Gogo (GOGO) and The Competition Head-To-Head Survey

Gogo (NASDAQ: GOGO) is one of 36 publicly-traded companies in the “Wireless Telecommunications Services” industry, but how does it weigh in compared to its peers? We will compare Gogo to related companies based on the strength of its profitability, earnings, analyst recommendations, risk, dividends, valuation and institutional ownership.

Earnings and Valuation

This table compares Gogo and its peers revenue, earnings per share and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Gogo $645.47 million $74.39 million -6.06
Gogo Competitors $28.35 billion $8.31 billion 7.57

Gogo’s peers have higher revenue and earnings than Gogo. Gogo is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Institutional & Insider Ownership

66.5% of Gogo shares are held by institutional investors. Comparatively, 40.3% of shares of all “Wireless Telecommunications Services” companies are held by institutional investors. 37.3% of Gogo shares are held by company insiders. Comparatively, 12.5% of shares of all “Wireless Telecommunications Services” companies are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings for Gogo and its peers, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Gogo 1 1 3 0 2.40
Gogo Competitors 512 1575 1751 56 2.35

Gogo currently has a consensus price target of $14.19, indicating a potential upside of 27.24%. As a group, “Wireless Telecommunications Services” companies have a potential upside of 17.61%. Given Gogo’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Gogo is more favorable than its peers.

Profitability

This table compares Gogo and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Gogo -22.58% N/A -11.62%
Gogo Competitors -994.58% 4.47% -5.15%

Volatility and Risk

Gogo has a beta of 1.72, meaning that its stock price is 72% more volatile than the S&P 500. Comparatively, Gogo’s peers have a beta of 0.78, meaning that their average stock price is 22% less volatile than the S&P 500.

Summary

Gogo beats its peers on 7 of the 12 factors compared.

Gogo Company Profile

Gogo Inc. is a holding company. The Company is a provider of in-flight broadband connectivity and connectivity-enabled services to commercial and business aviation. The Company operates through three segments: Commercial Aviation North America (CA-NA), Commercial Aviation Rest of World (CA-ROW) and Business Aviation (BA). The CA-NA segment offers air-to-ground (ATG) and satellite connectivity and entertainment services to commercial aircraft flying routes generally within North America. The CA-ROW segment offers satellite connectivity and entertainment services, using 2Ku and Ku solutions, to commercial aircraft flying routes outside of North America. The Company’s BA segment offers a suite of integrated equipment, network and Internet connectivity products and services to the business aviation market. As of December 31, 2016, it provided services on 2,943 commercial aircraft. The Company offers a package of airborne equipment for its ATG-4/ATG and satellite services.

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

Leave a Reply