SK Telecom (NYSE:SKM) vs. Turkcell Iletisim Hizmetleri AS (NYSE:TKC) Head-To-Head Survey

SK Telecom (NYSE:SKM) and Turkcell Iletisim Hizmetleri AS (NYSE:TKC) are both mid-cap computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Dividends

SK Telecom pays an annual dividend of $1.06 per share and has a dividend yield of 4.7%. Turkcell Iletisim Hizmetleri AS pays an annual dividend of $0.16 per share and has a dividend yield of 2.7%. SK Telecom pays out 54.4% of its earnings in the form of a dividend. Turkcell Iletisim Hizmetleri AS pays out 10.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Risk & Volatility

SK Telecom has a beta of 0.63, suggesting that its stock price is 37% less volatile than the S&P 500. Comparatively, Turkcell Iletisim Hizmetleri AS has a beta of 0.92, suggesting that its stock price is 8% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for SK Telecom and Turkcell Iletisim Hizmetleri AS, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SK Telecom	1	3	1	0	2.00
Turkcell Iletisim Hizmetleri AS	0	0	0	0	0.00

Earnings and Valuation

This table compares SK Telecom and Turkcell Iletisim Hizmetleri AS”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SK Telecom	$13.15 billion	0.67	$875.11 million	$1.95	11.48
Turkcell Iletisim Hizmetleri AS	$5.08 billion	1.03	$717.47 million	$1.47	4.06

SK Telecom has higher revenue and earnings than Turkcell Iletisim Hizmetleri AS. Turkcell Iletisim Hizmetleri AS is trading at a lower price-to-earnings ratio than SK Telecom, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares SK Telecom and Turkcell Iletisim Hizmetleri AS’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SK Telecom	5.92%	8.89%	3.59%
Turkcell Iletisim Hizmetleri AS	13.15%	7.00%	3.59%

Summary

SK Telecom beats Turkcell Iletisim Hizmetleri AS on 8 of the 12 factors compared between the two stocks.

About SK Telecom

SK Telecom Co., Ltd. provides wireless telecommunication services in South Korea. The company operates through three segments: Cellular Services, Fixed-Line Telecommunications Services, and Other Businesses. The Cellular Services segment offers wireless voice and data transmission, Internet of Things solutions, platform, cloud, smart factory solutions, subscription, advertising and curated shopping under T Deal brand name, and metaverse platform-based services, as well as sells wireless devices. The Fixed-Line Telecommunications Services segment provides fixed-line telephone services; broadband Internet services; media platform services, such as Internet protocol TV and cable TV; and business communications services. The Other Businesses segment offers T-commerce services, as well as portal services under Nate brand name. In addition, it provides call center management, base station maintenance, information gathering and consulting, database and internet website, cable broadcasting, broadcasting programs, and digital contents sourcing services; manufactures non-memory and other electronic integrated circuits; international telecommunication and mobile; and operates information and communications facilities, and mobile virtual network, as well as engages in communications and communication device retail business. SK Telecom Co., Ltd. was incorporated in 1984 and is headquartered in Seoul, South Korea.

About Turkcell Iletisim Hizmetleri AS

Turkcell Iletisim Hizmetleri A.S. provides digital services in Turkey, Ukraine, Belarus, Turkish Republic of Northern Cyprus, and the Netherlands. It operates through Turkcell Turkey, Turkcell International, and Techfin segments. It offers work contact services, such as mobile communications, fixed business internet and business phone, and customer loyalty and programs; digital business services comprising uninterrupted access, cyber security, data center, Internet of Things, big data, e-transformation, technologies, and managed services, and cloud solutions. It also provides various devices, hardware, software, and financing solutions; and digital services, including search, invoice, and TL services, as well as information, entertainment, and application services. In addition, the company offers TV+, a television platform; fizy, a digital music platform; YaaniMail, a local e-mail service; GAME+; Iste Suit; BiP; smart legal documentation automation; Chatbot; and home internet and TV services. Turkcell Iletisim Hizmetleri A.S. was incorporated in 1993 and is headquartered in Istanbul, Turkey.