Shenandoah Telecommunications (NASDAQ:SHEN) & B Communications (OTCMKTS:BCOMF) Head to Head Comparison

Shenandoah Telecommunications (NASDAQ:SHEN) and B Communications (OTCMKTS:BCOMF) are both small-cap utilities companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.

Volatility & Risk

Shenandoah Telecommunications has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, B Communications has a beta of 1.17, indicating that its stock price is 17% more volatile than the S&P 500.

Insider & Institutional Ownership

62.0% of Shenandoah Telecommunications shares are owned by institutional investors. 4.5% of Shenandoah Telecommunications shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Shenandoah Telecommunications and B Communications”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shenandoah Telecommunications	$346.71 million	2.09	$190.39 million	($0.56)	-23.64
B Communications	$2.40 billion	0.33	$29.19 million	$0.19	39.47

Shenandoah Telecommunications has higher earnings, but lower revenue than B Communications. Shenandoah Telecommunications is trading at a lower price-to-earnings ratio than B Communications, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Shenandoah Telecommunications and B Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shenandoah Telecommunications	-8.90%	-3.77%	-1.97%
B Communications	0.82%	16.29%	2.71%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Shenandoah Telecommunications and B Communications, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shenandoah Telecommunications	0	0	1	0	3.00
B Communications	0	0	0	0	0.00

Shenandoah Telecommunications currently has a consensus price target of $26.00, suggesting a potential upside of 96.37%. Given Shenandoah Telecommunications’ stronger consensus rating and higher possible upside, equities analysts plainly believe Shenandoah Telecommunications is more favorable than B Communications.

About Shenandoah Telecommunications

Shenandoah Telecommunications Company, together with its subsidiaries, provides a range of broadband communication services and cell tower colocation space in the Mid-Atlantic portion of the United States. It operates in two segments, Broadband and Tower. The company Broadband segment offers broadband, video, and voice services to residential and commercial customers in Virginia, West Virginia, Maryland, Pennsylvania, and Kentucky through hybrid fiber coaxial cable under the Shentel brand; and fiber optic services under the Glo Fiber brand name. This segment also leases dark fiber and provides Ethernet and wavelength fiber optic services to enterprise and wholesale customers under the Glo Fiber Enterprise and Glo Fiber Wholesale brand names; and provides voice data and DSL telephone services. The Tower segment owns macro cellular towers and leases colocation space to the wireless communications providers. Shenandoah Telecommunications Company was founded in 1902 and is based in Edinburg, Virginia.

About B Communications

B Communications Ltd., through its subsidiaries, provides a range of telecommunications services for business and private customers in Israel. It operates through Interior Landline Communication, Cellular Communication, Bezeq International Services, and Multi-Channel TV segments. The company offers landline interior communications, including telephony, internet services and infrastructure, transmission and data communication, and wholesale services; and cellular radio-telephone services. It is also involved in the installation, operation, and maintenance of equipment and systems in the field of cellular communications; distribution of television and radio broadcasts; and marketing of equipment. In addition, the company provides international communication, network endpoint, and ICT solutions; and digital multi-channel TV broadcasting services to subscriptions over satellite and over the internet, as well as value-added services to subscribers. The company was formerly known as 012 Smile. Communications Ltd. and changed its name to B Communications Ltd. in March 2010. B Communications Ltd was incorporated in 1999 and is based in Tel Aviv-Yafo, Israel.