Tele2 AB (publ) (OTCMKTS:TLTZY) vs. Frontier Communications Parent (NASDAQ:FYBR) Critical Survey

Tele2 AB (publ) (OTCMKTS:TLTZY) and Frontier Communications Parent (NASDAQ:FYBR) are both mid-cap utilities companies, but which is the better stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, profitability, risk, earnings and institutional ownership.

Valuation & Earnings

This table compares Tele2 AB (publ) and Frontier Communications Parent’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tele2 AB (publ)	$2.74 billion	2.25	$352.11 million	$0.25	18.41
Frontier Communications Parent	$5.75 billion	0.99	$29.00 million	$0.12	190.00

Tele2 AB (publ) has higher earnings, but lower revenue than Frontier Communications Parent. Tele2 AB (publ) is trading at a lower price-to-earnings ratio than Frontier Communications Parent, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Tele2 AB (publ) has a beta of 0.61, suggesting that its stock price is 39% less volatile than the S&P 500. Comparatively, Frontier Communications Parent has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Tele2 AB (publ) and Frontier Communications Parent, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tele2 AB (publ)	0	6	2	0	2.25
Frontier Communications Parent	1	0	6	0	2.71

Frontier Communications Parent has a consensus price target of $27.43, indicating a potential upside of 25.82%. Given Frontier Communications Parent’s stronger consensus rating and higher possible upside, analysts plainly believe Frontier Communications Parent is more favorable than Tele2 AB (publ).

Profitability

This table compares Tele2 AB (publ) and Frontier Communications Parent’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tele2 AB (publ)	12.70%	17.24%	5.45%
Frontier Communications Parent	0.50%	0.56%	0.15%

About Tele2 AB (publ)

Tele2 AB (publ) provides fixed and mobile connectivity, handset related data services, and entertainment services in Sweden, Lithuania, Latvia, and Estonia. The company offers mobile telephony and data, fixed broadband, fixed telephony, switch and contact center, cloud services, IT services, network services, workplace, video and collaboration, united communications, and security services. The company also provides data network services, including dark fiber, dedicated wavelength, ethernet and IP VPN, and internet services; and unified communications comprising service provider, mobile virtual network operator, and carrier SIP-interconnect services. In addition, it offers single and dual IMSI solutions for consumer and IoT applications; on-demand roaming services, such as subscription management, data plan management, real time charging, eSIM delivery, SIM management, and set up services; routing and termination solutions for international voice traffic; application-2-person messaging services; and value-added services comprising shortcodes and long numbers for businesses to have 2-way communication with their customers. The company was incorporated in 1990 and is headquartered in Kista, Sweden.

About Frontier Communications Parent

Frontier Communications Parent, Inc., together with its subsidiaries, provides communication and technology services in the United States. It offers broadband, video, voice, and other value-added services. The company also provides data and Internet, including broadband networking services; data-based voice over internet protocol, unified communications, long-distance, and voice messaging services; video services under the Frontier TV brand; access services; hardware and network solutions; and packages of services. It serves large enterprise customers, small and medium businesses, and wholesale customers. The company was formerly known as Frontier Communications Corporation and changed its name to Frontier Communications Parent, Inc. in April 2021. Frontier Communications Parent, Inc. was incorporated in 1935 and is headquartered in Dallas, Texas.