iQSTEL (NASDAQ:IQST) versus Telefónica (OTCMKTS:TEFOF) Critical Contrast

Telefónica (OTCMKTS:TEFOFGet Free Report) and iQSTEL (NASDAQ:IQSTGet Free Report) are both communication services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, earnings, valuation, risk, profitability and dividends.

Valuation & Earnings

This table compares Telefónica and iQSTEL”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Telefónica N/A N/A N/A $0.96 4.22
iQSTEL $316.90 million 0.03 -$9.16 million ($2.68) -0.44

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

Profitability

This table compares Telefónica and iQSTEL’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Telefónica N/A N/A N/A
iQSTEL -2.62% -45.89% -14.84%

Analyst Ratings

This is a breakdown of recent ratings and target prices for Telefónica and iQSTEL, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Telefónica 0 0 0 0 0.00
iQSTEL 2 0 1 0 1.67

iQSTEL has a consensus price target of $18.00, indicating a potential upside of 1,425.42%. Given iQSTEL’s stronger consensus rating and higher probable upside, analysts plainly believe iQSTEL is more favorable than Telefónica.

Insider and Institutional Ownership

20.0% of Telefónica shares are held by institutional investors. 0.2% of iQSTEL shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Telefónica beats iQSTEL on 6 of the 11 factors compared between the two stocks.

About Telefónica

(Get Free Report)

Telefónica, S.A., together with its subsidiaries, provides telecommunications services in Europe and Latin America. The company offers mobile and related services and products, such as mobile voice, value added, mobile data and internet, wholesale, corporate, roaming, fixed wireless, and trunking and paging services. It also provides fixed telecommunication services, including PSTN lines; ISDN accesses; public telephone services; local, domestic, and international long-distance and fixed-to-mobile communications; corporate communications; supplementary value-added services; video telephony; intelligent network; and telephony information services, as well as leases and sells handset equipment and telephony information services. It also provides Internet and broadband multimedia services comprising internet service provider, portal and network, retail and wholesale broadband access, narrowband switched access, security, internet through fibre to the home, and voice over internet protocol services. In addition, the company offers leased line, virtual private network, fibre optics, web hosting and application, managed hosting, content delivery, outsourcing and application, desktop, and system integration and professional services. Further, the company offers wholesale services for telecommunication operators, including domestic interconnection and international wholesale services; leased lines for other operators; and local loop leasing services, as well as bit stream services, wholesale line rental accesses, and leased ducts for other operators' fiber deployment. Additionally, it provides video/TV services; smart connectivity and services, and consumer IoT products; financial and other payment, security, cloud, advertising, big data, and digital experience services; Aura; open gateway, living apps; smart Wi-Fi, Phoenix, NT, Solar 360, and Movistar Home devices. Telefónica, S.A. was incorporated in 1924 and is headquartered in Madrid, Spain.

About iQSTEL

(Get Free Report)

iQSTEL Inc., through its subsidiary, Etelix.com USA, LLC, provides telecom and technology solutions. It provides international long-distance voice services (ILD wholesale) for telecommunications operator; and submarine fiber optic network capacity for internet, such as 4G and 5G. The company offers voice over IP connectivity, short messages service (SMS), and international and domestic SMS termination services. It also provides infrastructure connectivity, Cloud-PBX, OmniChannel marketing, Internet of Things services, and blockchain and payment solutions. iQSTEL Inc. serves wholesale carrier, government, corporate, enterprise, and small and medium companies in North America, Latin America, and Europe. The company was formerly known as PureSnax International, Inc. and changed its name to iQSTEL Inc. in August 2018. iQSTEL Inc. was incorporated in 2011 and is based in Coral Gables, Florida.

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