Frontier Communications Parent (NASDAQ:FYBR) & Vonage (NASDAQ:VG) Head-To-Head Analysis

Vonage (NASDAQ:VGGet Rating) and Frontier Communications Parent (NASDAQ:FYBRGet Rating) are both mid-cap computer and technology companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, profitability, valuation, dividends, earnings and risk.

Profitability

This table compares Vonage and Frontier Communications Parent’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Vonage -2.87% 2.53% 1.10%
Frontier Communications Parent 80.23% 110.77% 31.13%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Vonage and Frontier Communications Parent, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Vonage 0 12 1 0 2.08
Frontier Communications Parent 0 1 8 1 3.00

Vonage presently has a consensus target price of $19.57, suggesting a potential upside of 0.88%. Frontier Communications Parent has a consensus target price of $37.50, suggesting a potential upside of 42.10%. Given Frontier Communications Parent’s stronger consensus rating and higher probable upside, analysts plainly believe Frontier Communications Parent is more favorable than Vonage.

Earnings & Valuation

This table compares Vonage and Frontier Communications Parent’s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Vonage $1.41 billion 3.53 -$24.50 million ($0.17) -114.11
Frontier Communications Parent $6.41 billion 1.01 $4.96 billion N/A N/A

Frontier Communications Parent has higher revenue and earnings than Vonage.

Insider and Institutional Ownership

91.4% of Vonage shares are held by institutional investors. Comparatively, 93.5% of Frontier Communications Parent shares are held by institutional investors. 4.7% of Vonage shares are held by insiders. Comparatively, 0.2% of Frontier Communications Parent shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Frontier Communications Parent beats Vonage on 10 of the 12 factors compared between the two stocks.

About Vonage (Get Rating)

Vonage Holdings Corp. primarily operates as a cloud communications company in the United States, Canada, the United Kingdom, the European Union, and Asia. It operates in two segments, Vonage Communications Platform and Consumer. The Vonage Communications Platform segment offers programmable, embeddable, and customizable application program interfaces that enable software developers to build communications capabilities, such as messaging and voice calling within their applications; and Vonage Contact Center, a cloud contact center solution. This segment also provides Vonage Business Communications, a cloud-native proprietary technology platform that delivers integrated unified communication services; and Vonage Business Enterprise, a cloud-based platform for mid-market and enterprise customers that provides unified communication and collaboration services, including voice, data, video, mobile, and contact center services. The Consumer segment provides home telephone services through various service plans with basic features, including voicemail, call waiting, call forwarding, simulring, visual voicemail, and boomerang and extensions, as well as area code selection, virtual phone numbers, and Web-enabled voicemail. The company also offers procured high-speed broadband Internet services that allows calls over the Internet from a standard telephone through a Vonage-enabled devices, soft phone software, and mobile client applications. Vonage Holdings Corp. was incorporated in 2000 and is headquartered in Holmdel, New Jersey.

About Frontier Communications Parent (Get Rating)

Frontier Communications Parent, Inc., together with its subsidiaries, provides communications services for consumer and business customers in 25 states in the United States. It offers data and Internet, voice, video, and other services. The company was formerly known as Frontier Communications Corporation and changed its name to Frontier Communications Parent, Inc. in April 2021. Frontier Communications Parent, Inc. was incorporated in 1935 and is based in Norwalk, Connecticut.

Want More Great Investing Ideas?

Receive News & Ratings for Vonage Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Vonage and related companies with MarketBeat.com's FREE daily email newsletter.