CLEAR Secure (NYSE:YOU) and Pagaya Technologies (NASDAQ:PGY) Head-To-Head Comparison

CLEAR Secure (NYSE:YOU) and Pagaya Technologies (NASDAQ:PGY) are both technology companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, institutional ownership, profitability, earnings, dividends, risk and analyst recommendations.

Profitability

This table compares CLEAR Secure and Pagaya Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CLEAR Secure	14.78%	71.51%	10.90%
Pagaya Technologies	10.77%	52.60%	19.41%

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for CLEAR Secure and Pagaya Technologies, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CLEAR Secure	1	3	5	0	2.44
Pagaya Technologies	0	2	8	2	3.00

CLEAR Secure currently has a consensus target price of $66.86, indicating a potential upside of 20.13%. Pagaya Technologies has a consensus target price of $31.62, indicating a potential upside of 80.71%. Given Pagaya Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe Pagaya Technologies is more favorable than CLEAR Secure.

Valuation and Earnings

This table compares CLEAR Secure and Pagaya Technologies”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CLEAR Secure	$900.78 million	8.36	$109.17 million	$1.70	32.74
Pagaya Technologies	$1.30 billion	1.12	$81.39 million	$1.65	10.61

CLEAR Secure has higher earnings, but lower revenue than Pagaya Technologies. Pagaya Technologies is trading at a lower price-to-earnings ratio than CLEAR Secure, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

73.8% of CLEAR Secure shares are held by institutional investors. Comparatively, 57.1% of Pagaya Technologies shares are held by institutional investors. 29.7% of CLEAR Secure shares are held by insiders. Comparatively, 42.0% of Pagaya Technologies shares are held 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.

Volatility & Risk

CLEAR Secure has a beta of 0.99, indicating that its share price is 1% less volatile than the S&P 500. Comparatively, Pagaya Technologies has a beta of 5.67, indicating that its share price is 467% more volatile than the S&P 500.

Summary

Pagaya Technologies beats CLEAR Secure on 8 of the 15 factors compared between the two stocks.

About CLEAR Secure

Clear Secure, Inc. operates a secure identity platform under the CLEAR brand name primarily in the United States. Its secure identity platform is a multi-layered infrastructure consisting of front-end, including enrollment, verification, and linking, as well as back-end. The company also offers CLEAR Plus, a consumer aviation subscription service, which enables access to predictable entry lanes in airport security checkpoints, as well as access to broader network; and CLEAR mobile app, which is used to enroll new members and improve the experience for existing members. In addition, it provides RESERVE powered by CLEAR, a virtual queuing technology that provides users with the ability to book a dedicated time slot to go through security at the airport; CLEAR Verified, a B2B offering that extends secure identity platform to partners to create friction-free experiences for their customers; TSA PreCheck Enrollment Provided by CLEAR, as well as online renewal services; Atlas Certified, an automated solution to verify professional licenses and certification data across industries; and Sora ID that enables adding know your customer services to platform offerings, as well as virtual queuing technology that enables customers to manage lines. The company was founded in 2010 and is headquartered in New York, New York. Clear Secure, Inc. is a subsidiary of Alclear Investments, Llc.

About Pagaya Technologies

Pagaya Technologies Ltd., a product-focused technology company, deploys data science and proprietary artificial intelligence-powered technology for financial institutions and investors in the United States, Israel, the Cayman Islands, and internationally. The company develops and implements proprietary artificial intelligence technology and related software solutions to assist partners to originate loans and other assets. Its partners include high-growth financial technology companies, incumbent banks and financial institutions, auto finance providers, and residential real estate service providers. Pagaya Technologies Ltd. was incorporated in 2016 and is headquartered in New York, New York.