Viacom (NASDAQ: VIA) is one of 25 public companies in the “Entertainment Production” industry, but how does it weigh in compared to its peers? We will compare Viacom to similar companies based on the strength of its dividends, profitability, earnings, institutional ownership, risk, valuation and analyst recommendations.

Valuation & Earnings

This table compares Viacom and its peers gross revenue, earnings per share (EPS) and valuation.

Gross Revenue EBITDA Price/Earnings Ratio
Viacom $13.17 billion $2.92 billion 9.82
Viacom Competitors $6.27 billion $1.49 billion 43.99

Viacom has higher revenue and earnings than its peers. Viacom 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.

Analyst Ratings

This is a breakdown of current ratings for Viacom and its peers, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Viacom 1 5 4 0 2.30
Viacom Competitors 102 475 1225 24 2.64

Viacom presently has a consensus price target of $42.86, suggesting a potential upside of 19.88%. As a group, “Entertainment Production” companies have a potential upside of 13.22%. Given Viacom’s higher probable upside, equities analysts plainly believe Viacom is more favorable than its peers.

Risk & Volatility

Viacom has a beta of 1.43, indicating that its stock price is 43% more volatile than the S&P 500. Comparatively, Viacom’s peers have a beta of 0.92, indicating that their average stock price is 8% less volatile than the S&P 500.

Profitability

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

Net Margins Return on Equity Return on Assets
Viacom 11.04% 30.89% 6.39%
Viacom Competitors 2.73% 10.89% 3.54%

Dividends

Viacom pays an annual dividend of $0.80 per share and has a dividend yield of 2.2%. Viacom pays out 22.0% of its earnings in the form of a dividend. As a group, “Entertainment Production” companies pay a dividend yield of 1.4% and pay out 29.9% of their earnings in the form of a dividend. Viacom is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

2.3% of Viacom shares are held by institutional investors. Comparatively, 46.5% of shares of all “Entertainment Production” companies are held by institutional investors. 0.7% of Viacom shares are held by company insiders. Comparatively, 27.7% of shares of all “Entertainment Production” companies are held 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.

Summary

Viacom beats its peers on 9 of the 15 factors compared.

Viacom Company Profile

Viacom Inc. offers global media brands that create television programs, motion pictures, short-form content, applications, games, consumer products, social media experiences and other entertainment content. As of September 30, 2016, the Company offered its services for audiences in more than 180 countries. The Company operates through two segments: Media Networks and Filmed Entertainment. The Media Networks segment creates, acquires and distributes programming and other content for audiences The Media Networks segment provides entertainment content and related branded products for advertisers, content distributors and retailers. The Filmed Entertainment segment produces, finances, acquires and distributes motion pictures, television programming and other entertainment content under the Paramount Pictures, Paramount Vantage, Paramount Classics, Paramount Animation, Insurge Pictures, Nickelodeon Movies, MTV Films and Paramount Television brands.

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