Contrasting Nexxen International (NASDAQ:NEXN) & T-Mobile US (NASDAQ:TMUS)

Nexxen International (NASDAQ:NEXN) and T-Mobile US (NASDAQ:TMUS) are both communication services companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, risk, institutional ownership, valuation, earnings, analyst recommendations and dividends.

Profitability

This table compares Nexxen International and T-Mobile US’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nexxen International	13.37%	13.64%	8.84%
T-Mobile US	14.53%	19.68%	5.78%

Volatility and Risk

Nexxen International has a beta of 1.74, suggesting that its stock price is 74% more volatile than the S&P 500. Comparatively, T-Mobile US has a beta of 0.61, suggesting that its stock price is 39% less volatile than the S&P 500.

Insider and Institutional Ownership

54.2% of Nexxen International shares are held by institutional investors. Comparatively, 42.5% of T-Mobile US shares are held by institutional investors. 0.4% of T-Mobile US shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Nexxen International and T-Mobile US”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nexxen International	$365.48 million	1.62	$35.44 million	$0.63	14.86
T-Mobile US	$81.40 billion	3.30	$11.34 billion	$10.60	22.53

T-Mobile US has higher revenue and earnings than Nexxen International. Nexxen International is trading at a lower price-to-earnings ratio than T-Mobile US, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of recent ratings and price targets for Nexxen International and T-Mobile US, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nexxen International	0	0	8	0	3.00
T-Mobile US	1	12	9	3	2.56

Nexxen International presently has a consensus price target of $15.00, indicating a potential upside of 60.26%. T-Mobile US has a consensus price target of $258.02, indicating a potential upside of 8.04%. Given Nexxen International’s stronger consensus rating and higher possible upside, analysts plainly believe Nexxen International is more favorable than T-Mobile US.

Summary

T-Mobile US beats Nexxen International on 10 of the 15 factors compared between the two stocks.

About Nexxen International

Tremor International Ltd provides end-to-end software platform that enables advertisers to reach relevant audiences and publishers. The company's demand side platform (DSP) offers full-service and self-managed marketplace access to advertisers and agencies to execute their digital marketing campaigns in real time across various ad formats. Its sell supply side platform (SSP) provides access to data and a comprehensive product suite to drive inventory management and revenue optimization. The company also offers data management platform solution, which integrates DSP and SSP solutions enabling advertisers and publishers to use data from various sources in order to optimize results of their advertising campaigns. It serves ad buyers, advertisers, brands, agencies, and digital publishers in Israel, the United States, the Asia-Pacific, Europe, the Middle East, and Africa. The company was formerly known as Taptica International Ltd. and changed its name to Tremor International Ltd in September 2015. Tremor International Ltd was incorporated in 2007 and is headquartered in Tel Aviv-Yafo, Israel.

About T-Mobile US

T-Mobile US, Inc., together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands. The company offers voice, messaging, and data services to customers in the postpaid, prepaid, and wholesale and other services. It also provides wireless devices, including smartphones, wearables, tablets, home broadband routers, and other mobile communication devices, as well as wireless devices and accessories; financing through equipment installment plans; reinsurance for device insurance policies and extended warranty contracts; leasing through JUMP! On Demand; and High Speed Internet services. In addition, the company offers services, devices, and accessories under the T-Mobile and Metro by T-Mobile brands through its owned and operated retail stores, T-Mobile app and customer care channels, and its websites. It also sells its devices to dealers and other third-party distributors for resale through independent third-party retail outlets and various third-party websites. The company was founded in 1994 and is headquartered in Bellevue, Washington.