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ZD vs IAC
Revenue, margins, valuation, and 5-year total return — side by side.
Internet Content & Information
ZD vs IAC — Key Financials
Market cap, revenue, margins, and valuation side-by-side.
| Company Snapshot | ||
|---|---|---|
| Industry | Advertising Agencies | Internet Content & Information |
| Market Cap | $1.64B | $3.21B |
| Revenue (TTM) | $1.45B | $2.25B |
| Net Income (TTM) | $47M | $41M |
| Gross Margin | 77.8% | 64.6% |
| Operating Margin | 13.2% | 1.5% |
| Forward P/E | 7.1x | 109.7x |
| Total Debt | $892M | $1.43B |
| Cash & Equiv. | $607M | $960M |
ZD vs IAC — Long-Term Stock Performance
Price return indexed to 100 at period start. Dividends excluded.
| Stock | May 20 | May 26 | Return |
|---|---|---|---|
| Ziff Davis, Inc. (ZD) | 100 | 63.6 | -36.4% |
| IAC InterActive Cor… (IAC) | 100 | 89.3 | -10.7% |
Price return only. Dividends and distributions are not included.
Quick Verdict: ZD vs IAC
Each card shows where this stock fits in a portfolio — not just who wins on paper.
ZD carries the broadest edge in this set and is the clearest fit for growth exposure.
- Rev growth 3.5%, EPS growth -19.0%, 3Y rev CAGR 1.4%
- 3.5% revenue growth vs IAC's -37.1%
- Lower P/E (7.1x vs 109.7x)
IAC is the clearest fit if your priority is income & stability and long-term compounding.
- beta 1.10
- 347.8% 10Y total return vs ZD's -13.7%
- Lower volatility, beta 1.10, Low D/E 29.8%, current ratio 2.75x
See the full category breakdown
| Category | Winner | Why |
|---|---|---|
| Growth | 3.5% revenue growth vs IAC's -37.1% | |
| Value | Lower P/E (7.1x vs 109.7x) | |
| Quality / Margins | 3.3% margin vs IAC's 1.8% | |
| Stability / Safety | Beta 1.10 vs ZD's 1.19, lower leverage | |
| Dividends | Tie | Neither stock pays a meaningful dividend |
| Momentum (1Y) | +36.9% vs IAC's +22.1% | |
| Efficiency (ROA) | 1.3% ROA vs IAC's 0.6%, ROIC 7.2% vs -1.2% |
ZD vs IAC — Revenue Breakdown by Segment
How each company's revenue is distributed across its business units
ZD vs IAC — Financial Metrics
Side-by-side numbers across 2 stocks — who leads on profitability, valuation, growth, and risk.
Income & Cash Flow (Last 12 Months)
ZD leads this category, winning 5 of 6 comparable metrics.
Income & Cash Flow (Last 12 Months)
IAC is the larger business by revenue, generating $2.2B annually — 1.5x ZD's $1.5B. Profitability is closely matched — net margins range from 3.3% (ZD) to 1.8% (IAC). On growth, ZD holds the edge at -1.5% YoY revenue growth, suggesting stronger near-term business momentum.
| Metric | ||
|---|---|---|
| RevenueTrailing 12 months | $1.5B | $2.2B |
| EBITDAEarnings before interest/tax | $420M | $129M |
| Net IncomeAfter-tax profit | $47M | $41M |
| Free Cash FlowCash after capex | $288M | $60M |
| Gross MarginGross profit ÷ Revenue | +77.8% | +64.6% |
| Operating MarginEBIT ÷ Revenue | +13.2% | +1.5% |
| Net MarginNet income ÷ Revenue | +3.3% | +1.8% |
| FCF MarginFCF ÷ Revenue | +19.8% | +2.7% |
| Rev. Growth (YoY)Latest quarter vs prior year | -1.5% | -25.9% |
| EPS Growth (YoY)Latest quarter vs prior year | -99.3% | +64.8% |
Valuation Metrics
ZD leads this category, winning 4 of 6 comparable metrics.
Valuation Metrics
On an enterprise value basis, ZD's 4.4x EV/EBITDA is more attractive than IAC's 14.3x.
| Metric | ||
|---|---|---|
| Market CapShares × price | $1.6B | $3.2B |
| Enterprise ValueMkt cap + debt − cash | $1.9B | $3.7B |
| Trailing P/EPrice ÷ TTM EPS | 37.66x | -32.42x |
| Forward P/EPrice ÷ next-FY EPS est. | 7.10x | 109.69x |
| PEG RatioP/E ÷ EPS growth rate | — | — |
| EV / EBITDAEnterprise value multiple | 4.45x | 14.30x |
| Price / SalesMarket cap ÷ Revenue | 1.13x | 1.34x |
| Price / BookPrice ÷ Book value/share | 1.02x | 0.70x |
| Price / FCFMarket cap ÷ FCF | 5.69x | 71.54x |
Profitability & Efficiency
ZD leads this category, winning 6 of 8 comparable metrics.
Profitability & Efficiency
ZD delivers a 2.6% return on equity — every $100 of shareholder capital generates $3 in annual profit, vs $1 for IAC. IAC carries lower financial leverage with a 0.30x debt-to-equity ratio, signaling a more conservative balance sheet compared to ZD's 0.51x.
| Metric | ||
|---|---|---|
| ROE (TTM)Return on equity | +2.6% | +0.9% |
| ROA (TTM)Return on assets | +1.3% | +0.6% |
| ROICReturn on invested capital | +7.2% | -1.2% |
| ROCEReturn on capital employed | +7.6% | -1.3% |
| Piotroski ScoreFundamental quality 0–9 | 5 | 5 |
| Debt / EquityFinancial leverage | 0.51x | 0.30x |
| Net DebtTotal debt minus cash | $285M | $466M |
| Cash & Equiv.Liquid assets | $607M | $960M |
| Total DebtShort + long-term debt | $892M | $1.4B |
| Interest CoverageEBIT ÷ Interest expense | 2.19x | 4.84x |
Total Returns (Dividends Reinvested)
Evenly matched — ZD and IAC each lead in 3 of 6 comparable metrics.
Total Returns (Dividends Reinvested)
A $10,000 investment in ZD five years ago would be worth $4,079 today (with dividends reinvested), compared to $3,275 for IAC. Over the past 12 months, ZD leads with a +36.9% total return vs IAC's +22.1%. The 3-year compound annual growth rate (CAGR) favors IAC at -1.0% vs ZD's -12.9% — a key indicator of consistent wealth creation.
| Metric | ||
|---|---|---|
| YTD ReturnYear-to-date | +27.4% | +10.5% |
| 1-Year ReturnPast 12 months | +36.9% | +22.1% |
| 3-Year ReturnCumulative with dividends | -33.9% | -2.9% |
| 5-Year ReturnCumulative with dividends | -59.2% | -67.3% |
| 10-Year ReturnCumulative with dividends | -13.7% | +347.8% |
| CAGR (3Y)Annualised 3-year return | -12.9% | -1.0% |
Risk & Volatility
IAC leads this category, winning 2 of 2 comparable metrics.
Risk & Volatility
IAC is the less volatile stock with a 1.10 beta — it tends to amplify market swings less than ZD's 1.19 beta. A beta below 1.0 means the stock typically moves less than the S&P 500. IAC currently trades 94.2% from its 52-week high vs ZD's 85.7% drawdown — a narrower gap to the peak suggests stronger recent price momentum.
| Metric | ||
|---|---|---|
| Beta (5Y)Sensitivity to S&P 500 | 1.19x | 1.10x |
| 52-Week HighHighest price in past year | $50.55 | $45.78 |
| 52-Week LowLowest price in past year | $22.45 | $29.56 |
| % of 52W HighCurrent price vs 52-week peak | +85.7% | +94.2% |
| RSI (14)Momentum oscillator 0–100 | 43.7 | 48.1 |
| Avg Volume (50D)Average daily shares traded | 1.0M | 1.1M |
Analyst Outlook
Insufficient data to determine a leader in this category.
Analyst Outlook
Wall Street rates ZD as "Buy" and IAC as "Buy". Consensus price targets imply 14.0% upside for IAC (target: $49) vs -0.7% for ZD (target: $43).
| Metric | ||
|---|---|---|
| Analyst RatingConsensus buy/hold/sell | Buy | Buy |
| Price TargetConsensus 12-month target | $43.00 | $49.17 |
| # AnalystsCovering analysts | 13 | 33 |
| Dividend YieldAnnual dividend ÷ price | — | — |
| Dividend StreakConsecutive years of raises | 0 | — |
| Dividend / ShareAnnual DPS | — | — |
| Buyback YieldShare repurchases ÷ mkt cap | +10.6% | +9.8% |
ZD leads in 3 of 6 categories (Income & Cash Flow, Valuation Metrics). IAC leads in 1 (Risk & Volatility). 1 tied.
ZD vs IAC: Frequently Asked Questions
10 questions · data-driven answers · updated daily
01Is ZD or IAC a better buy right now?
For growth investors, Ziff Davis, Inc.
(ZD) is the stronger pick with 3. 5% revenue growth year-over-year, versus -37. 1% for IAC InterActive Corp. (IAC). Ziff Davis, Inc. (ZD) offers the better valuation at 37. 7x trailing P/E (7. 1x forward), making it the more compelling value choice. Analysts rate Ziff Davis, Inc. (ZD) a "Buy" — based on 13 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.
02Which has the better valuation — ZD or IAC?
On forward P/E, Ziff Davis, Inc.
is actually cheaper at 7. 1x.
03Which is the better long-term investment — ZD or IAC?
Over the past 5 years, Ziff Davis, Inc.
(ZD) delivered a total return of -59. 2%, compared to -67. 3% for IAC InterActive Corp. (IAC). Over 10 years, the gap is even starker: IAC returned +347. 8% versus ZD's -13. 7%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.
04Which is safer — ZD or IAC?
By beta (market sensitivity over 5 years), IAC InterActive Corp.
(IAC) is the lower-risk stock at 1. 10β versus Ziff Davis, Inc. 's 1. 19β — meaning ZD is approximately 9% more volatile than IAC relative to the S&P 500. On balance sheet safety, IAC InterActive Corp. (IAC) carries a lower debt/equity ratio of 30% versus 51% for Ziff Davis, Inc. — giving it more financial flexibility in a downturn.
05Which is growing faster — ZD or IAC?
By revenue growth (latest reported year), Ziff Davis, Inc.
(ZD) is pulling ahead at 3. 5% versus -37. 1% for IAC InterActive Corp. (IAC). On earnings-per-share growth, the picture is similar: IAC InterActive Corp. grew EPS 79. 5% year-over-year, compared to -19. 0% for Ziff Davis, Inc.. Over a 3-year CAGR, ZD leads at 1. 4% annualised revenue growth. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.
06Which has better profit margins — ZD or IAC?
Ziff Davis, Inc.
(ZD) is the more profitable company, earning 3. 3% net margin versus -4. 3% for IAC InterActive Corp. — meaning it keeps 3. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ZD leads at 14. 1% versus -4. 1% for IAC. At the gross margin level — before operating expenses — ZD leads at 70. 0%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.
07Is ZD or IAC more undervalued right now?
On forward earnings alone, Ziff Davis, Inc.
(ZD) trades at 7. 1x forward P/E versus 109. 7x for IAC InterActive Corp. — 102. 6x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for IAC: 14. 0% to $49. 17.
08Which pays a better dividend — ZD or IAC?
None of the stocks in this comparison currently pay a material dividend.
All are effectively zero-yield and should be held for capital appreciation rather than income.
09Is ZD or IAC better for a retirement portfolio?
For long-horizon retirement investors, IAC InterActive Corp.
(IAC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 1. 10), +347. 8% 10Y return). Both have compounded well over 10 years (IAC: +347. 8%, ZD: -13. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.
10What are the main differences between ZD and IAC?
These companies operate in different sectors (ZD (Communication Services) and IAC (Technology)), which means they face different economic cycles, regulatory environments, and macro sensitivities — making direct comparison nuanced.
These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.
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