Critical Analysis: Millicom International Cellular (OTCMKTS:MICCF) and Charge Enterprises (NASDAQ:CRGE)

Profitability

This table compares Charge Enterprises and Millicom International Cellular’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Charge Enterprises	-5.76%	-136.79%	-20.11%
Millicom International Cellular	N/A	N/A	N/A

Earnings and Valuation

This table compares Charge Enterprises and Millicom International Cellular”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Charge Enterprises	$641.37 million	0.11	-$30.35 million	($0.20)	-1.64
Millicom International Cellular	N/A	N/A	N/A	$26.53	0.70

Millicom International Cellular has lower revenue, but higher earnings than Charge Enterprises. Charge Enterprises is trading at a lower price-to-earnings ratio than Millicom International Cellular, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

21.2% of Charge Enterprises shares are held by institutional investors. Comparatively, 38.6% of Millicom International Cellular shares are held by institutional investors. 25.2% of Charge Enterprises shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Millicom International Cellular beats Charge Enterprises on 6 of the 8 factors compared between the two stocks.

About Charge Enterprises

Charge Enterprises Inc. operates as an electrical, broadband, and electric vehicle (EV) charging infrastructure company. The company provides clients with end-to-end project management services, including advising, designing, engineering, acquiring and installing equipment, monitoring, servicing, and maintenance. It operates in two segments, Infrastructure and Telecommunications. The Infrastructure segment offers broadband and wireless, electrical contracting, electric vehicle charging, and fleet services. The Telecommunications segment provides internet-protocol-based and time-division multiplexing access for transport of long-distance voice and data minutes; domestic switching and related peripheral equipment services, and carrier-grade routers and switches for internet and circuit-based services, as well as connection of voice calls and data services. The company was formerly known as TransWorld Holdings Inc and changed its name to Charge Enterprises, Inc. in January 2021. Charge Enterprises, Inc. was incorporated in 2003 and is based in New York, New York. On March 7, 2024, Charge Enterprises, Inc. filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the District of Delaware.

About Millicom International Cellular

Millicom International Cellular SA engages in the cable and mobile services. It operates through the Latin America and Africa geographical segments. The Latin America segment includes the Guatemala and Honduras joint ventures. The Africa segment comprises of the operations in Tanzania. The company was founded on December 14, 1990 and is headquartered in Luxembourg.