Contrasting Controladora Vuela Compania de Aviacion (NYSE:VLRS) and AirMedia Group (NASDAQ:ANTE)

AirMedia Group (NASDAQ:ANTE) and Controladora Vuela Compania de Aviacion (NYSE:VLRS) are both small-cap transportation companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, valuation, earnings, risk, dividends, analyst recommendations and profitability.

Insider & Institutional Ownership

1.0% of AirMedia Group shares are owned by institutional investors. Comparatively, 53.3% of Controladora Vuela Compania de Aviacion shares are owned by institutional investors. 7.5% of AirMedia Group shares are owned by company insiders. Comparatively, 2.5% of Controladora Vuela Compania de Aviacion shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares AirMedia Group and Controladora Vuela Compania de Aviacion’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
AirMedia Group	N/A	N/A	N/A
Controladora Vuela Compania de Aviacion	-2.07%	-20.74%	-1.09%

Earnings & Valuation

This table compares AirMedia Group and Controladora Vuela Compania de Aviacion”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
AirMedia Group	$343,000.00	152.94	-$13.65 million	N/A	N/A
Controladora Vuela Compania de Aviacion	$2.99 billion	0.26	$126.38 million	($0.54)	-12.29

Controladora Vuela Compania de Aviacion has higher revenue and earnings than AirMedia Group.

Volatility and Risk

AirMedia Group has a beta of 1.66, indicating that its share price is 66% more volatile than the S&P 500. Comparatively, Controladora Vuela Compania de Aviacion has a beta of 2.06, indicating that its share price is 106% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations for AirMedia Group and Controladora Vuela Compania de Aviacion, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
AirMedia Group	0	0	0	0	0.00
Controladora Vuela Compania de Aviacion	1	4	5	0	2.40

Controladora Vuela Compania de Aviacion has a consensus target price of $8.22, suggesting a potential upside of 23.92%. Given Controladora Vuela Compania de Aviacion’s stronger consensus rating and higher probable upside, analysts clearly believe Controladora Vuela Compania de Aviacion is more favorable than AirMedia Group.

Summary

Controladora Vuela Compania de Aviacion beats AirMedia Group on 7 of the 12 factors compared between the two stocks.

About AirMedia Group

AirNet Technology Inc., together with its subsidiaries, operates out-of-home advertising networks in the People's Republic of China. It provides in-flight solutions to connectivity, entertainment, and digital multimedia; in-flight entertainment and advertising contents, including sports, comedies, local attractions, reality shows, commentaries, documentaries, and copyrighted entertainment contents; and internet connections through a network of satellites and land-based beacons. The company also offers advertising time slots in the form of digital TV screens on airplanes; and media contents display in air travel. In addition, it operates CIBN-AirNet channel to broadcast network TV programs to air travelers. The company was formerly known as AirMedia Group Inc. and changed its name to AirNet Technology Inc. in May 2019. AirNet Technology Inc. was founded in 2005 and is headquartered in Beijing, the People's Republic of China.

About Controladora Vuela Compania de Aviacion

Controladora Vuela Compañía de Aviación, S.A.B. de C.V., through its subsidiary, Concesionaria Vuela Compañía de Aviación, S.A.P.I. de C.V., provides air transportation services for passengers, cargo, and mail in Mexico and internationally. The company operates approximately 590 daily flights on routes connecting 43 cities in Mexico, 22 cities in the United States, 4 cities in Central America, and 2 cities in South America. As of December 31, 2022, it leased 116 aircrafts and 23 spare engines. The company also offers merchandising, travel agency, and loyalty program, as well as specialized and aeronautical technical services. Controladora Vuela Compañía de Aviación, S.A.B. de C.V. was incorporated in 2005 and is headquartered in Mexico City, Mexico.