1.14 | $47.35 million | $1.13 | 39.88 |
Meta Platforms has higher revenue and earnings than Ziff Davis. Meta Platforms is trading at a lower price-to-earnings ratio than Ziff Davis, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
79.9% of Meta Platforms shares are held by institutional investors. Comparatively, 99.8% of Ziff Davis shares are held by institutional investors. 13.5% of Meta Platforms shares are held by company insiders. Comparatively, 3.4% of Ziff Davis shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Analyst Ratings
This is a breakdown of current ratings and target prices for Meta Platforms and Ziff Davis, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Meta Platforms | 0 | 9 | 34 | 4 | 2.89 |
| Ziff Davis | 2 | 4 | 3 | 0 | 2.11 |
Meta Platforms currently has a consensus price target of $840.19, suggesting a potential upside of 32.83%. Ziff Davis has a consensus price target of $47.25, suggesting a potential upside of 4.84%. Given Meta Platforms’ stronger consensus rating and higher possible upside, equities analysts plainly believe Meta Platforms is more favorable than Ziff Davis.
Risk and Volatility
Meta Platforms has a beta of 1.25, meaning that its share price is 25% more volatile than the S&P 500. Comparatively, Ziff Davis has a beta of 1.14, meaning that its share price is 14% more volatile than the S&P 500.
Summary
Meta Platforms beats Ziff Davis on 13 of the 15 factors compared between the two stocks.
About Meta Platforms
Meta Platforms, Inc. engages in the development of products that enable people to connect and share with friends and family through mobile devices, personal computers, virtual reality headsets, and wearables worldwide. It operates in two segments, Family of Apps and Reality Labs. The Family of Apps segment offers Facebook, which enables people to share, discuss, discover, and connect with interests; Instagram, a community for sharing photos, videos, and private messages, as well as feed, stories, reels, video, live, and shops; Messenger, a messaging application for people to connect with friends, family, communities, and businesses across platforms and devices through text, audio, and video calls; and WhatsApp, a messaging application that is used by people and businesses to communicate and transact privately. The Reality Labs segment provides augmented and virtual reality related products comprising consumer hardware, software, and content that help people feel connected, anytime, and anywhere. The company was formerly known as Facebook, Inc. and changed its name to Meta Platforms, Inc. in October 2021. The company was incorporated in 2004 and is headquartered in Menlo Park, California
About Ziff Davis
Ziff Davis, Inc., together with its subsidiaries, operates as a digital media and internet company in the United States and internationally. The company offers PCMag, an online resource for laboratory-based product reviews, technology news, buying guides, and research papers; Mashable for publishing technology and culture content; Spiceworks Ziff Davis provides digital content of IT products and services; retailMeNot, a savings destination platform; Offers.com, a coupon and deals website; and event-based properties, including BlackFriday.com, TheBlackFriday.com, BestBlackFriday.com, and DealsofAmerica.com. It also offers gaming and entertainment content under the IGN Entertainment and Humble Bundle brands; and information on internet connectivity under the Ookla, Ekahau, Downdetector, and RootMetrics brands. The company also offers digital content and information services for health and wellness consumers under the Everyday Health, DailyOM, Lose It!, Diabetes Daily, Castle Connolly, and Migraine Again brands; pregnancy and parenting content under the BabyCenter, Emma's Diary, and What to Expect brands; and Medpage Today that delivers medical news. In addition, the company offers PRIME Education, a medical education program for healthcare professionals; and Health eCareers, a digital portal for healthcare professionals. Further, it provides endpoint and email security, security awareness training, secure backup and file sharing, and virtual private network solutions under the IPVanish, VIPRE, Livedrive, Inspired eLearning, and SugarSync brands; and email marketing and delivery solutions, search engine optimization tools, and voice and text communication services under the Campaigner, iContact, SMTP, Kickbox, MOZ Pro, MOZ Local, Stat Analytics, eVoice, and Line2 brands. The company was formerly known as j2 Global, Inc. and changed its name to Ziff Davis, Inc. in October 2021. Ziff Davis, Inc. was incorporated in 2014 and is headquartered in New York, New York.
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