Head to Head Survey: Kanzhun (NASDAQ:BZ) and Nextdoor (NYSE:KIND)

Kanzhun (NASDAQ:BZ) and Nextdoor (NYSE:KIND) are both computer and technology companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, profitability, institutional ownership, valuation, dividends, analyst recommendations and risk.

Analyst Recommendations

This is a breakdown of recent ratings for Kanzhun and Nextdoor, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kanzhun	0	1	8	0	2.89
Nextdoor	0	4	0	0	2.00

Kanzhun currently has a consensus target price of $22.67, indicating a potential upside of 13.33%. Nextdoor has a consensus target price of $2.90, indicating a potential upside of 14.17%. Given Nextdoor’s higher probable upside, analysts plainly believe Nextdoor is more favorable than Kanzhun.

Earnings and Valuation

This table compares Kanzhun and Nextdoor’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kanzhun	$838.33 million	8.99	$154.82 million	$0.39	51.28
Nextdoor	$218.31 million	4.54	-$147.76 million	($0.36)	-7.06

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

Institutional and Insider Ownership

60.7% of Kanzhun shares are owned by institutional investors. Comparatively, 35.7% of Nextdoor shares are owned by institutional investors. 5.6% of Kanzhun shares are owned by insiders. Comparatively, 46.0% of Nextdoor shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

Kanzhun has a beta of 0.53, suggesting that its share price is 47% less volatile than the S&P 500. Comparatively, Nextdoor has a beta of 1.06, suggesting that its share price is 6% more volatile than the S&P 500.

Profitability

This table compares Kanzhun and Nextdoor’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kanzhun	20.55%	9.73%	7.45%
Nextdoor	-64.19%	-23.84%	-20.36%

Summary

Kanzhun beats Nextdoor on 11 of the 14 factors compared between the two stocks.

About Kanzhun

Kanzhun Limited, together with its subsidiaries, provides online recruitment services in the People's Republic of China. The company offers its recruitment services through a mobile app under the BOSS Zhipin brand name. Its services allow enterprise customers to access and interact with job seekers and manage their recruitment process. The company also provides management consultancy and technical services. Kanzhun Limited was founded in 2013 and is headquartered in Beijing, the People's Republic of China.

About Nextdoor

Nextdoor Holdings, Inc. operates a neighborhood network that connects neighbors, businesses, and public services in the United States and internationally. The company enables neighbors and organizations to get information, give and get help, and build connections. It also offers advertising solutions, designs to generate value for businesses for connection and sales expansion. The company is headquartered in San Francisco, California.