Head to Head Contrast: KORE Group (NYSE:KORE) versus Cogent Communications (NASDAQ:CCOI)

KORE Group (NYSE:KORE) and Cogent Communications (NASDAQ:CCOI) are both 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, analyst recommendations, profitability, dividends, risk and earnings.

Profitability

This table compares KORE Group and Cogent Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
KORE Group	-60.39%	-85.34%	-14.75%
Cogent Communications	135.34%	-23.66%	-2.39%

Insider and Institutional Ownership

57.5% of KORE Group shares are held by institutional investors. Comparatively, 92.5% of Cogent Communications shares are held by institutional investors. 0.8% of KORE Group shares are held by insiders. Comparatively, 11.0% of Cogent Communications shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Volatility and Risk

KORE Group has a beta of 2.71, indicating that its share price is 171% more volatile than the S&P 500. Comparatively, Cogent Communications has a beta of 0.39, indicating that its share price is 61% less volatile than the S&P 500.

Earnings & Valuation

This table compares KORE Group and Cogent Communications’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
KORE Group	$276.61 million	0.24	-$167.04 million	($1.93)	-0.41
Cogent Communications	$940.92 million	3.18	$1.27 billion	$26.75	2.36

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

Analyst Recommendations

This is a breakdown of current ratings and price targets for KORE Group and Cogent Communications, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
KORE Group	0	2	3	0	2.60
Cogent Communications	0	3	3	0	2.50

KORE Group presently has a consensus target price of $2.94, suggesting a potential upside of 274.52%. Cogent Communications has a consensus target price of $77.57, suggesting a potential upside of 22.99%. Given KORE Group’s stronger consensus rating and higher probable upside, equities research analysts clearly believe KORE Group is more favorable than Cogent Communications.

Summary

Cogent Communications beats KORE Group on 10 of the 13 factors compared between the two stocks.

About KORE Group

KORE Group Holdings, Inc. provides Internet of Things (IoT) services and solutions worldwide. It offers connectivity and location-based services, device solutions, and managed and professional services that are used in the development and support of IoT technology for the business market. The company's products include IoT connectivity-as-a-service; connectivity enablement-as-a-service; device management services; and security location based services. It serves customers in healthcare, fleet and vehicle management, asset management, communication services, and industrial/manufacturing sectors. KORE Group Holdings, Inc. was founded in 2002 and is headquartered in Atlanta, Georgia.

About Cogent Communications

Cogent Communications Holdings, Inc., through its subsidiaries, provides high-speed Internet access, private network, and data center colocation space services in North America, Europe, Oceania, South America, and Africa. The company offers on-net Internet access and private network services to law firms, financial services firms, and advertising and marketing firms, as well as heath care providers, educational institutions and other professional services businesses, other Internet service providers, telephone companies, cable television companies, web hosting companies, media service providers, mobile phone operators, content delivery network companies, and commercial content and application service providers. It also provides Internet access and private network services to customers that are not located in buildings directly connected to its network; and on-net services to customers located in buildings that are physically connected to its network. In addition, the company offers off-net services to corporate customers using other carriers' circuits to provide the last mile portion of the link from the customers' premises to the network. Further, it operates data centers that allow its customers to collocate their equipment and access the network. It serves primarily to small and medium-sized businesses, communications service providers, and other bandwidth-intensive organizations. Cogent Communications Holdings, Inc. was founded in 1999 and is headquartered in Washington, the District of Columbia.