Corus Entertainment (OTCMKTS:CJREF) and fuboTV (NYSE:FUBO) Critical Analysis

fuboTV (NYSE:FUBO) and Corus Entertainment (OTCMKTS:CJREF) are both small-cap consumer discretionary companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, dividends, earnings, profitability and institutional ownership.

Analyst Ratings

This is a summary of current ratings and target prices for fuboTV and Corus Entertainment, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
fuboTV	1	1	5	2	2.89
Corus Entertainment	0	0	0	0	0.00

fuboTV currently has a consensus price target of $16.50, indicating a potential upside of 63.25%. Given fuboTV’s stronger consensus rating and higher probable upside, analysts plainly believe fuboTV is more favorable than Corus Entertainment.

Insider & Institutional Ownership

39.3% of fuboTV shares are held by institutional investors. 74.3% of fuboTV shares are held by insiders. Comparatively, 3.5% of Corus Entertainment shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares fuboTV and Corus Entertainment”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
fuboTV	$377.20 million	0.79	-$18.87 million	($1.27)	-7.96
Corus Entertainment	$807.48 million	0.01	-$235.20 million	($1.10)	-0.02

fuboTV has higher earnings, but lower revenue than Corus Entertainment. fuboTV is trading at a lower price-to-earnings ratio than Corus Entertainment, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

fuboTV has a beta of 2.41, meaning that its share price is 141% more volatile than the S&P 500. Comparatively, Corus Entertainment has a beta of 1.23, meaning that its share price is 23% more volatile than the S&P 500.

Profitability

This table compares fuboTV and Corus Entertainment’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
fuboTV	-0.90%	-5.52%	-0.99%
Corus Entertainment	-29.76%	N/A	-4.93%

Summary

fuboTV beats Corus Entertainment on 11 of the 15 factors compared between the two stocks.

About fuboTV

fuboTV, Inc. engages in providing subscription to sports, news, and entertainment content. It offers its services through streaming devices and on television, mobile phones, tablets, and computers. The company was founded by David Gandler, Alberto Horihuela Suarez, and Sung Ho Choi on February 20, 2009 and is headquartered in New York, NY.

About Corus Entertainment

Corus Entertainment Inc., a media and content company, operates specialty and conventional television networks, and radio stations in Canada and internationally. It operates in two segments, Television and Radio. The Television segment consists of specialty television networks, conventional television stations, digital and streaming platforms, a social digital agency, and a social media creator network; and provides technology and media services. This segment also engages in the production and distribution of films and television programs; merchandise licensing and book publishing activities; and provision of advertising services, subscriptions, and the licensing of proprietary films and television programs, as well as production services. The Radio segment operates radio stations that include a network of news/talk radio stations, as well as classic hits, rock, country, and hot adult contemporary radio formats. The company produces and distributes children’s animated content and consumer products; owns Nelvana, Corus Studios, Aircraft Pictures, Kid Can Press, so.da, and Kin Community Canada, and Quay Media Services; and operates companion websites, digital and streaming platforms, and applications that are related to its brands. Corus Entertainment Inc. was incorporated in 1998 and is headquartered in Toronto, Canada.