Companies are like living organisms: they are not static but evolving, as they acquire new businesses, pivot to new products or enter new industries.
The competitive landscape companies operate in is also in flux, so that's why we frequently review the competitor groups in Databook.
Peer sets for major companies are reviewed by a Databook analyst to check that they are accurate. Databook analysts use the following methodology:
Check if the company’s 10-K, annual report, or investor presentations name primary competitors
If further research is necessary, the analyst will check if the company’s proxy or 14-A form names peers. The analyst will then assess whether these peers compete in relevant product lines / markets / geographies etc.
For some companies, the analyst may also carry out a segment-level analysis to get a more granular view of the company’s competitors.
If you think that we can improve the peer groups for specific companies you are familiar with, please message us and we'll be happy to review those competitor groups.