Reviewing Liberty Broadband (NASDAQ:LBRDK) and ITV (OTC:ITVPY)

Liberty Broadband (NASDAQ:LBRDK) and ITV (OTC:ITVPY) are both consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their valuation, profitability, institutional ownership, earnings, dividends, risk and analyst recommendations.

Analyst Recommendations

This is a summary of current ratings and target prices for Liberty Broadband and ITV, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Liberty Broadband	0	1	1	0	2.50
ITV	0	0	0	0	0.00

Liberty Broadband presently has a consensus target price of $80.00, suggesting a potential downside of 1.94%. Given Liberty Broadband’s stronger consensus rating and higher probable upside, analysts clearly believe Liberty Broadband is more favorable than ITV.

Profitability

This table compares Liberty Broadband and ITV’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Liberty Broadband	78.07%	8.45%	4.92%
ITV	N/A	N/A	N/A

Institutional and Insider Ownership

80.2% of Liberty Broadband shares are owned by institutional investors. Comparatively, 51.4% of ITV shares are owned by institutional investors. 10.8% of Liberty Broadband shares are owned by insiders. Comparatively, 0.1% of ITV shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Liberty Broadband has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500. Comparatively, ITV has a beta of 1.5, suggesting that its share price is 50% more volatile than the S&P 500.

Valuation and Earnings

This table compares Liberty Broadband and ITV”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Liberty Broadband	$981.00 million	11.88	$688.00 million	$5.43	15.02
ITV	$4.50 billion	0.80	$261.22 million	N/A	N/A

Liberty Broadband has higher earnings, but lower revenue than ITV.

Summary

Liberty Broadband beats ITV on 10 of the 12 factors compared between the two stocks.

About Liberty Broadband

Liberty Broadband Corporation engages in the communications businesses. The company's GCI Holdings segment provides data, wireless, video, voice, and managed services to residential customers, businesses, governmental entities, educational, and medical institutions in Alaska under the GCI brand. Its Charter segment offers subscription-based Internet and video services, and mobile and voice services; and state-of-the-art residential and business services, which includes Spectrum Internet, TV, mobile and voice for small and medium-sized companies; Spectrum Business provides a suite of broadband products and services for businesses and government application; Spectrum Enterprise offers customized fiber-based solutions; Spectrum Reach provides advertising and production for the modern media landscape. In addition, the company provides security suite that offers computer viruses, spyware and threats from malicious actors across the internet; offers internet access, data networking, fiber connectivity to cellular towers and office buildings, video entertainment, and business telephone services; advertising services on cable television networks, streaming services, and advertising platforms; and operates regional sports and news networks. Liberty Broadband Corporation was incorporated in 2014 and is based in Englewood, Colorado.

About ITV

ITV plc, an integrated production, broadcasting, and streaming company, which creates, owns, and distributes content on various platforms worldwide. It operates through ITV Studios and Media & Entertainment segments. The ITV Studios segment creates and produces programs and formats that include sports, drama, entertainment, factual, and news for its own channels and other broadcasters. The segment also operates as an unscripted independent producer of content in the United States; and produces content for local broadcasters and international OTT platforms in Canada, Australia, Germany, France, Italy, Spain, the Netherlands, Sweden, Norway, Finland, and Denmark. In addition, this segment engages in licensing its finished programmes, formats, and third-party content internationally, as well as finances productions. The Media & Entertainment segment broadcasts and streams various contents on its family of free-to-air TV channels; and offers television advertising services. The company also delivers content through linear television broadcasting, as well as on the ITV Hub, BritBox UK, ITVX, catch up services on pay platforms, and through direct content deals. In addition, this segment offers online advertising, HD digital channel on pay platform, and ITV Premium subscription services. The company was founded in 1955 is based in London, the United Kingdom.