Head to Head Review: Iridium World Communications (OTCMKTS:IRIDQ) versus America Movil (NYSE:AMX)

America Movil (NYSE:AMX) and Iridium World Communications (OTCMKTS:IRIDQ) are both computer and technology companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, valuation, analyst recommendations, profitability, institutional ownership, earnings and risk.

Earnings & Valuation

This table compares America Movil and Iridium World Communications”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
America Movil	$49.22 billion	1.52	$4.31 billion	$1.43	17.33
Iridium World Communications	N/A	N/A	N/A	N/A	N/A

America Movil has higher revenue and earnings than Iridium World Communications.

Insider & Institutional Ownership

6.3% of America Movil shares are owned by institutional investors. 1.0% of America Movil shares are owned by company insiders. Comparatively, 4.1% of Iridium World Communications shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares America Movil and Iridium World Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
America Movil	8.78%	18.92%	4.61%
Iridium World Communications	N/A	N/A	N/A

Analyst Ratings

This is a summary of current recommendations for America Movil and Iridium World Communications, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
America Movil	0	7	3	0	2.30
Iridium World Communications	0	0	0	0	0.00

America Movil presently has a consensus target price of $23.40, suggesting a potential downside of 5.60%. Given Iridium World Communications’ higher possible upside, analysts plainly believe Iridium World Communications is more favorable than America Movil.

Summary

America Movil beats Iridium World Communications on 7 of the 9 factors compared between the two stocks.

About America Movil

América Móvil, S.A.B. de C.V. provides telecommunications services in Latin America and internationally. The company offers wireless and fixed voice services, including airtime, local, domestic, and international long-distance services; and network interconnection services. It provides data services, such as data centers, data administration, and hosting services to residential and corporate clients; value-added services, including Internet access, messaging and other wireless entertainment, and corporate services; data transmission, email services, instant messaging, content streaming, and interactive applications; and wireless security services, mobile payment solutions, machine-to-machine services, mobile banking, virtual private network services, and video calls and personal communications services. In addition, the company offers residential broadband services; IT solutions to small businesses and large corporations; and cable and satellite television subscriptions. Further, it sells equipment, accessories, and computers; and offers telephone directories, wireless security, call center, advertising, media, and software development services. Additionally, the company provides video, audio, and other media content through the Internet directly from the content provider to the end user. It sells its products and services under the Telcel, Telmex Infinitum, and A1 brands through a network of retailers and service centers to retail customers; and through sales force to corporate customers. The company was incorporated in 2000 and is based in Mexico City, Mexico.

About Iridium World Communications

In August 1999, Iridium World Communications Ltd. filed a voluntary petition under Chapter 11 of the United States Bankruptcy Court, and operated as a debtor-in-possession. Iridium World Communications, Ltd. was engaged in the ownership and participation in the management of Iridium LLC, its parent company, which owned Iridium Operating LLC (Iridium), as of March 31, 1999. Iridium operated as a global wireless telecommunications company. It enabled its customers to make and receive phone calls, and receive pages virtually anywhere in the world. The company was founded in 1991 and is based in Hamilton, Bermuda.