Critical Survey: Comcast (NASDAQ:CMCSA) and Twenty-First Century Fox Inc Class A (FOXA)
Twenty-First Century Fox Inc Class A (NASDAQ: CMCSA) and Comcast (NASDAQ:CMCSA) are both large-cap consumer discretionary companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, earnings, profitability, valuation and risk.
Twenty-First Century Fox Inc Class A pays an annual dividend of $0.36 per share and has a dividend yield of 0.8%. Comcast pays an annual dividend of $0.76 per share and has a dividend yield of 2.1%. Twenty-First Century Fox Inc Class A pays out 18.3% of its earnings in the form of a dividend. Comcast pays out 36.9% 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. Twenty-First Century Fox Inc Class A has raised its dividend for 4 consecutive years and Comcast has raised its dividend for 7 consecutive years. Comcast is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
This is a summary of recent ratings and price targets for Twenty-First Century Fox Inc Class A and Comcast, as reported by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Twenty-First Century Fox Inc Class A||0||8||10||0||2.56|
Twenty-First Century Fox Inc Class A currently has a consensus target price of $44.31, suggesting a potential downside of 1.11%. Comcast has a consensus target price of $45.79, suggesting a potential upside of 23.90%. Given Comcast’s stronger consensus rating and higher possible upside, analysts plainly believe Comcast is more favorable than Twenty-First Century Fox Inc Class A.
Volatility & Risk
Twenty-First Century Fox Inc Class A has a beta of 1.32, meaning that its stock price is 32% more volatile than the S&P 500. Comparatively, Comcast has a beta of 1.2, meaning that its stock price is 20% more volatile than the S&P 500.
Institutional & Insider Ownership
54.1% of Twenty-First Century Fox Inc Class A shares are held by institutional investors. Comparatively, 80.2% of Comcast shares are held by institutional investors. 20.3% of Twenty-First Century Fox Inc Class A shares are held by insiders. Comparatively, 1.3% of Comcast shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.
This table compares Twenty-First Century Fox Inc Class A and Comcast’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Twenty-First Century Fox Inc Class A||14.68%||18.71%||6.88%|
Valuation and Earnings
This table compares Twenty-First Century Fox Inc Class A and Comcast’s revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Twenty-First Century Fox Inc Class A||$30.40 billion||2.73||$4.46 billion||$1.97||22.75|
|Comcast||$84.53 billion||2.03||$22.71 billion||$2.06||17.94|
Comcast has higher revenue and earnings than Twenty-First Century Fox Inc Class A. Comcast is trading at a lower price-to-earnings ratio than Twenty-First Century Fox Inc Class A, indicating that it is currently the more affordable of the two stocks.
Comcast beats Twenty-First Century Fox Inc Class A on 10 of the 17 factors compared between the two stocks.
Twenty-First Century Fox Inc Class A Company Profile
Twenty-First Century Fox, Inc. operates as a diversified media and entertainment company primarily in the United States and Canada, Europe, and internationally. It operates through Cable Network Programming, Television, and Filmed Entertainment segments. The company produces and licenses news, business news, sports, general entertainment, factual entertainment, and movie programming for distribution primarily through cable television systems, direct broadcast satellite operators, telecommunication companies, and online video distributors. It also broadcasts network programming; and operates 28 broadcast television stations, including 11 duopolies in the United States. In addition, the company produces and acquires live-action and animated motion pictures for distribution and licensing in various formats in entertainment media, as well as produces and licenses television programming. The company was formerly known as News Corporation. Twenty-First Century Fox, Inc. was founded in 1922 and is headquartered in New York, New York.
Comcast Company Profile
Comcast Corporation operates as a media and technology company worldwide. It operates through Cable Communications, Cable Networks, Broadcast Television, Filmed Entertainment, and Theme Parks segments. The Cable Communications segment offers video, high-speed Internet, and voice, as well as security and automation services to residential and business customers under the XFINITY brand. This segment also provides business services, such as Ethernet network services; and cellular backhaul services to mobile network operators. The Cable Networks segment operates national cable networks, which provide entertainment, news and information, and sports content; regional sports and news networks; international cable networks; and cable television studio production operations, as well as owns various digital properties, which include brand-aligned Websites. The Broadcast Television segment operates NBC and Telemundo broadcast networks, NBC and Telemundo local broadcast television stations, broadcast television studio production operations, and various digital properties. The Filmed Entertainment segment produces, acquires, markets, and distributes filmed entertainment under the Universal Pictures, Illumination, Focus Features, and DreamWorks Animation names. This segment also develops, produces, and licenses stage plays; and distributes filmed entertainment produced by third parties. The Theme Parks segment operates Universal theme parks in Orlando, Florida, as well as in Hollywood, California; and Osaka, Japan. The company also owns the Philadelphia Flyers, as well as the Wells Fargo Center arena in Philadelphia, Pennsylvania; and operates arena management-related businesses, as well as provides wireless phone services. Comcast Corporation was founded in 1963 and is headquartered in Philadelphia, Pennsylvania.
Receive News & Ratings for Twenty-First Century Fox Inc Class A Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Twenty-First Century Fox Inc Class A and related companies with MarketBeat.com's FREE daily email newsletter.