Reviewing EverQuote (NASDAQ:EVER) & ZoomInfo Technologies (NASDAQ:GTM)

EverQuote (NASDAQ:EVER) and ZoomInfo Technologies (NASDAQ:GTM) are both small-cap communication services companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, earnings, profitability, institutional ownership, dividends and analyst recommendations.

Analyst Ratings

This is a summary of current ratings for EverQuote and ZoomInfo Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EverQuote	0	2	6	0	2.75
ZoomInfo Technologies	7	10	1	0	1.67

EverQuote currently has a consensus price target of $28.17, indicating a potential upside of 23.86%. ZoomInfo Technologies has a consensus price target of $5.93, indicating a potential upside of 36.27%. Given ZoomInfo Technologies’ higher probable upside, analysts plainly believe ZoomInfo Technologies is more favorable than EverQuote.

Profitability

This table compares EverQuote and ZoomInfo Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
EverQuote	15.16%	50.29%	36.69%
ZoomInfo Technologies	-43.01%	20.16%	4.33%

Volatility and Risk

EverQuote has a beta of 0.68, meaning that its share price is 32% less volatile than the S&P 500. Comparatively, ZoomInfo Technologies has a beta of 0.87, meaning that its share price is 13% less volatile than the S&P 500.

Insider and Institutional Ownership

91.5% of EverQuote shares are held by institutional investors. Comparatively, 95.5% of ZoomInfo Technologies shares are held by institutional investors. 23.7% of EverQuote shares are held by company insiders. Comparatively, 9.9% of ZoomInfo Technologies shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares EverQuote and ZoomInfo Technologies”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EverQuote	$692.52 million	1.18	$99.31 million	$3.08	7.38
ZoomInfo Technologies	$1.25 billion	1.01	$124.20 million	($1.86)	-2.34

ZoomInfo Technologies has higher revenue and earnings than EverQuote. ZoomInfo Technologies is trading at a lower price-to-earnings ratio than EverQuote, indicating that it is currently the more affordable of the two stocks.

Summary

EverQuote beats ZoomInfo Technologies on 9 of the 14 factors compared between the two stocks.

About EverQuote

EverQuote, Inc. operates an online marketplace for insurance shopping in the United States. The company offers auto, home and renters, and life insurance. The company serves carriers and agents, as well as indirect distributors. The company was formerly known as AdHarmonics, Inc., and changed its name to EverQuote, Inc. in November 2014. EverQuote, Inc. was incorporated in 2008 and is based in Cambridge, Massachusetts.

About ZoomInfo Technologies

ZoomInfo Technologies Inc., through its subsidiaries, provides go-to-market intelligence and engagement platform for sales and marketing teams in the United States and internationally. The company’s cloud-based platform provides information on organizations and professionals to help users identify target customers and decision makers, obtain continually updated predictive lead and company scoring, monitor buying signals and other attributes of target companies, craft messages, engage through automated sales tools, and track progress through the deal cycle. It serves enterprises, mid-market companies, and down to small businesses that operate in various industry verticals, including software, business services, manufacturing, telecommunications, financial services, media and internet, transportation, education, hospitality, and real estate. ZoomInfo Technologies Inc. was founded in 2007 and is headquartered in Vancouver, Washington.