WallStSmart

Nerdwallet Inc (NRDS)vsSpotify Technology SA (SPOT)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Spotify Technology SA generates 2006% more annual revenue ($18.11B vs $860.00M). SPOT leads profitability with a 18.4% profit margin vs 7.6%. NRDS trades at a lower P/E of 10.4x. SPOT earns a higher WallStSmart Score of 64/100 (C+).

NRDS

Hold

50

out of 100

Grade: D+

Growth: 5.3Profit: 6.0Value: 8.3Quality: 9.0
Piotroski: 6/9Altman Z: 4.79

SPOT

Buy

64

out of 100

Grade: C+

Growth: 8.0Profit: 8.0Value: 4.0Quality: 8.0
Piotroski: 4/9Altman Z: 2.66
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NRDSUndervalued (+50.1%)

Margin of Safety

+50.1%

Fair Value

$19.40

Current Price

$9.43

$9.97 discount

UndervaluedFair: $19.40Overvalued
SPOTSignificantly Overvalued (-58.4%)

Margin of Safety

-58.4%

Fair Value

$307.58

Current Price

$525.75

$218.17 premium

UndervaluedFair: $307.58Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NRDS4 strengths · Avg: 9.5/10
P/E RatioValuation
10.4x10/10

Attractively priced relative to earnings

Debt/EquityHealth
0.0210/10

Conservative balance sheet, low leverage

Altman Z-ScoreHealth
4.7910/10

Safe zone — low bankruptcy risk

Price/BookValuation
1.8x8/10

Reasonable price relative to book value

SPOT4 strengths · Avg: 9.8/10
Return on EquityProfitability
35.6%10/10

Every $100 of equity generates 36 in profit

EPS GrowthGrowth
222.4%10/10

Earnings expanding 222.4% YoY

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

Market CapQuality
$111.52B9/10

Large-cap with strong market position

Areas to Watch

NRDS4 concerns · Avg: 2.8/10
Market CapQuality
$598.96M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
7.6%3/10

7.6% margin — thin

Operating MarginProfitability
3.5%3/10

Operating margin of 3.5%

EPS GrowthGrowth
-39.7%2/10

Earnings declined 39.7%

SPOT3 concerns · Avg: 4.0/10
PEG RatioValuation
1.594/10

Expensive relative to growth rate

P/E RatioValuation
29.4x4/10

Moderate valuation

Price/BookValuation
11.0x4/10

Trading at 11.0x book value

Comparative Analysis Report

WallStSmart Research

Bull Case : NRDS

The strongest argument for NRDS centers on P/E Ratio, Debt/Equity, Altman Z-Score.

Bull Case : SPOT

The strongest argument for SPOT centers on Return on Equity, EPS Growth, Debt/Equity. Profitability is solid with margins at 18.4% and operating margin at 13.7%. Revenue growth of 13.9% demonstrates continued momentum.

Bear Case : NRDS

The primary concerns for NRDS are Market Cap, Profit Margin, Operating Margin.

Bear Case : SPOT

The primary concerns for SPOT are PEG Ratio, P/E Ratio, Price/Book.

Key Dynamics to Monitor

NRDS profiles as a value stock while SPOT is a mature play — different risk/reward profiles.

SPOT carries more volatility with a beta of 1.59 — expect wider price swings.

SPOT is growing revenue faster at 13.9% — sustainability is the question.

SPOT generates stronger free cash flow (910M), providing more financial flexibility.

Bottom Line

SPOT scores higher overall (64/100 vs 50/100), backed by strong 18.4% margins and 13.9% revenue growth. NRDS offers better value entry with a 50.1% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Nerdwallet Inc

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

NerdWallet, Inc. operates a digital platform that provides consumer-oriented advice on personal finance by connecting individuals and small and medium-sized businesses with providers of financial products. The company is headquartered in San Francisco, California.

Spotify Technology SA

COMMUNICATION SERVICES · INTERNET CONTENT & INFORMATION · USA

Spotify Technology SA, provides audio streaming services worldwide. The company is headquartered in Luxembourg, Luxembourg.

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