EchoStar Corporation (ECHO) vs Millicom International Cellular SA (TIGO)

EchoStar Corporation and Millicom International Cellular SA are both Telecom Services companies. EchoStar Corporation is the larger, with a market value of $26.3B against $15.3B — 1.7× the size. EchoStar Corporation has negative trailing earnings, so its P/E is not meaningful; Millicom International Cellular SA trades at 23.3×. Millicom International Cellular SA grew revenue faster over the last twelve months: 29.6% against −5.17%. Millicom International Cellular SA has the higher net margin (9.17% vs −38.7%) and the higher return on invested capital (10.5% vs −34.3%). Across the 18 metrics below, Millicom International Cellular SA leads on 11 and EchoStar Corporation on 7.

Valuation

Metric ECHO TIGO Telecom Services median
P/E n/m 23.27 13.27
P/S 1.78 2.14 0.95
P/B 1.84 6.23 1.47
Price to free cash flow n/m 12.59 8.72
EV/EBITDA n/m 6.85 6.85
EV/Sales 2.87 3.23 1.87
Earnings yield (22.05%) 4.30% 1.66%
Free cash flow yield (2.97%) 7.94% 5.53%

Profitability

Metric ECHO TIGO Telecom Services median
Gross margin 29.54% 76.53% 51.26%
Operating margin (112.71%) 24.02% 7.62%
Net margin (38.71%) 9.17% 4.22%
Free cash flow margin (4.95%) 17.03% 4.73%
Return on equity (33.38%) 22.20% 5.80%
Return on assets (11.42%) 3.73% 0.00%
Return on invested capital (34.32%) 10.52% 3.41%

Growth

Metric ECHO TIGO Telecom Services median
Revenue growth (TTM) (5.17%) 29.57% 3.31%
EPS growth (last fiscal year) (11,356.82%) 436.30% —
Revenue growth, 5-year CAGR 51.37% 6.89% 1.50%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric ECHO TIGO Telecom Services median
Debt to equity 1.23 3.51 0.63
Current ratio 5.20 0.53 1.13
Net debt to EBITDA (1.41) 1.81 1.86

Dividend

Metric ECHO TIGO Telecom Services median
Dividend yield — 1.68% 4.06%
Payout ratio 0.00 0.00 0.00

Size

Metric ECHO TIGO Telecom Services median
Market cap 26.33b 15.29b 3.06b

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