Head-To-Head Analysis: Integral Ad Science (NASDAQ:IAS) versus Wix.com (NASDAQ:WIX)

Integral Ad Science (NASDAQ:IAS) and Wix.com (NASDAQ:WIX) are both business services companies, but which is the superior investment? We will contrast the two companies based on the strength of their earnings, risk, profitability, valuation, dividends, institutional ownership and analyst recommendations.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Integral Ad Science and Wix.com, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Integral Ad Science	0	3	11	0	2.79
Wix.com	0	3	14	0	2.82

Integral Ad Science presently has a consensus price target of $16.77, indicating a potential upside of 72.52%. Wix.com has a consensus price target of $175.59, indicating a potential upside of 10.38%. Given Integral Ad Science’s higher probable upside, equities research analysts plainly believe Integral Ad Science is more favorable than Wix.com.

Volatility & Risk

Integral Ad Science has a beta of 1.53, suggesting that its share price is 53% more volatile than the S&P 500. Comparatively, Wix.com has a beta of 1.46, suggesting that its share price is 46% more volatile than the S&P 500.

Insider & Institutional Ownership

95.8% of Integral Ad Science shares are held by institutional investors. Comparatively, 81.5% of Wix.com shares are held by institutional investors. 2.0% of Integral Ad Science shares are held by insiders. Comparatively, 6.2% of Wix.com shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Integral Ad Science and Wix.com’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Integral Ad Science	0.59%	0.32%	0.24%
Wix.com	4.20%	-59.67%	4.49%

Earnings and Valuation

This table compares Integral Ad Science and Wix.com’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Integral Ad Science	$474.37 million	3.29	$7.24 million	$0.01	972.97
Wix.com	$1.56 billion	5.82	$33.14 million	$1.14	139.54

Wix.com has higher revenue and earnings than Integral Ad Science. Wix.com is trading at a lower price-to-earnings ratio than Integral Ad Science, indicating that it is currently the more affordable of the two stocks.

Summary

Wix.com beats Integral Ad Science on 9 of the 14 factors compared between the two stocks.

About Integral Ad Science

Integral Ad Science Holding Corp. operates as a digital advertising verification company in the United States, the United Kingdom, France, Ireland, Germany, Italy, Singapore, Australia, Japan, India, and the Nordics. The company provides IAS Signal, a cloud-based technology platform that offers return on ad spend needs; and deliver independent measurement and verification of digital advertising across devices, channels, and formats, including desktop, mobile, connected TV, social, display, and video. Its digital media quality solutions offer ad fraud detection and prevention, viewability, brand safety and suitability, contextual targeting, inventory yield management, and reporting. In addition, the company offers Quality Impressions, a metric designed to verify that digital ads are served to a real person rather than a bot, viewable on-screen, and presented in a brand-safe and suitable environment in the correct geography; Context Control solution that delivers contextual targeting and brand suitability capabilities; pre-bid programmatic and post-bid verification solutions for advertisers; and optimization and verification solutions for publishers. It serves advertisers and agencies, publishers, and supply side platforms. The company was founded in 2009 and is headquartered in New York, New York.

About Wix.com

Wix.com Ltd., together with its subsidiaries, operates as a cloud-based web development platform for registered users and creators worldwide. The company offers Wix Editor, a drag-and-drop visual development and website editing environment platform; and Wix ADI that enables users to have the freedom of customization that the classic editor offers. It also provides Wix Logo Maker that generates a logo, including through the use of artificial intelligence; Wix Answers to support users; and Payments by Wix, a payment platform, which helps its users receive payments from their customers through their Wix Website. In addition, the company offers various vertical-specific applications that business owners use to operate various aspects of their business online. Further, it provides a range of complementary services, including Wix App Market, a marketplace that offers its registered users various free and paid web applications for building, growing, and managing their businesses; Wix marketplace that brings users seeking help in creating and managing a website together with Web experts; and Wix owner App, a native mobile application, which enables users to manage their Websites and Wix operating systems. The company was formerly known as Wixpress Ltd. The company was incorporated in 2006 and is headquartered in Tel Aviv, Israel.