Head to Head Review: Spire Global (NYSE:SPIR) vs. Alight (NYSE:ALIT)

Alight (NYSE:ALIT) and Spire Global (NYSE:SPIR) are both small-cap industrials companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, risk, valuation, analyst recommendations, profitability and earnings.

Earnings & Valuation

This table compares Alight and Spire Global”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alight	$2.26 billion	0.15	-$3.10 billion	($77.18)	-0.17
Spire Global	$71.55 million	4.54	$51.31 million	($2.67)	-3.11

Spire Global has lower revenue, but higher earnings than Alight. Spire Global is trading at a lower price-to-earnings ratio than Alight, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Alight has a beta of 1.73, indicating that its share price is 73% more volatile than the S&P 500. Comparatively, Spire Global has a beta of 3.19, indicating that its share price is 219% more volatile than the S&P 500.

Institutional and Insider Ownership

96.7% of Alight shares are owned by institutional investors. Comparatively, 20.0% of Spire Global shares are owned by institutional investors. 2.1% of Alight shares are owned by insiders. Comparatively, 13.0% of Spire Global shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Alight and Spire Global’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alight	-90.90%	16.05%	4.38%
Spire Global	-145.22%	-54.03%	-30.80%

Analyst Recommendations

This is a summary of recent recommendations for Alight and Spire Global, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alight	2	3	3	0	2.12
Spire Global	1	0	5	0	2.67

Alight currently has a consensus price target of $49.33, indicating a potential upside of 286.29%. Spire Global has a consensus price target of $17.90, indicating a potential upside of 115.53%. Given Alight’s higher possible upside, equities analysts clearly believe Alight is more favorable than Spire Global.

About Alight

Alight, Inc. provides cloud-based integrated digital human capital and business solutions worldwide. The company operates through two segments, Employer Solutions and Professional Services. The Employer Solutions segment offers employee wellbeing, integrated benefits administration, healthcare navigation, financial wellbeing, leave of absence management, retiree healthcare and payroll; and operates AI-led capabilities software. The Professional Services segment offers consulting offerings, such as cloud advisory, deployment, and optimization services for cloud platforms. The company provides Alight Worklife, an intuitive, cloud-based employee engagement platform. Its solutions enable employees to enrich their health, wealth, and wellbeing that helps organizations achieve a high-performance culture. Alight, Inc. was founded in 2020 and is based in Lincolnshire, Illinois.

About Spire Global

Spire Global, Inc. provides subscription-based data, insights, predictive analytics, and related project-based services worldwide. The company offers satellite-based aircraft tracking data to power applications, drive decision making, and improve cost efficiencies; data, insights, and predictive analytics for highly accurate ship monitoring, real-time and near real-time vessel updates, port operations, ship safety and route optimization; and space-based data, AI-powered insights, and predictive weather analytics for accurate weather forecasting. It serves maritime, weather, aviation, and space services industries. The company was formerly known as Nanosatisfi, Inc. and changed its name to Spire Global, Inc. in July 2014. Spire Global, Inc. is headquartered in Vienna, Virginia.