Financial Review: T-Mobile US (NASDAQ:TMUS) vs. Kyivstar Group (NASDAQ:KYIV)

Kyivstar Group (NASDAQ:KYIV) and T-Mobile US (NASDAQ:TMUS) are both communication services companies, but which is the better investment? We will contrast the two businesses based on the strength of their earnings, profitability, valuation, analyst recommendations, risk, institutional ownership and dividends.

Earnings and Valuation

This table compares Kyivstar Group and T-Mobile US”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kyivstar Group	$1.16 billion	2.64	$124.00 million	$0.66	20.06
T-Mobile US	$88.31 billion	2.22	$10.99 billion	$9.55	19.12

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

Profitability

This table compares Kyivstar Group and T-Mobile US’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%
T-Mobile US	11.45%	20.16%	5.41%

Institutional and Insider Ownership

42.5% of T-Mobile US shares are owned by institutional investors. 0.3% of T-Mobile US shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings for Kyivstar Group and T-Mobile US, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kyivstar Group	0	2	3	0	2.60
T-Mobile US	0	8	21	1	2.77

Kyivstar Group currently has a consensus price target of $16.62, suggesting a potential upside of 25.57%. T-Mobile US has a consensus price target of $252.08, suggesting a potential upside of 38.04%. Given T-Mobile US’s stronger consensus rating and higher possible upside, analysts plainly believe T-Mobile US is more favorable than Kyivstar Group.

Summary

T-Mobile US beats Kyivstar Group on 9 of the 14 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 T-Mobile US

T-Mobile US, Inc., together with its subsidiaries, provides mobile communications services in the United States, Puerto Rico, and the United States Virgin Islands. The company offers voice, messaging, and data services to customers in the postpaid, prepaid, and wholesale and other services. It also provides wireless devices, including smartphones, wearables, tablets, home broadband routers, and other mobile communication devices, as well as wireless devices and accessories; financing through equipment installment plans; reinsurance for device insurance policies and extended warranty contracts; leasing through JUMP! On Demand; and High Speed Internet services. In addition, the company offers services, devices, and accessories under the T-Mobile and Metro by T-Mobile brands through its owned and operated retail stores, T-Mobile app and customer care channels, and its websites. It also sells its devices to dealers and other third-party distributors for resale through independent third-party retail outlets and various third-party websites. The company was founded in 1994 and is headquartered in Bellevue, Washington.