Sinclair (NASDAQ:SBGI – Get Free Report) and Boston Omaha (NYSE:BOC – Get Free Report) are both small-cap communication services companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.
Valuation & Earnings
This table compares Sinclair and Boston Omaha”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Sinclair | $3.17 billion | 0.28 | -$112.00 million | $0.75 | 16.52 |
| Boston Omaha | $114.38 million | 3.31 | -$12.43 million | ($0.42) | -29.91 |
Boston Omaha has lower revenue, but higher earnings than Sinclair. Boston Omaha is trading at a lower price-to-earnings ratio than Sinclair, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Sinclair and Boston Omaha’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Sinclair | 1.60% | -16.09% | -0.95% |
| Boston Omaha | -12.12% | -2.49% | -1.88% |
Insider & Institutional Ownership
41.7% of Sinclair shares are owned by institutional investors. Comparatively, 60.4% of Boston Omaha shares are owned by institutional investors. 42.1% of Sinclair shares are owned by company insiders. Comparatively, 24.9% of Boston Omaha shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Risk and Volatility
Sinclair has a beta of 1.12, suggesting that its share price is 12% more volatile than the S&P 500. Comparatively, Boston Omaha has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500.
Analyst Ratings
This is a breakdown of recent ratings and target prices for Sinclair and Boston Omaha, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Sinclair | 2 | 2 | 2 | 0 | 2.00 |
| Boston Omaha | 1 | 0 | 0 | 0 | 1.00 |
Sinclair currently has a consensus price target of $19.40, suggesting a potential upside of 56.58%. Given Sinclair’s stronger consensus rating and higher probable upside, analysts clearly believe Sinclair is more favorable than Boston Omaha.
Summary
Sinclair beats Boston Omaha on 10 of the 14 factors compared between the two stocks.
About Sinclair
Sinclair, Inc., a media company, provides content on local television stations and digital platforms in the United States. It operates through two segments, Local Media and Tennis. The Local Media segment operates broadcast television stations, original networks, and content; provides free-over-the-air programming and live local sporting events on its stations; distributes its content to multi-channel video programming distributors in exchange for contractual fees; and produces local and original news programs. This segment operates The Nest, a free over-the-air national broadcast TV network; Comet, a science fiction network; CHARGE!, an adventure and action-based network; and TBD, a multiscreen TV network. The Tennis segment offers Tennis Channel, a cable network which includes coverage of tennis' top tournaments and original professional sports, and tennis lifestyle shows; Tennis Channel International streaming service; Tennis Channel Plus streaming service; T2 FAST, a 24-hours a day free ad-supported streaming television channel; and Tennis.com and Pickleballtv. It also provides digital and internet solutions; and technical services, including the design and manufacture of broadcast systems. The company distributes its content through broadcast platforms and third-party platforms that consist of programming provided by third-party networks and syndicators, local news, and other original programming. Sinclair, Inc. was founded in 1971 and is headquartered in Hunt Valley, Maryland.
About Boston Omaha
Boston Omaha Corporation, together with its subsidiaries, engages in the outdoor billboard advertising business in the southeast United States. It is also involved in the surety insurance and related brokerage, broadband, and asset management businesses. The company was formerly known as REO Plus, Inc. and changed its name to Boston Omaha Corporation in March 2015. Boston Omaha Corporation was incorporated in 2009 and is headquartered in Omaha, Nebraska.
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