Comparing ACV Auctions (NASDAQ:ACVA) and Fiverr International (NYSE:FVRR)

ACV Auctions (NASDAQ:ACVA) and Fiverr International (NYSE:FVRR) are both retail/wholesale companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, valuation, profitability, institutional ownership, analyst recommendations, risk and dividends.

Volatility and Risk

ACV Auctions has a beta of 1.56, meaning that its share price is 56% more volatile than the S&P 500. Comparatively, Fiverr International has a beta of 1.7, meaning that its share price is 70% more volatile than the S&P 500.

Insider & Institutional Ownership

88.6% of ACV Auctions shares are held by institutional investors. Comparatively, 59.0% of Fiverr International shares are held by institutional investors. 8.5% of ACV Auctions shares are held by insiders. Comparatively, 15.9% of Fiverr International shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for ACV Auctions and Fiverr International, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ACV Auctions	0	2	9	0	2.82
Fiverr International	0	3	8	0	2.73

ACV Auctions presently has a consensus target price of $20.21, indicating a potential upside of 10.95%. Fiverr International has a consensus target price of $34.36, indicating a potential upside of 61.48%. Given Fiverr International’s higher probable upside, analysts plainly believe Fiverr International is more favorable than ACV Auctions.

Earnings & Valuation

This table compares ACV Auctions and Fiverr International’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ACV Auctions	$481.23 million	6.11	-$75.26 million	($0.46)	-39.00
Fiverr International	$361.38 million	2.26	$3.68 million	$0.09	234.67

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

Profitability

This table compares ACV Auctions and Fiverr International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ACV Auctions	-15.64%	-13.97%	-6.89%
Fiverr International	1.02%	3.71%	1.19%

Summary

Fiverr International beats ACV Auctions on 9 of the 14 factors compared between the two stocks.

About ACV Auctions

ACV Auctions Inc. operates a digital marketplace that connects buyers and sellers for the online auction of wholesale vehicles. The company's marketplace platform includes digital marketplace, which connects buyers and sellers by providing online auction, which facilitates real-time transactions of wholesale vehicles; Run List for pre-filtering and pre-screening of vehicles up to 24 hours prior to an auction taking place; ACV transportation service to enable the buyers to see real-time transportation quotes and status reports of the vehicle; ACV capital, a short-term inventory financing services for buyers to purchase vehicles; and Go Green's seller assurance service for against claims related to defects in the vehicle. It also provides remarketing centers, which offers value-added services, such as vehicle reconditioning and storage for dealers and commercial partners. In addition, the company offers data services, including True360 report, which provides cosmetic and structural vehicle assessments integrated into vehicle history reports for dealer to make wholesale and retail transaction decisions on and off the marketplace; ACV market report provides transaction data and condition reports for comparable used vehicles, including pricing data from third-party sources and allows dealers to determine pricing and valuation strategies for used vehicles; and ACV MAX inventory management software enables dealers to manage their inventory and set pricing while turning vehicles. Further, it provides data and technology through inspection, such as condition reports, virtual lift solutions, apex device, and vehicle intelligence platform; and marketplace enablement, comprising MyACV application, private marketplaces, operations automation, live appraisals, and programmatic buying service. ACV Auctions Inc. was incorporated in 2014 and is headquartered in Buffalo, New York.

About Fiverr International

Fiverr International Ltd. operates an online marketplace worldwide. Its platform enables sellers to sell their services and buyers to buy them. The company's platform includes various categories in ten verticals, including graphic and design, digital marketing, writing and translation, video and animation, music and audio, programming and tech, business, data, lifestyle, and photography. It also offers value-added products, including subscription-based content marketing, back-office, learning and development offerings, creative talent, and freelancer management platforms. In addition, the company provides a suite of professional solutions that enable businesses to engage with freelancers; Fiverr Pro, a marketplace; Fiverr Certified, a storefront to access certified experts for partner vendors; Fiverr Enterprise, a gateway to source and manage on-demand and long-term freelancers. Further, it offers various value-added products, including Promoted Gigs which allows sellers to advertise their services on the platform; and Seller Plus, a subscription program that equips sellers with advanced tools. The company's buyers include businesses of various sizes, as well as sellers comprise a group of freelancers and agencies. Fiverr International Ltd. was incorporated in 2010 and is headquartered in Tel Aviv, Israel.