IDT Corporation (NYSE: IDT) and Telecom Italia S.P.A. (NYSE:TI) are both utilities companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, earnings, risk, dividends, profitability, institutional ownership and valuation.

Risk & Volatility

IDT Corporation has a beta of 1.14, suggesting that its stock price is 14% more volatile than the S&P 500. Comparatively, Telecom Italia S.P.A. has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500.

Dividends

IDT Corporation pays an annual dividend of $0.76 per share and has a dividend yield of 5.4%. Telecom Italia S.P.A. does not pay a dividend. IDT Corporation pays out 59.8% of its earnings in the form of a dividend.

Profitability

This table compares IDT Corporation and Telecom Italia S.P.A.’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
IDT Corporation 1.97% 22.31% 6.76%
Telecom Italia S.P.A. N/A N/A N/A

Analyst Ratings

This is a summary of recent ratings and target prices for IDT Corporation and Telecom Italia S.P.A., as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
IDT Corporation 0 0 0 0 N/A
Telecom Italia S.P.A. 0 4 2 0 2.33

Valuation & Earnings

This table compares IDT Corporation and Telecom Italia S.P.A.’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
IDT Corporation $1.47 billion 0.22 $26.51 million $1.27 11.13
Telecom Italia S.P.A. $23.57 billion 0.84 $10.16 billion N/A N/A

Telecom Italia S.P.A. has higher revenue and earnings than IDT Corporation.

Insider & Institutional Ownership

52.1% of IDT Corporation shares are held by institutional investors. Comparatively, 0.8% of Telecom Italia S.P.A. shares are held by institutional investors. 12.8% of IDT Corporation shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

IDT Corporation beats Telecom Italia S.P.A. on 7 of the 12 factors compared between the two stocks.

IDT Corporation Company Profile

IDT Corporation is a holding company with operations primarily in the telecommunications and payment industries. The Company’s segments include Telecom Platform Services, Consumer Phone Services and All Other. The Company’s Telecom Platform Services segment provides retail telecommunications and payment offerings, as well as wholesale international long distance traffic termination. The Telecom Platform Services segment markets and distributes multiple communications and payment services across four businesses: Retail Communications, Wholesale Carrier Services, Payment Services and Hosted Platform Solutions. The Company’s Consumer Phone Services segment provides consumer local and long distance services in certain states of the United States. The Telecom Platform Services and Consumer Phone Services segments comprise the Company’s IDT Telecom division. The All Other segment includes its real estate holdings and other smaller businesses.

Telecom Italia S.P.A. Company Profile

Telecom Italia S.p.A. (Telecom Italia) operates fixed voice and data infrastructure in Italy, and provides mobile network platforms. The Company focuses on various areas of digital services, including Enriched Communication, Trusted Digital Life, Business Life, Indoor Life, Mobile Open Life and Digital Entertainment. Its segments include Consumer, Business, National Wholesale and Other. It is engaged in developing various projects in areas, including Smart Green, Social Reading, Solutions for good schooling, Digital tourism 2.0, Smart Home, FriendTV and Big Data. Smart Green is the assessment of projects connected with the environment and potential partnerships with the local government offices for the monitoring of air in public offices and urban areas, using networks of sensors connected to the Company’s Cloud. The Company is involved, either alone or in partnership with external partners, in devising and developing healthcare services at national, regional and local level.

Receive News & Ratings for IDT Corporation Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for IDT Corporation and related companies with MarketBeat.com's FREE daily email newsletter.