Sirius XM (NASDAQ:SIRI – Get Free Report) and ITV (OTCMKTS:ITVPY – Get Free Report) are both mid-cap consumer discretionary companies, but which is the better stock? We will compare the two companies based on the strength of their earnings, risk, institutional ownership, profitability, dividends, analyst recommendations and valuation.
Dividends
Sirius XM pays an annual dividend of $1.08 per share and has a dividend yield of 4.9%. ITV pays an annual dividend of $0.39 per share and has a dividend yield of 3.5%. Sirius XM pays out 48.2% of its earnings in the form of a dividend. Sirius XM has increased its dividend for 7 consecutive years. Sirius XM is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Valuation and Earnings
This table compares Sirius XM and ITV”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Sirius XM | $8.56 billion | 0.87 | $805.00 million | $2.24 | 9.93 |
| ITV | $4.63 billion | 0.93 | $521.38 million | N/A | N/A |
Sirius XM has higher revenue and earnings than ITV.
Volatility & Risk
Sirius XM has a beta of 0.92, suggesting that its stock price is 8% less volatile than the S&P 500. Comparatively, ITV has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500.
Profitability
This table compares Sirius XM and ITV’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Sirius XM | 9.41% | 8.93% | 3.73% |
| ITV | N/A | N/A | N/A |
Insider and Institutional Ownership
10.7% of Sirius XM shares are owned by institutional investors. Comparatively, 51.4% of ITV shares are owned by institutional investors. 3.3% of Sirius XM 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 stock will outperform the market over the long term.
Analyst Recommendations
This is a breakdown of current ratings and recommmendations for Sirius XM and ITV, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Sirius XM | 3 | 4 | 3 | 0 | 2.00 |
| ITV | 1 | 3 | 0 | 0 | 1.75 |
Sirius XM currently has a consensus price target of $24.44, suggesting a potential upside of 9.86%. Given Sirius XM’s stronger consensus rating and higher probable upside, research analysts plainly believe Sirius XM is more favorable than ITV.
Summary
Sirius XM beats ITV on 12 of the 15 factors compared between the two stocks.
About Sirius XM
Sirius XM Holdings Inc. operates as an audio entertainment company in North America. It operates in two segments, Sirius XM, and Pandora and Off-platform. The company’s Sirius XM segment provides music, sports, entertainment, comedy, talk, news, traffic and weather channels, and other content, as well as podcast and infotainment services on subscription fee basis; and live, curated, and exclusive and on demand programming services through satellite radio systems and streamed through applications for mobile and home devices, and other consumer electronic equipment. This segment also distributes satellite radios through automakers and retailers, as well as its website; podcasts, including true crime, news, politics, music, comedy, sports, and entertainment; and offers location-based services through two-way wireless connectivity, including safety, security, convenience, maintenance and data, remote vehicles diagnostic, and stolen or parked vehicle locator services. In addition, this segment provides music channels on the DISH Network satellite television service as a programming package; Travel Link, a suite of data services that include graphical weather, fuel prices, sports schedule and scores, and movie listings; graphic information related to road closings, traffic flow, and incident data for consumers with in-vehicle navigation systems; real-time weather services in vehicles, boats, and planes; and music programming and commercial-free music services for office, restaurants, and other business. Its Pandora and Off-platform segment operates music, comedy, and podcast streaming platform, which offers personalized experience for listener through computers, tablets, mobile devices, vehicle speakers, and connected devices; and provides advertising services. The company was incorporated in 2013 and is headquartered in New York.
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.
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