Telefónica (NYSE:TEF – Get Free Report) and SurgePays (NASDAQ:SURG – Get Free Report) are both utilities companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, risk, valuation, institutional ownership, earnings and profitability.
Profitability
This table compares Telefónica and SurgePays’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Telefónica | -2.84% | 10.10% | 2.54% |
| SurgePays | -27.39% | -55.63% | -43.61% |
Analyst Recommendations
This is a breakdown of recent ratings for Telefónica and SurgePays, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Telefónica | 1 | 4 | 0 | 0 | 1.80 |
| SurgePays | 0 | 1 | 1 | 0 | 2.50 |
Insider & Institutional Ownership
1.1% of Telefónica shares are held by institutional investors. Comparatively, 6.9% of SurgePays shares are held by institutional investors. 0.0% of Telefónica shares are held by company insiders. Comparatively, 29.4% of SurgePays shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.
Risk and Volatility
Telefónica has a beta of 0.68, meaning that its stock price is 32% less volatile than the S&P 500. Comparatively, SurgePays has a beta of 1, meaning that its stock price has a similar volatility profile to the S&P 500.
Earnings & Valuation
This table compares Telefónica and SurgePays”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Telefónica | $43.99 billion | 0.52 | -$965.41 million | ($0.26) | -15.48 |
| SurgePays | $137.14 million | 0.20 | $20.62 million | ($1.13) | -1.23 |
SurgePays has lower revenue, but higher earnings than Telefónica. Telefónica is trading at a lower price-to-earnings ratio than SurgePays, indicating that it is currently the more affordable of the two stocks.
Summary
SurgePays beats Telefónica on 8 of the 14 factors compared between the two stocks.
About Telefónica
Telefónica, S.A., together with its subsidiaries, provides telecommunications services in Europe and Latin America. The company offers mobile and related services and products, such as mobile voice, value added, mobile data and internet, wholesale, corporate, roaming, fixed wireless, and trunking and paging services. It also provides fixed telecommunication services, including PSTN lines; ISDN accesses; public telephone services; local, domestic, and international long-distance and fixed-to-mobile communications; corporate communications; supplementary value-added services; video telephony; intelligent network; and telephony information services, as well as leases and sells handset equipment and telephony information services. It also provides Internet and broadband multimedia services comprising internet service provider, portal and network, retail and wholesale broadband access, narrowband switched access, security, internet through fibre to the home, and voice over internet protocol services. In addition, the company offers leased line, virtual private network, fibre optics, web hosting and application, managed hosting, content delivery, outsourcing and application, desktop, and system integration and professional services. Further, the company offers wholesale services for telecommunication operators, including domestic interconnection and international wholesale services; leased lines for other operators; and local loop leasing services, as well as bit stream services, wholesale line rental accesses, and leased ducts for other operators' fiber deployment. Additionally, it provides video/TV services; smart connectivity and services, and consumer IoT products; financial and other payment, security, cloud, advertising, big data, and digital experience services; Aura; open gateway, living apps; smart Wi-Fi, Phoenix, NT, Solar 360, and Movistar Home devices. Telefónica, S.A. was incorporated in 1924 and is headquartered in Madrid, Spain.
About SurgePays
SurgePays, Inc., together with its subsidiaries, operates as a financial technology and telecom company in the United States. It operates through three segments: Mobile Virtual Network Operators, Comprehensive Platform Services, and Lead Generation. The company offers subsidized and non-subsidized mobile virtual network operators for internet connectivity through mobile broadband services to consumers; ACH banking relationships and fintech transactions platform to convenience stores; wireless top-up transactions and wireless product aggregation; and lead generation and case management solutions primarily to law firms in the mass tort industry, as well as call center activities. SurgePays, Inc. is headquartered in Bartlett, Tennessee.
Receive News & Ratings for Telefónica Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Telefónica and related companies with MarketBeat.com's FREE daily email newsletter.
