KT (NYSE:KT) vs. Ceragon Networks (NASDAQ:CRNT) Head to Head Contrast

Ceragon Networks (NASDAQ:CRNT) and KT (NYSE:KT) are both computer and technology companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, analyst recommendations, earnings, valuation and profitability.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Ceragon Networks and KT, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ceragon Networks	0	0	4	1	3.20
KT	0	0	2	1	3.33

Ceragon Networks currently has a consensus price target of $6.00, suggesting a potential upside of 160.87%. Given Ceragon Networks’ higher possible upside, equities research analysts plainly believe Ceragon Networks is more favorable than KT.

Insider and Institutional Ownership

13.3% of Ceragon Networks shares are owned by institutional investors. Comparatively, 18.9% of KT shares are owned by institutional investors. 19.0% of Ceragon Networks shares are owned by insiders. Comparatively, 1.0% of KT shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Ceragon Networks and KT’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ceragon Networks	5.75%	19.04%	9.23%
KT	2.40%	3.67%	1.61%

Risk & Volatility

Ceragon Networks has a beta of 1.04, meaning that its stock price is 4% more volatile than the S&P 500. Comparatively, KT has a beta of 0.66, meaning that its stock price is 34% less volatile than the S&P 500.

Earnings & Valuation

This table compares Ceragon Networks and KT”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ceragon Networks	$394.19 million	0.52	$24.06 million	$0.26	8.85
KT	$19.37 billion	0.53	$321.90 million	$0.74	26.71

KT has higher revenue and earnings than Ceragon Networks. Ceragon Networks is trading at a lower price-to-earnings ratio than KT, indicating that it is currently the more affordable of the two stocks.

About Ceragon Networks

Ceragon Networks Ltd., together with its subsidiaries, provides wireless transport solutions for cellular operators and other wireless service providers in North America, Europe, Africa, the Asia Pacific, the Middle East, India, and Latin America. The company's solutions use microwave and millimeter wave radio technology to transfer telecommunication traffic between base stations, small/distributed cells, and the service provider's network. It also provides IP-20 all-outdoor solutions, such as IP-20C, IP-20C-HP, IP-20S, IP-20E, and IP-20V; IP-20 split-mount, all-indoor solutions comprising IP-20N/IP-20A, IP-20F, and IP-20G; and IP-50 disaggregated solutions, including IP-50E, IP-50EX, IP-50C, IP-50CX, and IP-50FX for various short-haul, long-haul, fronthaul, small cells, routing, and enterprise access applications. In addition, the company offers network and radio planning, site surveys, solutions development, installation, network rollout, wireless transport network auditing and optimization, maintenance, training, and other services. It serves internet service providers, municipalities, government, utilities, and maritime communications broadcasters and defense, as well as oil and gas companies, public safety organizations, business and public institutions, broadcasters, energy utilities, and private communications networks. The company sells its products through direct sales, original equipment manufacturers, resellers, distributors, and system integrators. The company was formerly known as Giganet Ltd. and changed its name to Ceragon Networks Ltd. in September 2000. Ceragon Networks Ltd. was incorporated in 1996 and is headquartered in Rosh Ha'Ayin, Israel.

About KT

KT Corporation provides integrated telecommunications and platform services in Korea and internationally. The company offers mobile voice and data telecommunications services based on 5G, 4G LTE and 3G W-CDMA technology; fixed-line telephone services, including local, domestic long-distance, international long-distance, and voice over Internet protocol telephone services, as well as interconnection services; broadband Internet access service and other Internet-related services; and data communication services, such as fixed-line and leased line services, as well as broadband Internet connection services. It also provides media and content services, including IPTV, satellite TV, digital music, e-commerce, online advertising consulting, and web comics and novels services; and credit card processing and other financial services. In addition, the company offers information technology and network services, and satellite services; sells handsets and miscellaneous telecommunications equipment; develops and sells residential units and commercial real estate; and rents real estate properties. Further, it maintains public telephones; offers security, B2C and B2B, investment fund, software development and data processing, value added network, call center, system integration and maintenance, marketing, PCS distribution, truck transportation and trucking arrangement business, cloud system implementation, satellite communication network, installation and management, and data center development and related services. Additionally, the company is involved in the Internet banking ASP and security solutions, residential building development and supply, sports team management, technology business finance, and submarine cable construction and maintenance businesses. The company was formerly known as Korea Telecom Corp. and changed its name to KT Corporation in March 2002. KT Corporation was founded in 1981 and is headquartered in Seongnam-si, South Korea.