Competitor Analysis
Rank competitors within an industry — peer-relative scoring surfaces who’s gaining ground and who’s losing it.
Methodology
Peer-relative ranking, not absolute thresholds
Every dimension is scored via percentile rank within the peer set. A 15% gross margin is weak in software but dominant in grocery — absolute thresholds fail across industries. Scoring inside the peer set means the verdict is always meaningful within the comparison and never triggers false positives from sector differences.
Revenue Growth (30%)
Revenue CAGR across available years. The heaviest weight because share gains compound — a company outgrowing peers today is rewriting the industry's future, not just outperforming this quarter. Growth trajectory dominates the composite.
Profitability (25%)
Average gross margin. Reflects pricing power, product differentiation, and cost structure — the most durable moat indicator across cycles. Persistent high gross margin is how structural advantage shows up in the income statement.
Efficiency (20%)
Average net margin. Captures operating discipline and capital-structure effects that gross margin alone misses — how much of each revenue dollar actually reaches shareholders after operating costs, interest, and taxes.
Margin Momentum (15%)
Gross margin change in percentage points from first to last year. Direction matters as much as level: a peer with expanding margins is strengthening its competitive position; a peer with contracting margins is losing ground, even if the absolute level still looks good.
R&D Investment (10%)
Average R&D as % of revenue. Proxy for investment in future competitive position — weighted lightly because not every industry competes through R&D. Weight is redistributed dynamically when the peer set has no meaningful R&D (e.g., consumer staples, utilities).
Example prompts
- “Compare NFLX against DIS and WBD — who has the strongest margins and growth trajectory?”
- “Rank the top 5 semiconductor-equipment makers by competitive position.”
- “Who’s winning cloud-infrastructure share: AWS / Azure / GCP?”
- “Benchmark Costco against Walmart and Target on operating efficiency.”