Opera (NASDAQ:OPRA) & Bumble (NASDAQ:BMBL) Critical Contrast

Bumble (NASDAQ:BMBL) and Opera (NASDAQ:OPRA) are both small-cap communication services companies, but which is the superior stock? We will compare the two businesses based on the strength of their earnings, analyst recommendations, institutional ownership, dividends, risk, valuation and profitability.

Insider & Institutional Ownership

94.8% of Bumble shares are owned by institutional investors. Comparatively, 10.2% of Opera shares are owned by institutional investors. 15.3% of Bumble shares are owned by company insiders. Comparatively, 84.4% of Opera shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk and Volatility

Bumble has a beta of 1.88, indicating that its share price is 88% more volatile than the S&P 500. Comparatively, Opera has a beta of 1.28, indicating that its share price is 28% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for Bumble and Opera, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bumble	2	15	1	0	1.94
Opera	0	2	3	0	2.60

Bumble currently has a consensus target price of $4.12, suggesting a potential downside of 30.51%. Opera has a consensus target price of $24.75, suggesting a potential upside of 36.21%. Given Opera’s stronger consensus rating and higher possible upside, analysts clearly believe Opera is more favorable than Bumble.

Earnings and Valuation

This table compares Bumble and Opera”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bumble	$965.66 million	0.81	-$693.14 million	($4.23)	-1.40
Opera	$614.83 million	2.63	$108.28 million	$1.39	13.07

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

Profitability

This table compares Bumble and Opera’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bumble	-58.99%	35.88%	17.46%
Opera	18.55%	9.14%	8.03%

Summary

Opera beats Bumble on 9 of the 14 factors compared between the two stocks.

About Bumble

Bumble Inc. provides online dating and social networking platforms in North America, Europe, internationally. It owns and operates websites and applications that offers subscription and in-app purchases dating products. The company operates apps, including Bumble, a dating app built with women at the center, where women make the first move; Badoo, the web and mobile free-to-use dating app; Official app where users connect their profile with that of their partner enabling a shared, linked product experience; Bumble BFF and Bumble Bizz Modes that have a format similar to the date mode requiring users to set up profiles and matching users through yes and no votes, similar to the dating platform; and Bumble for Friends, a friendship app where people in all stages of life can meet people nearby and create meaningful platonic connections, as well as Fruitz app is centered around encouraging honesty and transparency by sharing dating intentions from the first touch point. Bumble Inc. was founded in 2006 in and is headquartered in Austin, Texas.

About Opera

Opera Limited, together with its subsidiaries, provides mobile and PC web browsers and related products and services in Norway and internationally. The company offers mobile browser products, such as Opera Mini, Opera browser for Android and iOS, and Opera GX for PCs and Mobile; Opera Touch; PC browsers, including Opera for Computers and Opera GX; Apex Football; Opera VPN Pro; and Opera News, an AI-powered personalized news discovery and aggregation service. It provides Opera Crypto Browser for PCs and mobile; browser-based cashback rewards programs; owns GameMaker Studio, a 2D gaming development platform; and GXC, a gaming portal. In addition, the company operates Opera Ads, an online advertising platform; and offers Web3 and e-commerce services. Opera Limited was founded in 1995 and is headquartered in Oslo, Norway. Opera Limited is a subsidiary of Kunlun Tech Limited.