Head to Head Review: Nuvera Communications (OTCMKTS:NUVR) & Verizon Communications (NYSE:VZ)

Nuvera Communications (OTCMKTS:NUVR) and Verizon Communications (NYSE:VZ) are both computer and technology companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, earnings, analyst recommendations, valuation and dividends.

Valuation & Earnings

This table compares Nuvera Communications and Verizon Communications”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nuvera Communications	$65.79 million	0.67	-$3.21 million	($1.54)	-5.53
Verizon Communications	$133.97 billion	1.38	$11.61 billion	$2.32	18.96

Verizon Communications has higher revenue and earnings than Nuvera Communications. Nuvera Communications is trading at a lower price-to-earnings ratio than Verizon Communications, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Nuvera Communications and Verizon Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nuvera Communications	-11.65%	1.33%	0.49%
Verizon Communications	7.30%	20.05%	5.07%

Analyst Recommendations

This is a summary of current ratings for Nuvera Communications and Verizon Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nuvera Communications	0	0	0	0	0.00
Verizon Communications	0	9	8	0	2.47

Verizon Communications has a consensus price target of $46.37, indicating a potential upside of 5.43%. Given Verizon Communications’ stronger consensus rating and higher possible upside, analysts clearly believe Verizon Communications is more favorable than Nuvera Communications.

Institutional and Insider Ownership

13.4% of Nuvera Communications shares are held by institutional investors. Comparatively, 62.1% of Verizon Communications shares are held by institutional investors. 11.3% of Nuvera Communications shares are held by company insiders. Comparatively, 0.0% of Verizon Communications shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Risk & Volatility

Nuvera Communications has a beta of 0.27, meaning that its stock price is 73% less volatile than the S&P 500. Comparatively, Verizon Communications has a beta of 0.43, meaning that its stock price is 57% less volatile than the S&P 500.

Summary

Verizon Communications beats Nuvera Communications on 13 of the 14 factors compared between the two stocks.

About Nuvera Communications

Nuvera Communications, Inc. operates as a diversified communications company in the United States. The company offers broadband Internet access and voice over Internet protocol (VoIP) phone services; voice services to make and receive telephone calls within a defined local calling area; and network access services to other communication carriers for the use of its facilities to terminate or originate long distance calls on its fiber network. It also provides video services, including commercial TV programming, cable television services, and video-on-demand services; data services for business and residential customers; email and managed services comprising web hosting and design, online file back up, and online file storage; directory assistance, operator service, and long-distance private lines; directory publishing, bill processing, and other customer services; and fiber-delivered communications and managed information technology solutions, as well as sells and services customer premise equipment. In addition, the company is involved in the retail sale and service of cellular phones and accessories; and the operation of various IPTV and CATV systems. The company serves communities in Minnesota and Iowa through customer service call centers, its website, and commissioned sales representatives. The company was formerly known as New Ulm Telecom, Inc. and changed its name to Nuvera Communications, Inc. in June 2018. Nuvera Communications, Inc. was incorporated in 1905 and is headquartered in New Ulm, Minnesota.

About Verizon Communications

Verizon Communications Inc., through its subsidiaries, engages in the provision of communications, technology, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide. It operates in two segments, Verizon Consumer Group (Consumer) and Verizon Business Group (Business). The Consumer segment provides wireless services across the wireless networks in the United States under the Verizon and TracFone brands and through wholesale and other arrangements; and fixed wireless access (FWA) broadband through its wireless networks, as well as related equipment and devices, such as smartphones, tablets, smart watches, and other wireless-enabled connected devices. The segment also offers wireline services in the Mid-Atlantic and Northeastern United States, as well as Washington D.C. through its fiber-optic network, Verizon Fios product portfolio, and a copper-based network. The Business segment provides wireless and wireline communications services and products, including FWA broadband, data, video and conferencing, corporate networking, security and managed network, local and long-distance voice, and network access services to deliver various IoT services and products to businesses, government customers, and wireless and wireline carriers in the United States and internationally. The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. Verizon Communications Inc. was incorporated in 1983 and is headquartered in New York, New York.