Head-To-Head Analysis: REA Group (RPGRF) versus The Competition

REA Group (OTCMKTS:RPGRF) is one of 192 publicly-traded companies in the “Interactive Media & Services” industry, but how does it compare to its peers? We will compare REA Group to similar businesses based on the strength of its profitability, valuation, earnings, risk, dividends, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

10.5% of REA Group shares are held by institutional investors. Comparatively, 40.6% of shares of all “Interactive Media & Services” companies are held by institutional investors. 23.6% of shares of all “Interactive Media & Services” companies are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares REA Group and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
REA Group	N/A	N/A	N/A
REA Group Competitors	-350.03%	-11.83%	4.11%

Earnings & Valuation

This table compares REA Group and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
REA Group	N/A	N/A	109.45
REA Group Competitors	$13.61 billion	$3.51 billion	24.76

REA Group’s peers have higher revenue and earnings than REA Group. REA Group is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Analyst Ratings

This is a summary of current ratings for REA Group and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
REA Group	0	1	0	0	2.00
REA Group Competitors	1395	5915	11327	427	2.57

REA Group currently has a consensus target price of $270.00, indicating a potential upside of 116.95%. As a group, “Interactive Media & Services” companies have a potential upside of 25.38%. Given REA Group’s higher probable upside, research analysts clearly believe REA Group is more favorable than its peers.

Summary

REA Group peers beat REA Group on 7 of the 11 factors compared.

REA Group Company Profile

REA Group Limited engages in online property advertising business in Australia, Asia, and North America. It offers property and property-related services on websites and mobile apps. The company operates residential, commercial, share, and co-working property sites, such as realestate.com.au, realcommercial.com.au, spacely.com.au, Flatmates.com.au, iproperty.com.my, smartline.com.au, hometrack.com.au, 1form.com, rumah123.com, iproperty.com.sg, squarefoot.com.hk, ThinkgOfLiving.com, myfun.com, smartexpos.com, makaan.com, housing.com, PropTiger.com, move.com, realtor.com, and 99.co. It also provides mortgage broking and home-financing solutions. The company was formerly known as realestate.com.au Ltd. and changed its name to REA Group Limited in December 2008. REA Group Limited was founded in 1995 and is headquartered in Richmond, Australia. REA Group Limited operates as a subsidiary of News Corporation.