Contrasting Comcast (NASDAQ:CMCSA) and MediaCo (NASDAQ:MDIA)
by Danessa Lincoln · The Markets DailyMediaCo (NASDAQ:MDIA – Get Free Report) and Comcast (NASDAQ:CMCSA – Get Free Report) are both communication services companies, but which is the superior business? We will contrast the two businesses based on the strength of their risk, dividends, earnings, valuation, institutional ownership, profitability and analyst recommendations.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for MediaCo and Comcast, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| MediaCo | 1 | 0 | 0 | 0 | 1.00 |
| Comcast | 6 | 12 | 10 | 0 | 2.14 |
Comcast has a consensus price target of $29.17, indicating a potential upside of 25.64%. Given Comcast’s stronger consensus rating and higher probable upside, analysts plainly believe Comcast is more favorable than MediaCo.
Profitability
This table compares MediaCo and Comcast’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| MediaCo | N/A | N/A | N/A |
| Comcast | 9.20% | 14.64% | 5.14% |
Insider & Institutional Ownership
64.0% of MediaCo shares are owned by institutional investors. Comparatively, 84.3% of Comcast shares are owned by institutional investors. 9.8% of MediaCo shares are owned by company insiders. Comparatively, 1.4% of Comcast shares are owned 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.
Valuation & Earnings
This table compares MediaCo and Comcast”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| MediaCo | $139.42 million | 0.54 | -$69.74 million | ($0.83) | -1.07 |
| Comcast | $123.71 billion | 0.67 | $20.00 billion | $3.16 | 7.35 |
Comcast has higher revenue and earnings than MediaCo. MediaCo is trading at a lower price-to-earnings ratio than Comcast, indicating that it is currently the more affordable of the two stocks.
Risk & Volatility
MediaCo has a beta of 0.13, suggesting that its stock price is 87% less volatile than the S&P 500. Comparatively, Comcast has a beta of 0.68, suggesting that its stock price is 32% less volatile than the S&P 500.
Summary
Comcast beats MediaCo on 13 of the 14 factors compared between the two stocks.
About MediaCo
MediaCo Holding Inc. owns and operates radio stations in the United States. The company engages in the operation of WQHT-FM and WBLS-FM radio stations in the New York City area. It also offers digital advertising, and events, which includes sponsorships, ticket sales, licensing, and syndication services. MediaCo Holding Inc. was incorporated in 2019 and is headquartered in New York, New York.
About Comcast
Comcast Corporation operates as a media and technology company worldwide. It operates through Residential Connectivity & Platforms, Business Services Connectivity, Media, Studios, and Theme Parks segments. The Residential Connectivity & Platforms segment provides residential broadband and wireless connectivity services, residential and business video services, sky-branded entertainment television networks, and advertising. The Business Services Connectivity segment offers connectivity services for small business locations, which include broadband, wireline voice, and wireless services, as well as solutions for medium-sized customers and larger enterprises; and small business connectivity services in the United Kingdom. The Media segment operates NBCUniversal's television and streaming business, including national and regional cable networks; the NBC and Telemundo broadcast networks and owned local broadcast television stations; and Peacock, a direct-to-consumer streaming services. It also operates international television networks comprising the Sky Sports networks, as well as other digital properties. The Studios segment operates NBCUniversal and Sky film and television studio production and distribution operations. The Theme Parks segment operates Universal theme parks in Orlando, Florida; Hollywood, California; Osaka, Japan; and Beijing, China. The company also offers a consolidated streaming platforms under the Philadelphia Flyers and the Wells Fargo Center arena in Philadelphia, Pennsylvania; and Xumo. Comcast Corporation was founded in 1963 and is headquartered in Philadelphia, Pennsylvania.