Comparing Scripps Networks Interactive (SNI) and LIN Media (TVL)

Scripps Networks Interactive (NASDAQ: SNI) and LIN Media (NYSE:TVL) are both cyclical consumer goods & services companies, but which is the superior business? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, earnings, institutional ownership and dividends.

Dividends

Scripps Networks Interactive pays an annual dividend of $0.85 per share and has a dividend yield of 1.1%. LIN Media does not pay a dividend. Scripps Networks Interactive pays out 18.2% of its earnings in the form of a dividend.

Earnings and Valuation

This table compares Scripps Networks Interactive and LIN Media’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio NetIncome Earnings Per Share Price/Earnings Ratio
Scripps Networks Interactive $3.40 billion 3.02 $673.59 million $4.67 16.96
LIN Media N/A N/A N/A $2.87 N/A

Scripps Networks Interactive has higher revenue and earnings than LIN Media. LIN Media is trading at a lower price-to-earnings ratio than Scripps Networks Interactive, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Scripps Networks Interactive and LIN Media’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Scripps Networks Interactive 19.76% 19.20% 10.07%
LIN Media N/A N/A N/A

Analyst Recommendations

This is a breakdown of current ratings and price targets for Scripps Networks Interactive and LIN Media, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Scripps Networks Interactive 0 13 3 0 2.19
LIN Media 0 0 0 0 N/A

Scripps Networks Interactive currently has a consensus target price of $85.25, suggesting a potential upside of 7.67%.

Institutional and Insider Ownership

74.0% of Scripps Networks Interactive shares are owned by institutional investors. 2.5% of Scripps Networks Interactive shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

Scripps Networks Interactive beats LIN Media on 9 of the 10 factors compared between the two stocks.

About Scripps Networks Interactive

Scripps Networks Interactive, Inc. is a developer of lifestyle-oriented content, providing primarily home, food, travel and other lifestyle-related programing. The Company’s content is distributed through multiple methods, including television, the Internet, digital platforms and licensing arrangements. The Company’s segments include U.S. Networks, International Networks, and Corporate and Other. As of December 31, 2016, the Company’s U.S. Networks segment consisted of six national television networks: HGTV, Food Network, Travel Channel, DIY Network, Cooking Channel and Great American Country. The Company’s International Networks includes the TVN S.A. (TVN) portfolio of networks and other lifestyle-oriented networks available in the United Kingdom, other European markets, the Middle East and Africa (EMEA), Asia Pacific (APAC) and Latin America. In addition to the broadcast networks, it also licenses a portion of its programing to other broadcasters around the world.

About LIN Media

LIN Media LLC (LIN Media) is a local multimedia company. The Company operates or services 43 television stations and seven digital channels in 23 of the United States markets, and a portfolio of Websites, applications and mobile products. Its television stations deliver local news, community service, and sports and entertainment programming to viewers, reaching 10.5% of homes owning televisions in the United States. In April 2013, it acquired a majority ownership position in HYFN. On July 30, 2013, LIN Media announced that it had completed its merger with LIN TV Corp., with LIN Media, as the surviving company in the merger. In February 2014, the Company acquired Federated Media Publishing, Inc.

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