Comcast Vs. Dish: Who’s More Leveraged?

• The comparison reveals that Dish Network is much more leveraged than Comcast.
• Dish Network has been a lot more aggressive in financing its growth and spectrum purchases through debt and a notable portion of its assets appear to have been generated through debt.
• In fact, the company’s debt is almost three times as much as its total assets, with negative book value of equity due to accumulated retained earnings deficit.
• On the other hand, Comcast has created only 30% of its $170 billion assets through debt.
• For perspective, comparing the debt/equity (D/E) ratio for both the companies compared to the industry average, reveals that while Dish’s D/E ratio is 100% higher than that of the industry, Comcast’s is at half of the average.
• This suggests that Comcast can raise debt relatively easily, if and when it needs to finance its growth.
• On the other hand, Dish’s earnings appear extremely volatile thanks to its high D/E ratio.

See our complete analysis for Comcast

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