Chunghwa Telecom (NYSE:CHT – Get Free Report) and Bandwidth (NASDAQ:BAND – Get Free Report) are both communication services companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, earnings, valuation, institutional ownership, dividends, analyst recommendations and profitability.
Profitability
This table compares Chunghwa Telecom and Bandwidth’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Chunghwa Telecom | 16.58% | 10.61% | 7.73% |
| Bandwidth | 1.01% | 3.70% | 1.37% |
Earnings & Valuation
This table compares Chunghwa Telecom and Bandwidth”s gross revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Chunghwa Telecom | $253.25 billion | 0.15 | $1.23 billion | $1.73 | 28.20 |
| Bandwidth | $870.37 million | 1.62 | -$12.91 million | ($0.12) | -363.08 |
Chunghwa Telecom has higher revenue and earnings than Bandwidth. Bandwidth is trading at a lower price-to-earnings ratio than Chunghwa Telecom, indicating that it is currently the more affordable of the two stocks.
Analyst Recommendations
This is a breakdown of current ratings for Chunghwa Telecom and Bandwidth, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Chunghwa Telecom | 0 | 2 | 0 | 0 | 2.00 |
| Bandwidth | 0 | 5 | 4 | 0 | 2.44 |
Bandwidth has a consensus target price of $66.67, suggesting a potential upside of 53.01%. Given Bandwidth’s stronger consensus rating and higher possible upside, analysts plainly believe Bandwidth is more favorable than Chunghwa Telecom.
Volatility and Risk
Chunghwa Telecom has a beta of 0.26, meaning that its share price is 74% less volatile than the S&P 500. Comparatively, Bandwidth has a beta of 3.17, meaning that its share price is 217% more volatile than the S&P 500.
Insider and Institutional Ownership
2.1% of Chunghwa Telecom shares are owned by institutional investors. Comparatively, 68.5% of Bandwidth shares are owned by institutional investors. 1.0% of Chunghwa Telecom shares are owned by company insiders. Comparatively, 5.3% of Bandwidth shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
About Chunghwa Telecom
Chunghwa Telecom is Taiwan’s largest integrated telecommunications provider. The company offers fixed-line and mobile voice services, broadband internet access, and data communications to consumers, businesses, and government customers. Its business also includes information and communications technology services such as cloud computing, cybersecurity, data-center services, and enterprise networking. Chunghwa Telecom serves customers primarily in Taiwan and provides international telecommunications services through its global network and partnerships.
About Bandwidth
Bandwidth is a cloud communications company that provides software and network services for businesses, communications providers and software developers. Its platform enables organizations to add voice calling, messaging and emergency calling capabilities to their applications and services. The company offers communications APIs, business voice and messaging solutions, and services for managing phone numbers and emergency communications. Bandwidth’s network infrastructure supports these offerings and helps customers connect communications features with their existing systems.
Receive News & Ratings for Chunghwa Telecom Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Chunghwa Telecom and related companies with MarketBeat.com's FREE daily email newsletter.
