TALKTALK TELECO/ADR (OTCMKTS:TKTCY) vs. SurgePays (NASDAQ:SURG) Critical Contrast

TALKTALK TELECO/ADR (OTCMKTS:TKTCY) and SurgePays (NASDAQ:SURG) are both small-cap utilities companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Profitability

This table compares TALKTALK TELECO/ADR and SurgePays’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TALKTALK TELECO/ADR	N/A	N/A	N/A
SurgePays	15.03%	104.66%	49.78%

Analyst Ratings

This is a summary of recent recommendations and price targets for TALKTALK TELECO/ADR and SurgePays, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TALKTALK TELECO/ADR	0	0	0	0	N/A
SurgePays	0	1	1	0	2.50

SurgePays has a consensus price target of $10.00, indicating a potential upside of 156.41%. Given SurgePays’ higher possible upside, analysts clearly believe SurgePays is more favorable than TALKTALK TELECO/ADR.

Insider & Institutional Ownership

6.9% of SurgePays shares are owned by institutional investors. 29.4% of SurgePays shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

TALKTALK TELECO/ADR has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500. Comparatively, SurgePays has a beta of 1.11, indicating that its share price is 11% more volatile than the S&P 500.

Valuation & Earnings

This table compares TALKTALK TELECO/ADR and SurgePays’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TALKTALK TELECO/ADR	$1.99 billion	0.78	$194.52 million	$0.34	20.00
SurgePays	$137.14 million	0.55	$20.62 million	$1.39	2.81

TALKTALK TELECO/ADR has higher revenue and earnings than SurgePays. SurgePays is trading at a lower price-to-earnings ratio than TALKTALK TELECO/ADR, indicating that it is currently the more affordable of the two stocks.

Summary

SurgePays beats TALKTALK TELECO/ADR on 9 of the 13 factors compared between the two stocks.

About TALKTALK TELECO/ADR

TalkTalk Telecom Group PLC provides fixed line, TV, and mobile telecommunications services. It offers landline, broadband, fiber, TV, and mobile services, including fixed price plans and unlimited broadband usage, as well as HomeSafe, a network-based security and filtering system. The company also provides various business-grade communications products and services, including Internet access, data, voice, and mobile. TalkTalk Telecom Group PLC was founded in 2002 and is based in London, the United Kingdom.

About SurgePays

SurgePays, Inc., together with its subsidiaries, operates as a financial technology and telecom company in the United States. It operates through three segments: Mobile Virtual Network Operators, Comprehensive Platform Services, and Lead Generation. The company offers subsidized and non-subsidized mobile virtual network operators for internet connectivity through mobile broadband services to consumers; ACH banking relationships and fintech transactions platform to convenience stores; wireless top-up transactions and wireless product aggregation; and lead generation and case management solutions primarily to law firms in the mass tort industry, as well as call center activities. SurgePays, Inc. is headquartered in Bartlett, Tennessee.