CrowdGather (OTCMKTS:CRWG) and Yelp (NYSE:YELP) Head-To-Head Analysis

CrowdGather (OTCMKTS:CRWG) and Yelp (NYSE:YELP) are both small-cap computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, valuation, institutional ownership, dividends, risk and profitability.

Volatility and Risk

CrowdGather has a beta of 14.04, suggesting that its stock price is 1,304% more volatile than the S&P 500. Comparatively, Yelp has a beta of 0.55, suggesting that its stock price is 45% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for CrowdGather and Yelp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CrowdGather	0	0	0	0	0.00
Yelp	2	4	1	0	1.86

Yelp has a consensus price target of $31.29, suggesting a potential upside of 10.85%. Given Yelp’s stronger consensus rating and higher probable upside, analysts plainly believe Yelp is more favorable than CrowdGather.

Insider and Institutional Ownership

90.1% of Yelp shares are owned by institutional investors. 36.4% of CrowdGather shares are owned by insiders. Comparatively, 7.4% of Yelp shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Valuation & Earnings

This table compares CrowdGather and Yelp”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CrowdGather	N/A	N/A	N/A	N/A	N/A
Yelp	$1.41 billion	1.23	$132.85 million	$2.26	12.49

Yelp has higher revenue and earnings than CrowdGather.

Profitability

This table compares CrowdGather and Yelp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CrowdGather	N/A	N/A	N/A
Yelp	10.23%	20.33%	15.23%

Summary

Yelp beats CrowdGather on 8 of the 10 factors compared between the two stocks.

About CrowdGather

CrowdGather, Inc., a social networking Internet company, develops and hosts forum based Websites primarily in the United States. It monetizes a network of online forums and message boards designed to engage, provide information to, and build community around users. The company's forum community connects a network of people sharing their questions, expertise, and experiences. It also provides targeted advertising and marketing services for online customers. The company's portfolio includes approximately 350 domain names and 70 Web properties at various stages of development. CrowdGather, Inc. is headquartered in Calabasas, California.

About Yelp

Yelp Inc. operates a platform that connects consumers with local businesses in the United States and internationally. The company's platform covers various categories, including restaurants, shopping, beauty and fitness, health, and other categories, as well as home, local, auto, professional, pets, events, real estate, and financial services. It provides free and paid advertising products to businesses, which include cost-per-click advertising and multi-location Ad products, as well as enables businesses to deliver targeted advertising to large and high-intent audience; and business listing page products. The company also offers other services comprising Yelp Guest Manager, a subscription-based suite of front-of-house management tools for restaurants, nightlife and certain other venues, which include online reservations, a waitlist management solution that allows consumers to check wait times and join waitlists remotely, as well as through hostless kiosks, and seating and server rotation management tools; Yelp Knowledge program that offers business owners local analytics and insights through access to its historical data and other proprietary content; and Yelp Fusion, which offers free access to various basic information through publicly available APIs, and paid access to content and data for consumer-facing enterprise use. In addition, it provides content licensing, as well as allows third-party data providers to update and manage business listing information on behalf of businesses. Further, the company offers its products directly through its sales force; indirectly through partners; and online through its website and business app, as well as non-advertising partner arrangements. It has partnership with Grubhub for providing consumers with a service to place food orders for pickup and delivery. The company was incorporated in 2004 and is based in San Francisco, California.