Comparing Cloudflare (NYSE:NET) and Matterport (NASDAQ:MTTR)

by · The Markets Daily

Cloudflare (NYSE:NETGet Free Report) and Matterport (NASDAQ:MTTRGet Free Report) are both computer and technology companies, but which is the superior business? We will contrast the two companies based on the strength of their analyst recommendations, risk, earnings, dividends, institutional ownership, valuation and profitability.

Valuation and Earnings

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

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Cloudflare$1.30 billion21.70-$183.95 million($0.53)-155.40
Matterport$162.28 million8.82-$199.08 million($0.60)-7.58

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

Insider and Institutional Ownership

82.7% of Cloudflare shares are held by institutional investors. Comparatively, 37.0% of Matterport shares are held by institutional investors. 12.8% of Cloudflare shares are held by insiders. Comparatively, 17.5% of Matterport shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Cloudflare and Matterport’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Cloudflare-6.90%-8.54%-2.42%
Matterport-164.17%-32.22%-28.08%

Analyst Ratings

This is a summary of recent recommendations for Cloudflare and Matterport, as provided by MarketBeat.com.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Cloudflare3121002.28
Matterport06002.00

Cloudflare presently has a consensus target price of $92.29, suggesting a potential upside of 12.06%. Matterport has a consensus target price of $4.70, suggesting a potential upside of 3.30%. Given Cloudflare’s stronger consensus rating and higher possible upside, equities analysts clearly believe Cloudflare is more favorable than Matterport.

Volatility and Risk

Cloudflare has a beta of 1.1, indicating that its share price is 10% more volatile than the S&P 500. Comparatively, Matterport has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500.

Summary

Cloudflare beats Matterport on 12 of the 14 factors compared between the two stocks.

About Cloudflare

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Cloudflare, Inc. operates as a cloud services provider that delivers a range of services to businesses worldwide. The company provides an integrated cloud-based security solution to secure a range of combination of platforms, including public cloud, private cloud, on-premise, software-as-a-service applications, and IoT devices; and website and application security products comprising web application firewall, bot management, distributed denial of service, API gateways, SSL/TLS encryption, script management, security center, and rate limiting products. It offers website and application performance solutions, including content delivery, load balancing, DNS, agro smart routing, video stream delivery, web optimization, cache reserve, cloudfare waiting room, and cloudfare data localization suite; SASE platform through cloudfare one that provides a cloud-based network-as-a-service; network services which deliver network connectivity, security, and performance, including magic WAN, magic transit, magic firewall, cloudflare network interconnect, and spectrum. In addition, the company provides zero trust services, such as cloudflare access, cloudflare gateway, remote browser isolation, cloud access security broker, cloud email security, and data loss prevention products that protects, inspects, and provides privilege rules to grant access to data and application. Further, it provides developer-based solutions consisting of cloudflare workers, R2 object storage, workers KV, durable objects, cloudfare pages, cloudfare stream, and cloudfare images; and consumer products comprising of 1.1.1.1, a DNS resolver, WARP, a virtual private network, and cloudfare registrar that secures registration and management of domain names. The company serves customers in the technology, healthcare, financial services, consumer and retail, industrial, and non-profit industries, as well as government. Cloudflare, Inc. was incorporated in 2009 and is headquartered in San Francisco, California.

About Matterport

(Get Free Report)

Matterport, Inc., a spatial data company, focuses on digitization and datafication in the United States and internationally. The company offers Matterport Capture Services, a fully managed solution for enterprise subscribers; Matterport Pro3, a 3D camera that scans properties; Matterport Pro2, a 3D camera that captures spaces; LEICA BLK360, a device to create digital twins; Smartphone Capture, a smartphone capture solution for both iOS and Android; and 360 Cameras. It also provides Matterport Axis, a motor-mount accessory for smartphone. The company serves its products in residential and commercial real estate, facilities management and retail, AEC, insurance and repair, and travel and hospitality markets. Matterport, Inc. is headquartered in Sunnyvale, California.