Contrasting Proxim Wireless (OTCMKTS:PRXM) & Liberty Latin America (NASDAQ:LILA)

Proxim Wireless (OTCMKTS:PRXM) and Liberty Latin America (NASDAQ:LILA) are both computer and technology companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Valuation and Earnings

This table compares Proxim Wireless and Liberty Latin America”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Proxim Wireless	N/A	N/A	N/A	N/A	N/A
Liberty Latin America	$4.46 billion	0.36	-$657.00 million	($5.93)	-1.36

Proxim Wireless has higher earnings, but lower revenue than Liberty Latin America.

Insider & Institutional Ownership

18.5% of Liberty Latin America shares are held by institutional investors. 3.6% of Proxim Wireless shares are held by insiders. Comparatively, 11.4% of Liberty Latin America shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Proxim Wireless and Liberty Latin America’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Proxim Wireless	N/A	N/A	N/A
Liberty Latin America	-26.61%	-77.72%	-9.37%

Analyst Recommendations

This is a summary of current ratings and recommmendations for Proxim Wireless and Liberty Latin America, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Proxim Wireless	0	0	0	0	0.00
Liberty Latin America	1	1	0	1	2.33

Liberty Latin America has a consensus target price of $6.50, indicating a potential downside of 19.55%. Given Liberty Latin America’s stronger consensus rating and higher probable upside, analysts clearly believe Liberty Latin America is more favorable than Proxim Wireless.

Risk and Volatility

Proxim Wireless has a beta of 18.75, suggesting that its stock price is 1,775% more volatile than the S&P 500. Comparatively, Liberty Latin America has a beta of 0.98, suggesting that its stock price is 2% less volatile than the S&P 500.

Summary

Liberty Latin America beats Proxim Wireless on 6 of the 10 factors compared between the two stocks.

About Proxim Wireless

Proxim Wireless Corporation provides Wi-Fi, point-to-point, and point-to-multipoint 4G wireless network technologies for wireless Internet, video surveillance, and backhaul applications. It offers wireless broadband and backhaul products, wireless LAN access products, and network controllers. The company's products have applications in transportation, video surveillance, mobility, Wi-Fi offload, backhaul, wireless broadband/ISP, government, carrier Wi-Fi, retail Wi-Fi, and enterprises WLAN. Its broadband wireless equipment is used by enterprises, service providers, carriers, government entities, educational institutions, healthcare organizations, municipalities and other organizations that need high-performance, secure, and scalable broadband wireless solutions. The company serves customers through online retailers, a network of distributors, value-added resellers, system integrators, and original equipment manufacturers in North America, Africa, the Asia Pacific, Europe, Latin America, and the Middle East. The company was founded in 1982 and is headquartered in San Jose, California. As of July 31, 2018, Proxim Wireless Corporation operates as a subsidiary of SRA Holdings, Inc.

About Liberty Latin America

Liberty Latin America Ltd., together with its subsidiaries, provides fixed, mobile, and subsea telecommunications services. The company operates through C&W Caribbean, C&W Panama, Liberty Networks, Liberty Puerto Rico, and Liberty Costa Rico segments. It offers communications and entertainment services, including video, broadband internet, fixed-line, telephony, and mobiles services to residential and business customers; and business products and services that include enterprise-grade connectivity, data center, hosting, and managed solutions, as well as information technology solutions for small and medium enterprises, international companies, and governmental agencies. The company also operates a sub-sea and terrestrial fiber optic cable network that connects approximately 40 markets. It provides its services under the brands of C&W, Liberty Costa Rica, Liberty Communications, BTC, Flow, and Mas Móvil. The company was incorporated in 2017 and is based in Hamilton, Bermuda.