América Móvil (NYSE:AMX) and Sprint (NYSE:S) are both large-cap computer and technology companies, but which is the superior investment? We will compare the two businesses based on the strength of their analyst recommendations, earnings, profitability, risk, dividends, institutional ownership and valuation.
Valuation and Earnings
This table compares América Móvil and Sprint's top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
América Móvil | $52.35 billion | 0.81 | $3.59 billion | $1.06 | 12.27 |
Sprint | $33.60 billion | 1.05 | $-1,943,000,000.00 | $0.01 | 862.00 |
América Móvil has higher revenue and earnings than Sprint. América Móvil is trading at a lower price-to-earnings ratio than Sprint, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of recent ratings for América Móvil and Sprint, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
América Móvil | 0 | 3 | 4 | 0 | 2.57 |
Sprint | 0 | 0 | 0 | 0 | N/A |
América Móvil presently has a consensus target price of $12.1667, indicating a potential downside of 6.77%. Given América Móvil's higher possible upside, analysts plainly believe América Móvil is more favorable than Sprint.
Profitability
This table compares América Móvil and Sprint's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
América Móvil | 2.73% | 12.08% | 1.65% |
Sprint | -8.25% | -2.61% | -0.78% |
Insider and Institutional Ownership
7.4% of América Móvil shares are held by institutional investors. Comparatively, 14.2% of Sprint shares are held by institutional investors. 1.0% of América Móvil shares are held by company insiders. Comparatively, 0.4% of Sprint shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Volatility & Risk
América Móvil has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500. Comparatively, Sprint has a beta of -0.88, suggesting that its share price is 188% less volatile than the S&P 500.
Summary
América Móvil beats Sprint on 11 of the 13 factors compared between the two stocks.