Analyzing Kyivstar Group (NASDAQ:KYIV) and TeliaSonera (OTCMKTS:TLSNY)

Kyivstar Group (NASDAQ:KYIV) and TeliaSonera (OTCMKTS:TLSNY) are both communication services companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, institutional ownership, risk, profitability, earnings and valuation.

Valuation and Earnings

This table compares Kyivstar Group and TeliaSonera”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kyivstar Group	$1.16 billion	2.68	$124.00 million	$0.66	20.32
TeliaSonera	$8.28 billion	2.15	$360.26 million	$0.27	33.59

TeliaSonera has higher revenue and earnings than Kyivstar Group. Kyivstar Group is trading at a lower price-to-earnings ratio than TeliaSonera, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Kyivstar Group and TeliaSonera’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kyivstar Group	12.73%	24.71%	15.12%
TeliaSonera	6.26%	9.20%	2.66%

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Kyivstar Group and TeliaSonera, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kyivstar Group	0	2	3	0	2.60
TeliaSonera	1	2	0	1	2.25

Kyivstar Group currently has a consensus price target of $16.62, indicating a potential upside of 23.97%. Given Kyivstar Group’s stronger consensus rating and higher possible upside, equities analysts clearly believe Kyivstar Group is more favorable than TeliaSonera.

Summary

Kyivstar Group beats TeliaSonera on 8 of the 12 factors compared between the two stocks.

About Kyivstar Group

Kyivstar Group Ltd. provides a range of mobile communication and home Internet services in Ukraine. It offers mobile services, such as voice, messaging and data, mobile and computer Internet, roaming, abroad calling, payment, and other services; fixed telephone communication services; fixed Internet and data transfer services; and mobile virtual PBX services, as well as operates data centers, commercial contact centers, and M2M contact centers. The company also provides loyalty programs, as well as sells telecommunications equipment. The company was founded in 1994 and is based in Dubai, the United Arab Emirates. Kyivstar Group Ltd. operates as a subsidiary of Vimpelcom Amsterdam B.V.

About TeliaSonera

Telia Company AB (publ) provides communication services to businesses, individuals, families, and communities in Sweden, Finland, Norway, Denmark, Lithuania, Estonia, and Latvia. It offers mobile, broadband, television, and fixed-line services; and networking, cloud and security, mobility, enterprise mobile network, contact center, managed mobility services, collaboration solutions, enterprise telephony, Internet of Things (IoT), carrier ethernet, dedicated internet access, wavelengths, IP Transit, dark fiber, and colocation solutions. The company also provides IoT connectivity, building monitoring, smart public transport, and smart utilities, as well as transport and logistics solutions comprising connected vehicle, asset tracking, and fleet management services. It markets its products and services under the Telia, Telia Cygate, TV4, C More, Halebop, Fello, MTV, Phonero, Onecall, MyCall, CallMe, MIT Tele, Ezys, Diil, Super, and Imt brand names for transport and logistics, public transport, manufacturing, retail, utilities, buildings and real estate, and public sector industries. The company was formerly known as TeliaSonera AB (publ) and changed its name to Telia Company AB (publ) in April 2016. Telia Company AB (publ) was founded in 1853 and is based in Solna, Sweden.