Contrasting Liberty Global (NASDAQ:LBTYA) & Quebecor (OTCMKTS:QBCRF)

by · The Markets Daily

Quebecor (OTCMKTS:QBCRF – Get Free Report) and Liberty Global (NASDAQ:LBTYA – Get Free Report) are both communication services companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, earnings, institutional ownership and profitability.

Valuation & Earnings

This table compares Quebecor and Liberty Global”s revenue, earnings per share (EPS) and valuation.

Gross RevenuePrice/Sales RatioNet IncomeEarnings Per SharePrice/Earnings Ratio
Quebecor$4.06 billion2.54$612.64 million$1.4631.57
Liberty Global$4.88 billion0.55-$7.14 billion($8.98)-0.87

Quebecor has higher earnings, but lower revenue than Liberty Global. Liberty Global is trading at a lower price-to-earnings ratio than Quebecor, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Quebecor and Liberty Global’s net margins, return on equity and return on assets.

Net MarginsReturn on EquityReturn on Assets
Quebecor16.30%33.21%7.17%
Liberty Global-62.12%-28.83%-13.28%

Insider and Institutional Ownership

37.2% of Liberty Global shares are owned by institutional investors. 4.3% of Liberty Global shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current recommendations for Quebecor and Liberty Global, as provided by MarketBeat.

Sell RatingsHold RatingsBuy RatingsStrong Buy RatingsRating Score
Quebecor03302.50
Liberty Global14102.00

Liberty Global has a consensus price target of $13.22, indicating a potential upside of 69.55%. Given Liberty Global’s higher probable upside, analysts clearly believe Liberty Global is more favorable than Quebecor.

Summary

Quebecor beats Liberty Global on 8 of the 12 factors compared between the two stocks.

About Quebecor

(Get Free Report)

Quebecor Inc., together with its subsidiaries, operates in the telecommunications, media, and sports and entertainment businesses in Canada. The Telecommunications segment offers internet access, television distribution, mobile and wireline telephony, business solutions, and over-the-top video services. The Media segment operates an over-the-air television network and specialty television services; soundstage and equipment rental and postproduction services for the film and television industries; printing, publishing, and distribution of daily newspapers; news and entertainment digital platforms; publishing and distribution of magazines; production and distribution of audiovisual content; and out-of-home advertising business. The Sports and Entertainment segment engages in the operation and management of the Videotron Centre; show production, sporting, and cultural event management; publishing and distribution of books; production of music; and the operation of Quebec Maritimes Junior Hockey League team. The company was incorporated in 1965 and is headquartered in Montreal, Canada. Quebecor Inc. operates as a subsidiary of Les Placements Peladeau, Inc.

About Liberty Global

(Get Free Report)

Liberty Global Ltd., together with its subsidiaries, provides broadband internet, video, fixed-line telephony, and mobile communications services to residential and business customers. It offers value-added broadband services, such as WiFi features, security, anti-virus, firewall, spam protection, smart home services, online storage solutions, and web spaces; and Connect Box that delivers in-home Wi-Fi service. The company provides various tiers of digital video programming and audio services, as well as digital video recorders and multimedia home gateway systems; Horizon 5, a cloud-based, multi-screen entertainment platform that combines linear television, including recording and replay features and video-on-demand services; Horizon Go, an online mobile app; and channels, including general entertainment, sports, movies, series, documentaries, lifestyles, news, adult, children, and ethnic and foreign channels. In addition, it offers postpaid and prepaid mobile services; circuit-switched telephony services; and personal call manager, unified messaging, and a second or third phone line at an incremental cost. Further, the company offers business services comprising voice, advanced data, video, wireless, cloud-based services, and mobile and converged fixed-mobile services to small or home offices, small businesses, and medium and large enterprises, as well as on a wholesale basis to other operators. It operates in Belgium, Switzerland, Ireland, Slovakia, and internationally. Liberty Global Ltd. was founded in 2004 and is based in Hamilton, Bermuda.