Liberty Capital Corporation (GLIBA) vs Gogo Inc. (GOGO)

Liberty Capital Corporation and Gogo Inc. are both Telecom Services companies. Liberty Capital Corporation is the larger, with a market value of $948.3M against $310.3M — 3.1× the size. Liberty Capital Corporation has negative trailing earnings, so its P/E is not meaningful; Gogo Inc. trades at 2,300×. Gogo Inc. grew revenue faster over the last twelve months: 30.0% against 0.10%. Gogo Inc. has the higher net margin (−0.09% vs −32.5%) and the higher return on invested capital (7.46% vs −9.90%). Across the 17 metrics below, Gogo Inc. leads on 10 and Liberty Capital Corporation on 7.

Valuation

Metric GLIBA GOGO Telecom Services median
P/E n/m 2,300.00 13.27
P/S 0.91 0.35 0.95
P/B 0.55 2.60 1.47
Price to free cash flow 19.31 n/m 8.72
EV/EBITDA n/m 6.11 6.85
EV/Sales 1.66 1.18 1.87
Earnings yield (47.57%) 0.04% 1.66%
Free cash flow yield 5.18% (7.28%) 5.53%

Profitability

Metric GLIBA GOGO Telecom Services median
Gross margin 47.97% 41.60% 51.26%
Operating margin (38.32%) 11.54% 7.62%
Net margin (32.53%) (0.09%) 4.22%
Free cash flow margin 4.73% (2.53%) 4.73%
Return on equity (20.98%) (0.76%) 5.80%
Return on assets (9.81%) (0.07%) 0.00%
Return on invested capital (9.90%) 7.46% 3.41%

Growth

Metric GLIBA GOGO Telecom Services median
Revenue growth (TTM) 0.10% 30.03% 3.31%
EPS growth (last fiscal year) (541.15%) (10.00%) —
Revenue growth, 5-year CAGR — 27.55% 1.50%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric GLIBA GOGO Telecom Services median
Debt to equity 0.73 6.77 0.63
Current ratio 3.37 1.73 1.13
Net debt to EBITDA (7.48) 3.91 1.86

Dividend

Metric GLIBA GOGO Telecom Services median
Dividend yield — — 4.06%
Payout ratio — 0.00 0.00

Size

Metric GLIBA GOGO Telecom Services median
Market cap 948.30m 310.32m 3.06b

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