Comparing Rogers Communications (NYSE:RCI) & ITV (OTC:ITVPY)

Rogers Communications (NYSE:RCI) and ITV (OTC:ITVPY) are both consumer discretionary companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Volatility and Risk

Rogers Communications has a beta of 0.68, indicating that its stock price is 32% less volatile than the S&P 500. Comparatively, ITV has a beta of 1.5, indicating that its stock price is 50% more volatile than the S&P 500.

Profitability

This table compares Rogers Communications and ITV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Rogers Communications	8.40%	25.19%	3.86%
ITV	N/A	N/A	N/A

Dividends

Rogers Communications pays an annual dividend of $1.41 per share and has a dividend yield of 5.0%. ITV pays an annual dividend of $0.34 per share and has a dividend yield of 3.5%. Rogers Communications pays out 60.8% of its earnings in the form of a dividend.

Analyst Recommendations

This is a summary of recent ratings and target prices for Rogers Communications and ITV, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Rogers Communications	1	4	2	0	2.14
ITV	0	0	0	0	0.00

Rogers Communications presently has a consensus target price of $61.75, suggesting a potential upside of 120.26%. Given Rogers Communications’ stronger consensus rating and higher possible upside, research analysts plainly believe Rogers Communications is more favorable than ITV.

Institutional & Insider Ownership

45.5% of Rogers Communications shares are owned by institutional investors. Comparatively, 51.4% of ITV shares are owned by institutional investors. 29.0% of Rogers Communications shares are owned by company insiders. Comparatively, 0.1% of ITV shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Rogers Communications and ITV”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Rogers Communications	$15.04 billion	1.00	$1.27 billion	$2.32	12.08
ITV	$4.50 billion	0.80	$261.22 million	N/A	N/A

Rogers Communications has higher revenue and earnings than ITV.

Summary

Rogers Communications beats ITV on 11 of the 14 factors compared between the two stocks.

About Rogers Communications

Rogers Communications Inc. operates as a communications and media company in Canada. It operates through three segments: Wireless, Cable, and Media. The company offers mobile Internet access, wireless voice and enhanced voice, device financing, device protection, global voice and data roaming, wireless home phone, bridging landline, machine-to-machine and Internet of Things solutions, and advanced wireless solutions for businesses, as well as device shipping and express pickup services; and postpaid and prepaid services under the Rogers, Fido, and chatr brands. It also provides internet and WiFi services; and monitoring, security, automation, energy efficiency, and smart control through smartphone app. In addition, the company offers local and network TV; on-demand television; cloud-based digital video recorders; voice-activated remote controls, and integrated apps; personal video recorders; linear and time-shifted programming; digital specialty channels; and 4K television programming. Further, it provides residential and small business local telephony services; voicemail, call waiting, and long distance; voice, data networking, Internet protocol (IP), and Ethernet services; private networking, Internet, IP voice, and cloud solutions; optical wave and multi-protocol label switching services; information technology and network technologies; cable access network services; telecommunications technical consulting services; and season games through television, smartphones, tablets, personal computers, and other streaming devices, as well as operates Ignite TV and Ignite TV app. Additionally, the company owns Toronto Blue Jays and the Rogers Centre event venue; and operates Sportsnet ONE, Sportsnet 360, Sportsnet World, Citytv, OMNI, FX (Canada), FXX (Canada), and OLN television networks, as well as 52 AM and FM radio stations. It also offers Rogers and the Rogers World Elite Mastercard. The company was founded in 1960 and is headquartered in Toronto, Canada.

About ITV

ITV plc, an integrated production, broadcasting, and streaming company, which creates, owns, and distributes content on various platforms worldwide. It operates through ITV Studios and Media & Entertainment segments. The ITV Studios segment creates and produces programs and formats that include sports, drama, entertainment, factual, and news for its own channels and other broadcasters. The segment also operates as an unscripted independent producer of content in the United States; and produces content for local broadcasters and international OTT platforms in Canada, Australia, Germany, France, Italy, Spain, the Netherlands, Sweden, Norway, Finland, and Denmark. In addition, this segment engages in licensing its finished programmes, formats, and third-party content internationally, as well as finances productions. The Media & Entertainment segment broadcasts and streams various contents on its family of free-to-air TV channels; and offers television advertising services. The company also delivers content through linear television broadcasting, as well as on the ITV Hub, BritBox UK, ITVX, catch up services on pay platforms, and through direct content deals. In addition, this segment offers online advertising, HD digital channel on pay platform, and ITV Premium subscription services. The company was founded in 1955 is based in London, the United Kingdom.