Shenandoah Telecommunications (NASDAQ:SHEN) & Grupo Televisa (NYSE:TV) Head-To-Head Review

Grupo Televisa (NYSE:TV) and Shenandoah Telecommunications (NASDAQ:SHEN) are both small-cap utilities companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, earnings, valuation, risk, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations for Grupo Televisa and Shenandoah Telecommunications, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grupo Televisa	0	3	2	0	2.40
Shenandoah Telecommunications	0	0	1	0	3.00

Grupo Televisa presently has a consensus target price of $4.70, suggesting a potential upside of 60.14%. Shenandoah Telecommunications has a consensus target price of $26.00, suggesting a potential upside of 93.31%. Given Shenandoah Telecommunications’ stronger consensus rating and higher probable upside, analysts plainly believe Shenandoah Telecommunications is more favorable than Grupo Televisa.

Profitability

This table compares Grupo Televisa and Shenandoah Telecommunications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grupo Televisa	-13.56%	-6.95%	-3.20%
Shenandoah Telecommunications	-8.90%	-3.78%	-1.95%

Insider & Institutional Ownership

55.8% of Grupo Televisa shares are held by institutional investors. Comparatively, 62.0% of Shenandoah Telecommunications shares are held by institutional investors. 4.5% of Shenandoah Telecommunications shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Grupo Televisa and Shenandoah Telecommunications”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grupo Televisa	$60.29 billion	0.03	-$453.78 million	($0.75)	-3.91
Shenandoah Telecommunications	$328.06 million	2.25	$190.39 million	($0.56)	-24.02

Shenandoah Telecommunications has lower revenue, but higher earnings than Grupo Televisa. Shenandoah Telecommunications is trading at a lower price-to-earnings ratio than Grupo Televisa, indicating that it is currently the more affordable of the two stocks.

Dividends

Grupo Televisa pays an annual dividend of $0.08 per share and has a dividend yield of 2.7%. Shenandoah Telecommunications pays an annual dividend of $0.10 per share and has a dividend yield of 0.7%. Grupo Televisa pays out -10.7% of its earnings in the form of a dividend. Shenandoah Telecommunications pays out -17.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Shenandoah Telecommunications has raised its dividend for 3 consecutive years.

Risk & Volatility

Grupo Televisa has a beta of 1.97, suggesting that its share price is 97% more volatile than the S&P 500. Comparatively, Shenandoah Telecommunications has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.

Summary

Shenandoah Telecommunications beats Grupo Televisa on 12 of the 17 factors compared between the two stocks.

About Grupo Televisa

Grupo Televisa, S.A.B., together with its subsidiaries, owns and operates cable companies and provides direct-to-home satellite pay television system in Mexico and the United States. It operates through three segments: Cable, Sky, and Other Businesses. The Cable segment operates cable multiple system that provides basic and premium television subscription, pay-per-view, installation, Internet subscription, and telephone and mobile services subscription, as well as local and national advertising services; and telecommunication facilities, which offers data and long-distance services solutions to carriers and other telecommunications service providers through its fiber-optic network. The Sky segment offers direct-to-home broadcast satellite pay television services comprising program, installation, and equipment rental services to subscribers in Mexico, Central America, and the Dominican Republic; and national advertising sales. The Other Businesses segment is involved in the sports and show business promotion, soccer, publishing and publishing distribution, and gaming, as well as provides transmission concessions and facilities. The company was founded in 1969 and is headquartered in Mexico City, Mexico.

About Shenandoah Telecommunications

Shenandoah Telecommunications Company, together with its subsidiaries, provides a range of broadband communication services and cell tower colocation space in the Mid-Atlantic portion of the United States. It operates in two segments, Broadband and Tower. The company Broadband segment offers broadband, video, and voice services to residential and commercial customers in Virginia, West Virginia, Maryland, Pennsylvania, and Kentucky through hybrid fiber coaxial cable under the Shentel brand; and fiber optic services under the Glo Fiber brand name. This segment also leases dark fiber and provides Ethernet and wavelength fiber optic services to enterprise and wholesale customers under the Glo Fiber Enterprise and Glo Fiber Wholesale brand names; and provides voice data and DSL telephone services. The Tower segment owns macro cellular towers and leases colocation space to the wireless communications providers. Shenandoah Telecommunications Company was founded in 1902 and is based in Edinburg, Virginia.