Critical Review: Liberty Latin America (NASDAQ:LILA) and Old Market Capital (NASDAQ:OMCC)

Liberty Latin America (NASDAQ:LILAGet Free Report) and Old Market Capital (NASDAQ:OMCCGet Free Report) are both small-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, risk, dividends and earnings.

Institutional & Insider Ownership

18.5% of Liberty Latin America shares are owned by institutional investors. Comparatively, 39.9% of Old Market Capital shares are owned by institutional investors. 11.4% of Liberty Latin America shares are owned by company insiders. Comparatively, 50.4% of Old Market Capital shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Liberty Latin America and Old Market Capital’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Liberty Latin America -16.57% -54.11% -5.95%
Old Market Capital -22.01% -5.81% -3.91%

Valuation and Earnings

This table compares Liberty Latin America and Old Market Capital”s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Liberty Latin America $4.46 billion 0.37 -$657.00 million ($3.69) -2.24
Old Market Capital $9.37 million 3.94 -$5.15 million ($0.32) -17.01

Old Market Capital has lower revenue, but higher earnings than Liberty Latin America. Old Market Capital is trading at a lower price-to-earnings ratio than Liberty Latin America, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Liberty Latin America and Old Market Capital, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Liberty Latin America 2 0 1 0 1.67
Old Market Capital 1 0 0 0 1.00

Liberty Latin America currently has a consensus target price of $9.75, suggesting a potential upside of 17.75%. Given Liberty Latin America’s stronger consensus rating and higher possible upside, research analysts plainly believe Liberty Latin America is more favorable than Old Market Capital.

Risk and Volatility

Liberty Latin America has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, Old Market Capital has a beta of 1.02, indicating that its share price is 2% more volatile than the S&P 500.

Summary

Old Market Capital beats Liberty Latin America on 8 of the 14 factors compared between the two stocks.

About Liberty Latin America

(Get Free Report)

Liberty Latin America Ltd., together with its subsidiaries, provides fixed, mobile, and subsea telecommunications services. The company operates through C&W Caribbean, C&W Panama, Liberty Networks, Liberty Puerto Rico, and Liberty Costa Rico segments. It offers communications and entertainment services, including video, broadband internet, fixed-line, telephony, and mobiles services to residential and business customers; and business products and services that include enterprise-grade connectivity, data center, hosting, and managed solutions, as well as information technology solutions for small and medium enterprises, international companies, and governmental agencies. The company also operates a sub-sea and terrestrial fiber optic cable network that connects approximately 40 markets. It provides its services under the brands of C&W, Liberty Costa Rica, Liberty Communications, BTC, Flow, and Mas Móvil. The company was incorporated in 2017 and is based in Hamilton, Bermuda.

About Old Market Capital

(Get Free Report)

Old Market Capital Corporation provides broadband internet, voice over internet protocol, and video services in Northwest and Northcentral Ohio. The company was formerly known as Nicholas Financial, Inc. and changed its name to Old Market Capital Corporation in September 2024. Old Market Capital Corporation was founded in 1985 and is headquartered in Clearwater, Florida.

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