TIM (NYSE:TIMB) and Orange (OTC:ORANY) Head-To-Head Comparison

TIM (NYSE:TIMB) and Orange (OTC:ORANY) are both computer and technology companies, but which is the superior investment? We will contrast the two businesses based on the strength of their risk, analyst recommendations, earnings, dividends, valuation, profitability and institutional ownership.

Profitability

This table compares TIM and Orange’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TIM	12.71%	11.73%	5.51%
Orange	N/A	N/A	N/A

Volatility & Risk

TIM has a beta of 0.83, meaning that its stock price is 17% less volatile than the S&P 500. Comparatively, Orange has a beta of 0.24, meaning that its stock price is 76% less volatile than the S&P 500.

Insider & Institutional Ownership

12.2% of Orange shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Valuation & Earnings

This table compares TIM and Orange”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TIM	$4.77 billion	1.34	$568.34 million	$1.26	10.50
Orange	$47.75 billion	0.60	$2.64 billion	N/A	N/A

Orange has higher revenue and earnings than TIM.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for TIM and Orange, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TIM	0	3	1	0	2.25
Orange	0	1	0	0	2.00

TIM currently has a consensus price target of $17.57, suggesting a potential upside of 32.73%. Given TIM’s stronger consensus rating and higher probable upside, equities research analysts clearly believe TIM is more favorable than Orange.

Dividends

TIM pays an annual dividend of $0.71 per share and has a dividend yield of 5.4%. Orange pays an annual dividend of $0.42 per share and has a dividend yield of 3.9%. TIM pays out 56.3% of its earnings in the form of a dividend.

Summary

TIM beats Orange on 9 of the 13 factors compared between the two stocks.

About TIM

TIM S.A., a telecommunications company, provides mobile voice, data, and broadband services in Brazil. The company offers in mobile, landline, long-distance, and data transmission services. It also offers fixed ultra-broadband, fixed ultraband broadband, and digital content services. The company serves individuals and corporates, as well as small, medium, and large companies. TIM S.A is based in Rio de Janeiro, Brazil. The company operates as a subsidiary of TIM Brasil Serviços e Participações S.A.

About Orange

Orange S.A. provides fixed telephony, mobile telecommunication, data transmission, and other value-added services to individuals, professionals, and large companies in France and internationally. It offers mobile services, such as voice, SMS, and data; fixed broadband and narrowband services, as well as B2B fixed solutions and networks services, including voice and data services. The company also sells handsets, broadband equipment, connected devices, and accessories. In addition, it provides IT and integration services comprising unified communication and collaboration services, such as LAN and telephony, consultancy, integration, and project management; hosting and infrastructure services, including cloud computing; customer relations management and other applications services; security services; and video conferencing, as well as sells related equipment. Further, the company offers national and international roaming services; online advertising services; and mobile virtual network operators, network sharing, and mobile financial services, as well as sells equipment to external distributors, brokers, and operators. It markets its products and services under the Orange brand. The company was formerly known as France Telecom and changed its name to Orange S.A. in July 2013. Orange S.A. was incorporated in 1991 and is headquartered in Issy-les-Moulineaux, France.