Reach (RCH) Competitors

Future (LON:FUTR) and Reach (LON:RCH) are both small-cap communication services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation, media sentiment and analyst recommendations.

Do institutionals and insiders believe in FUTR or RCH?

99.0% of Future shares are held by institutional investors. Comparatively, 77.9% of Reach shares are held by institutional investors. 8.2% of Future shares are held by company insiders. Comparatively, 5.2% of Reach shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Is FUTR or RCH a better dividend stock?

Future pays an annual dividend of GBX 3 per share and has a dividend yield of 0.4%. Reach pays an annual dividend of GBX 7 per share and has a dividend yield of 10.0%. Future pays out 3.8% of its earnings in the form of a dividend. Reach pays out 53.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Does the media refer more to FUTR or RCH?

In the previous week, Future had 31 more articles in the media than Reach. MarketBeat recorded 31 mentions for Future and 0 mentions for Reach. Future's average media sentiment score of 0.22 beat Reach's score of 0.00 indicating that Future is being referred to more favorably in the media.

Company	Overall Sentiment
Future	Neutral
Reach	Neutral

Do analysts recommend FUTR or RCH?

Future currently has a consensus target price of GBX 920.67, indicating a potential upside of 23.75%. Given Future's stronger consensus rating and higher probable upside, research analysts plainly believe Future is more favorable than Reach.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Future	1 Sell rating(s)	1 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.25
Reach	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00

Which has more risk & volatility, FUTR or RCH?

Future has a beta of 1.01, indicating that its stock price is 1% more volatile than the S&P 500. Comparatively, Reach has a beta of 1.01, indicating that its stock price is 1% more volatile than the S&P 500.

Is FUTR or RCH more profitable?

Future has a net margin of 11.69% compared to Reach's net margin of 7.49%. Future's return on equity of 8.41% beat Reach's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Future	11.69%	8.41%	5.49%
Reach	7.49%	6.35%	5.03%

Which has higher earnings and valuation, FUTR or RCH?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Future	£722.78M	1.11	£84.51M	£78.05	9.53
Reach	£554.87M	0.40	£41.55M	£13.14	5.32

Summary

Future beats Reach on 16 of the 17 factors compared between the two stocks.