VEON (NASDAQ:VEON) versus Singapore Telecommunications (OTCMKTS:SGAPY) Critical Analysis

VEON (NASDAQ:VEON) and Singapore Telecommunications (OTCMKTS:SGAPY) are both utilities companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, dividends, valuation and analyst recommendations.

Volatility and Risk

VEON has a beta of 1.59, meaning that its stock price is 59% more volatile than the S&P 500. Comparatively, Singapore Telecommunications has a beta of 0.32, meaning that its stock price is 68% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings for VEON and Singapore Telecommunications, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
VEON	1	1	1	1	2.50
Singapore Telecommunications	0	0	0	0	0.00

VEON presently has a consensus price target of $60.00, indicating a potential upside of 13.85%. Given VEON’s stronger consensus rating and higher probable upside, research analysts plainly believe VEON is more favorable than Singapore Telecommunications.

Earnings & Valuation

This table compares VEON and Singapore Telecommunications”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
VEON	$4.00 billion	0.91	$415.00 million	$8.80	5.99
Singapore Telecommunications	$10.57 billion	5.56	$3.00 billion	N/A	N/A

Singapore Telecommunications has higher revenue and earnings than VEON.

Institutional and Insider Ownership

21.3% of VEON shares are owned by institutional investors. Comparatively, 0.0% of Singapore Telecommunications shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares VEON and Singapore Telecommunications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
VEON	15.26%	58.72%	10.13%
Singapore Telecommunications	N/A	N/A	N/A

Summary

VEON beats Singapore Telecommunications on 9 of the 12 factors compared between the two stocks.

About VEON

VEON Ltd., a digital operator, provides connectivity and internet services in Pakistan, Ukraine, Kazakhstan, Bangladesh, Uzbekistan, and Kyrgyzstan. It offers mobile telecommunications services, including value added and call completion, national and international roaming, wireless Internet access, mobile financial, and mobile bundle services; data connectivity, cross border transit, voice, Internet, and data services; fixed-line telecommunications using intercity fiber optic networks; and Internet-TV using Fiber to the building technology. The company also sells equipment, infrastructure, and accessories. VEON Ltd. was founded in 1992 and is headquartered in Amsterdam, the Netherlands.

About Singapore Telecommunications

Singapore Telecommunications Limited, together with its subsidiaries, provides telecommunication services to consumers and small businesses in Singapore, Australia, China, and internationally. The company operates through Optus, Singtel Singapore, NCS, Digital InfraCo, and Corporate segments. The company provides mobile, equipment sales, fixed voice and data, satellite, ICT and managed services; mobile, fixed voice and data, pay television, content and digital services, ICT as well as equipment sales in Singapore; and provides differentiated and end-to-end technology services to clients through its Gov+, Enterprise, and Telco+ strategic business groups with its NEXT capabilities in digital, data, cloud and platforms, as well as offers applications, infrastructure, engineering and cyber. It offers regional data centre services under Nxera; satellite carrier services; and Paragon, Singtel’s all-in-one digital acceleration platform for 5G multi-access edge compute and cloud orchestration. The company was incorporated in 1992 and is headquartered in Singapore.