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Starry Group (NYSE:STRY) Versus Verizon Communications (NYSE:VZ) Financial Analysis

Financial News Live ·  Dec 30, 2022 02:31

Starry Group (NYSE:STRY – Get Rating) and Verizon Communications (NYSE:VZ – Get Rating) are both computer and technology companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for Starry Group and Verizon Communications, as provided by MarketBeat.com.

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Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Starry Group 1 3 3 0 2.29
Verizon Communications 1 13 6 0 2.25

Starry Group presently has a consensus target price of $6.29, indicating a potential upside of 10,393.68%. Verizon Communications has a consensus target price of $48.11, indicating a potential upside of 22.53%. Given Starry Group's stronger consensus rating and higher probable upside, equities analysts clearly believe Starry Group is more favorable than Verizon Communications.

Earnings & Valuation

This table compares Starry Group and Verizon Communications' gross revenue, earnings per share and valuation.
Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Starry Group N/A N/A $25.55 million N/A N/A
Verizon Communications $133.61 billion 1.23 $22.07 billion $4.61 8.52

Verizon Communications has higher revenue and earnings than Starry Group.

Volatility and Risk

Starry Group has a beta of 0.02, suggesting that its share price is 98% less volatile than the S&P 500. Comparatively, Verizon Communications has a beta of 0.38, suggesting that its share price is 62% less volatile than the S&P 500.

Profitability

This table compares Starry Group and Verizon Communications' net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Starry Group N/A -174.35% -1.57%
Verizon Communications 14.22% 25.80% 6.02%

Institutional & Insider Ownership

43.6% of Starry Group shares are owned by institutional investors. Comparatively, 61.0% of Verizon Communications shares are owned by institutional investors. 0.1% of Verizon Communications shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

Verizon Communications beats Starry Group on 9 of the 11 factors compared between the two stocks.

About Starry Group

(Get Rating)

Starry Group Holdings, Inc. operates as a next generation licensed fixed wireless technology developer and internet service provider. The company is deploying gigabit capable broadband to the home using its hybrid fiber fixed wireless technology. It serves approximately 5.3 million households through deploying its gigabit network in six U.S. cities, including Boston, Massachusetts; New York, New York; Los Angeles, California; Washington D.C.; Denver, Colorado; and Columbus, Ohio. The company is headquartered in Boston, Massachusetts.

About Verizon Communications

(Get Rating)

Verizon Communications Inc., through its subsidiaries, offers communications, technology, information, and entertainment products and services to consumers, businesses, and governmental entities worldwide. Its Consumer segment provides postpaid and prepaid service plans; internet access on notebook computers and tablets; wireless equipment, including smartphones and other handsets; and wireless-enabled internet devices, such as tablets, and other wireless-enabled connected devices comprising smart watches. It also provides residential fixed connectivity solutions, such as internet, video, and voice services; and sells network access to mobile virtual network operators. As of December 31, 2021, it had approximately 115 million wireless retail connections, 7 million wireline broadband connections, and 4 million Fios video connections. The company's Business segment provides network connectivity products, including private networking, private cloud connectivity, virtual and software defined networking, and internet access services; and internet protocol-based voice and video services, unified communications and collaboration tools, and customer contact center solutions. This segment also offers a suite of management and data security services; domestic and global voice and data solutions, such as voice calling, messaging services, conferencing, contact center solutions, and private line and data access networks; customer premises equipment; installation, maintenance, and site services; and Internet of Things products and services. As of December 31, 2021, it had approximately 27 million wireless retail postpaid connections and 477 thousand wireline broadband connections. The company was formerly known as Bell Atlantic Corporation and changed its name to Verizon Communications Inc. in June 2000. Verizon Communications Inc. was incorporated in 1983 and is headquartered in New York, New York.

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Disclaimer: This content is for informational and educational purposes only and does not constitute a recommendation or endorsement of any specific investment or investment strategy. Read more
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