Reviewing Bridgeline Digital (BLIN) and Its Rivals

Bridgeline Digital (NASDAQ:BLIN) is one of 953 public companies in the “Software” industry, but how does it weigh in compared to its rivals? We will compare Bridgeline Digital to related businesses based on the strength of its analyst recommendations, institutional ownership, earnings, risk, profitability, dividends and valuation.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Bridgeline Digital and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bridgeline Digital	1	1	1	0	2.00
Bridgeline Digital Competitors	5730	21457	44750	1492	2.57

Bridgeline Digital currently has a consensus target price of $4.62, suggesting a potential upside of 521.80%. As a group, “Software” companies have a potential upside of 26.45%. Given Bridgeline Digital’s higher probable upside, equities analysts clearly believe Bridgeline Digital is more favorable than its rivals.

Risk and Volatility

Bridgeline Digital has a beta of 1.05, suggesting that its share price is 5% more volatile than the S&P 500. Comparatively, Bridgeline Digital’s rivals have a beta of 1.34, suggesting that their average share price is 34% more volatile than the S&P 500.

Profitability

This table compares Bridgeline Digital and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bridgeline Digital	-8.65%	-14.51%	-8.76%
Bridgeline Digital Competitors	-612.69%	20.88%	-8.98%

Institutional and Insider Ownership

15.1% of Bridgeline Digital shares are held by institutional investors. Comparatively, 41.8% of shares of all “Software” companies are held by institutional investors. 27.5% of Bridgeline Digital shares are held by insiders. Comparatively, 19.9% of shares of all “Software” companies 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.

Earnings and Valuation

This table compares Bridgeline Digital and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Bridgeline Digital	$15.38 million	-$2.52 million	-6.19
Bridgeline Digital Competitors	$1.81 billion	$385.92 million	109.81

Bridgeline Digital’s rivals have higher revenue and earnings than Bridgeline Digital. Bridgeline Digital is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Summary

Bridgeline Digital rivals beat Bridgeline Digital on 9 of the 13 factors compared.

About Bridgeline Digital

Bridgeline Digital, Inc. operates as a marketing technology company in the United States, Canada, and internationally. The company offers HawkSearch, a site search, recommendation, and personalization application for marketers, merchandisers, and developers; Celebros Search, a commerce-oriented site search product that provides natural language processing with artificial intelligence; and Woorank, a Search Engine Optimization (SEO) audit tool that generates an instant performance audit of the site's technical, on-page, and off-page SEO. It also provides Bridgeline TruPresence, a web content management and eCommerce platform to support the needs of multi-unit organizations and franchises; Bridgeline Unbound, a technology suite that empower marketers to easily manage their digital experiences and create personalized customer journeys; and OrchestraCMS, a digital experience platform that enables development of custom solutions, third-party integrations, and delivery of digital transformation initiatives on the Salesforce platform. In addition, the company offers digital engagement services comprising digital strategy, web design and web development, usability engineering, information architecture, and SEO, as well as hosting services. It serves vertical markets, such as industrial distributors and wholesalers, franchises and enterprises, manufacturers, eCommerce retailers, health services and life sciences, technology, credit unions and banks, and associations and foundations through its direct sales force. The company was formerly known as Bridgeline Software, Inc. Bridgeline Digital, Inc. was incorporated in 2000 and is based in Woburn, Massachusetts.