Analyzing Echostar (NASDAQ:ECHO) and Adaptive Medias (OTCMKTS:ADTM)

Adaptive Medias (OTCMKTS:ADTM) and Echostar (NASDAQ:ECHO) are both communication services companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, dividends, risk, institutional ownership and valuation.

Institutional & Insider Ownership

33.6% of Echostar shares are held by institutional investors. 55.7% of Echostar shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Adaptive Medias and Echostar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Adaptive Medias	N/A	N/A	N/A
Echostar	-38.71%	-1.28%	-0.25%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Adaptive Medias and Echostar, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Adaptive Medias	0	0	0	0	0.00
Echostar	1	2	5	1	2.67

Echostar has a consensus price target of $132.00, suggesting a potential upside of 52.57%. Given Echostar’s stronger consensus rating and higher probable upside, analysts clearly believe Echostar is more favorable than Adaptive Medias.

Earnings and Valuation

This table compares Adaptive Medias and Echostar”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Adaptive Medias	N/A	N/A	N/A	N/A	N/A
Echostar	$15.00 billion	1.67	-$14.50 billion	($24.92)	-3.47

Adaptive Medias has higher earnings, but lower revenue than Echostar.

Summary

Echostar beats Adaptive Medias on 7 of the 10 factors compared between the two stocks.

About Adaptive Medias

Adaptive Medias, Inc. offers programmatic audience and content monetization. It provides these unique capabilities to monetize content efficiently across multiple marketing channels, including mobile, video and online display advertising. The company was founded by Omar Akram, Sal Aziz, and Qayed Murtaza Shareef on August 7, 2007 and is headquartered in Irvine, CA.

About Echostar

EchoStar Corporation, together with its subsidiaries, provides networking technologies and services worldwide. The company operates in two segments, Hughes and EchoStar Satellite Services (ESS). The Hughes segment offers broadband network technologies, managed services, equipment, hardware, satellite services, and communications solutions to government and enterprise customers. The segment also designs, provides, and installs gateway and terminal equipment to customers for other satellite systems. In addition, it designs, develops, constructs, and provides telecommunication networks comprising satellite ground segment systems and terminals to mobile system operators and enterprise customers. Further, this segment designs, provides, and installs gateway and terminal equipment to customers for other satellite systems, as well as offers satellite ground segment systems and terminals for other satellite systems, including mobile system operators. The ESS segment provides satellite services using its owned and leased in-orbit satellites and related licenses to offer satellite services on a full-time and/or occasional-use basis to the U.S. government service providers, internet service providers, broadcast news organizations, content providers, and private enterprise customers. It serves customers in North America, South and Central America, Asia, Africa, Australia, Europe, India, and the Middle East. The company was incorporated in 2007 and is headquartered in Englewood, Colorado.