Dish Network (DISH) vs. Liberty Latin America (LILA) Financial Review

Dish Network (NASDAQ: DISH) and Liberty Latin America (NASDAQ:LILA) are both consumer discretionary companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, analyst recommendations, valuation and dividends.

Valuation and Earnings

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This table compares Dish Network and Liberty Latin America’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Dish Network $14.39 billion 1.04 $2.10 billion $2.54 12.59
Liberty Latin America $3.59 billion 0.99 -$70.20 million ($0.41) -50.66

Dish Network has higher revenue and earnings than Liberty Latin America. Liberty Latin America is trading at a lower price-to-earnings ratio than Dish Network, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Dish Network and Liberty Latin America’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Dish Network 14.75% 20.48% 4.30%
Liberty Latin America N/A N/A N/A

Institutional & Insider Ownership

48.9% of Dish Network shares are held by institutional investors. Comparatively, 22.8% of Liberty Latin America shares are held by institutional investors. 49.2% of Dish Network shares are held by company insiders. Comparatively, 8.4% of Liberty Latin America shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Dish Network has a beta of 1.14, meaning that its stock price is 14% more volatile than the S&P 500. Comparatively, Liberty Latin America has a beta of 1.56, meaning that its stock price is 56% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations and price targets for Dish Network and Liberty Latin America, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Dish Network 1 8 7 0 2.38
Liberty Latin America 1 4 1 0 2.00

Dish Network currently has a consensus price target of $57.47, indicating a potential upside of 79.65%. Liberty Latin America has a consensus price target of $25.00, indicating a potential upside of 20.37%. Given Dish Network’s stronger consensus rating and higher probable upside, analysts plainly believe Dish Network is more favorable than Liberty Latin America.

Summary

Dish Network beats Liberty Latin America on 13 of the 14 factors compared between the two stocks.

Dish Network Company Profile

DISH Network Corporation, together with its subsidiaries, provides pay-TV services in the United States. The company operates in two segments, Pay-TV and Wireless. It offers video services under the DISH TV brand; and programming packages that include programming through national broadcast networks, local broadcast networks, and national and regional cable networks, as well as regional and specialty sports channels, premium movie channels, and Latino and international programming packages. The company also provides access to movies and TV shows via TV or Internet-connected tablets, smartphones, and computers; and dishanywhere.com and mobile applications for smartphones and tablets to view authorized content, search program listings, and remotely control certain features. In addition, it offers Sling TV services, including Sling International, Sling Latino, Sling Orange, and Sling Blue services that require an Internet connection and are available on streaming-capable devices, such as TVs, tablets, computers, game consoles, and smart phones primarily to consumers who do not subscribe to traditional satellite and cable pay-TV services. Further, the company provides satellite and wireline broadband services under the dishNET brand, as well as has wireless spectrum licenses and related assets. As of December 31, 2017, it had 13.242 million Pay-TV subscribers. The company offers receiver systems and programming through direct sales channels, small satellite retailers, direct marketing groups, local and regional consumer electronics stores, retailers, and telecommunications companies. DISH Network Corporation was founded in 1980 and is headquartered in Englewood, Colorado.

Liberty Latin America Company Profile

Liberty Latin America Ltd. provides various telecommunications services. Its services primarily include video, broadband Internet, fixed-line telephony, and mobile services. The company offers communications and entertainment services to residential and business customers; and business products and services that include enterprise-grade connectivity, data center, hosting, and managed solutions, as well as information technology solutions for small and medium enterprises, international companies, and governmental agencies. It also operates a sub-sea and terrestrial fiber optic cable network that connects approximately 40 markets. The company provides its services in 18 countries in Latin America and the Caribbean under the brands of C&W, BTC, Flow, M贸vil, VTR, and Liberty. Liberty Latin America Ltd. was incorporated in 2017 and is based in Denver, Colorado.