Analyzing Anterix (NASDAQ:ATEX) & TALKTALK TELECO/ADR (OTCMKTS:TKTCY)

Anterix (NASDAQ:ATEX) and TALKTALK TELECO/ADR (OTCMKTS:TKTCY) are both small-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, earnings, dividends, analyst recommendations, risk, valuation and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Anterix and TALKTALK TELECO/ADR, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Anterix	0	0	2	1	3.33
TALKTALK TELECO/ADR	0	0	0	0	0.00

Anterix currently has a consensus price target of $68.00, suggesting a potential upside of 145.22%. Given Anterix’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Anterix is more favorable than TALKTALK TELECO/ADR.

Profitability

This table compares Anterix and TALKTALK TELECO/ADR’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Anterix	-666.54%	-31.07%	-15.03%
TALKTALK TELECO/ADR	N/A	N/A	N/A

Insider and Institutional Ownership

87.7% of Anterix shares are held by institutional investors. 45.6% of Anterix shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Anterix and TALKTALK TELECO/ADR”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Anterix	$5.61 million	92.08	-$9.13 million	($2.02)	-13.73
TALKTALK TELECO/ADR	$1.99 billion	0.78	$194.52 million	$0.34	20.00

TALKTALK TELECO/ADR has higher revenue and earnings than Anterix. Anterix is trading at a lower price-to-earnings ratio than TALKTALK TELECO/ADR, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Anterix has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500. Comparatively, TALKTALK TELECO/ADR has a beta of 0.42, suggesting that its share price is 58% less volatile than the S&P 500.

Summary

Anterix beats TALKTALK TELECO/ADR on 8 of the 15 factors compared between the two stocks.

About Anterix

Anterix Inc. operates as a wireless communications company. The company focuses on commercializing its spectrum assets to enable the targeted utility and critical infrastructure customers to deploy private broadband networks and innovative broadband solutions. It holds licensed spectrum in the 900 MHz band with coverage throughout the United States, Alaska, Hawaii, and Puerto Rico. The company was formerly known as pdvWireless, Inc. and changed its name to Anterix Inc. in August 2019. Anterix Inc. was incorporated in 1997 and is headquartered in Woodland Park, New Jersey.

About TALKTALK TELECO/ADR

TalkTalk Telecom Group PLC provides fixed line, TV, and mobile telecommunications services. It offers landline, broadband, fiber, TV, and mobile services, including fixed price plans and unlimited broadband usage, as well as HomeSafe, a network-based security and filtering system. The company also provides various business-grade communications products and services, including Internet access, data, voice, and mobile. TalkTalk Telecom Group PLC was founded in 2002 and is based in London, the United Kingdom.