Contrasting Cable One (NYSE:CABO) & Entravision Communications (NYSE:EVC)

Cable One (NYSE:CABO) and Entravision Communications (NYSE:EVC) are both small-cap communication services companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, analyst recommendations, profitability, institutional ownership, valuation, risk and dividends.

Earnings and Valuation

This table compares Cable One and Entravision Communications”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cable One	$1.50 billion	0.06	-$356.46 million	($185.06)	-0.08
Entravision Communications	$447.59 million	1.53	-$79.17 million	$0.01	742.60

Entravision Communications has lower revenue, but higher earnings than Cable One. Cable One is trading at a lower price-to-earnings ratio than Entravision Communications, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Cable One has a beta of 0.48, suggesting that its stock price is 52% less volatile than the S&P 500. Comparatively, Entravision Communications has a beta of 1.67, suggesting that its stock price is 67% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Cable One and Entravision Communications, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cable One	3	3	0	0	1.50
Entravision Communications	0	1	0	0	2.00

Cable One currently has a consensus price target of $85.40, suggesting a potential upside of 483.45%. Given Cable One’s higher probable upside, research analysts plainly believe Cable One is more favorable than Entravision Communications.

Institutional & Insider Ownership

89.9% of Cable One shares are held by institutional investors. Comparatively, 69.5% of Entravision Communications shares are held by institutional investors. 0.9% of Cable One shares are held by company insiders. Comparatively, 9.1% of Entravision Communications shares are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Cable One and Entravision Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cable One	-72.83%	-3.97%	-0.86%
Entravision Communications	0.62%	6.98%	1.17%

Summary

Entravision Communications beats Cable One on 10 of the 13 factors compared between the two stocks.

About Cable One

Cable One, Inc., together with its subsidiaries, provides data, video, and voice services in the United States. The company offers residential data services, a service to enhance Wi-Fi signal throughout the home. It also provides various residential video services from basic video service to digital services with access to hundreds of channels; and provides a cloud-based DVR feature that does not require the use of a set-top boxes. In addition, the company offers Sparklight TV, an IPTV video service that allows customers to stream its video channels from the cloud through an app on supported devices, such as the Amazon Firestick, Apple TV, and Android-based smart televisions. Further, it provides data, voice, and video products to business customers, including small to mid-markets, enterprises, and wholesale and carrier customers. The company serves residential and business customers, comprising data, video, and voice services. Cable One, Inc. was incorporated in 1980 and is headquartered in Phoenix, Arizona.

About Entravision Communications

Entravision Communications Corporation operates as an advertising solutions, media, and technology company worldwide. The company operates through three segments: Digital, Television, and Audio. It reaches and engages Hispanics in the United States. The company's portfolio encompasses integrated end-to-end advertising solutions, including digital, television, and audio properties. It also offers a suite of end-to-end digital advertising solutions, including digital commercial partnerships services; and Smadex, a programmatic ad purchasing platform that enables advertisers to purchase advertising electronically and manage data-driven advertising campaigns through online marketplaces. In addition, the company provides a mobile growth solution, such as managed services to advertisers to reach mobile device users; and digital advertising solutions for advertisers. Further, it owns and operates TelevisaUnivision-affiliated television stations. The company operates various television stations; radio stations; and Spanish-language radio stations. Entravision Communications Corporation was founded in 1996 and is headquartered in Santa Monica, California.