KDDI (OTCMKTS:KDDIY) and NEXT (OTCMKTS:NXGPY) Financial Contrast

KDDI (OTCMKTS:KDDIY) and NEXT (OTCMKTS:NXGPY) are both large-cap computer and technology companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, profitability, analyst recommendations, earnings, dividends and risk.

Analyst Recommendations

This is a summary of current ratings and price targets for KDDI and NEXT, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KDDI	0	0	0	1	4.00
NEXT	0	0	0	0	0.00

Volatility & Risk

KDDI has a beta of 0.06, meaning that its stock price is 94% less volatile than the S&P 500. Comparatively, NEXT has a beta of 1.51, meaning that its stock price is 51% more volatile than the S&P 500.

Institutional and Insider Ownership

0.1% of KDDI shares are owned by institutional investors. 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.

Dividends

KDDI pays an annual dividend of $0.30 per share and has a dividend yield of 1.9%. NEXT pays an annual dividend of $0.86 per share and has a dividend yield of 1.4%. KDDI pays out 30.0% of its earnings in the form of a dividend.

Earnings & Valuation

This table compares KDDI and NEXT”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KDDI	$39.86 billion	1.78	$4.40 billion	$1.00	16.17
NEXT	$6.83 billion	2.24	$1.00 billion	N/A	N/A

KDDI has higher revenue and earnings than NEXT.

Profitability

This table compares KDDI and NEXT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KDDI	10.62%	10.64%	4.28%
NEXT	N/A	N/A	N/A

Summary

KDDI beats NEXT on 9 of the 12 factors compared between the two stocks.

About KDDI

KDDI Corporation provides telecommunications services in Japan and internationally. It operates in two segments, Personal Services and Business Services. The Personal Services segment offers telecommunication services and other services such as finance, energy, and LX through its multi-brands au, UQ mobile, and povo. The Business Services segment offers smartphones and other devices, network and cloud services, and data center services to corporate customers under the TELEHOUSE brand. The company was incorporated in 1984 and is headquartered in Tokyo, Japan.

About NEXT

NEXT plc engages in the retail of clothing, beauty, footwear, and home products in the United Kingdom, rest of Europe, the Middle East, Asia, and internationally. The company operates through NEXT Retail; NEXT Online; NEXT Finance; Total Platform; Property Management; and Franchise, Sourcing, and other segments. It offers consumer credit; NEXT branded products; and women’s, men’s, children’s, clothing, homeware, and beauty products under the LABEL brand, as well as other third-party brands. The company also provides property management services, including holding and lease of properties; operates call centers; and websites, marketing, warehousing, and distribution networks to third-party brands. It operates through retail stores, online retail platforms, and franchise stores. The company was formerly known as J Hepworth & Son and changed its name to NEXT plc in 1986. NEXT plc was founded in 1864 and is headquartered in Enderby, the United Kingdom.