Nextera Energy Partners (NYSE:NEP – Get Free Report) and Portland General Electric (NYSE:POR – Get Free Report) are both oils/energy companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.
Analyst Ratings
This is a breakdown of recent recommendations and price targets for Nextera Energy Partners and Portland General Electric, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Nextera Energy Partners | 2 | 0 | 0 | 0 | 1.00 |
Portland General Electric | 1 | 5 | 3 | 0 | 2.22 |
Nextera Energy Partners presently has a consensus target price of $10.00, indicating a potential upside of 0.00%. Portland General Electric has a consensus target price of $46.44, indicating a potential upside of 8.47%. Given Portland General Electric’s stronger consensus rating and higher probable upside, analysts plainly believe Portland General Electric is more favorable than Nextera Energy Partners.
Earnings and Valuation
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Nextera Energy Partners | $1.23 billion | 0.00 | -$10.00 million | ($0.10) | N/A |
Portland General Electric | $2.92 billion | 1.54 | $228.00 million | $3.35 | 12.78 |
Portland General Electric has higher revenue and earnings than Nextera Energy Partners. Nextera Energy Partners is trading at a lower price-to-earnings ratio than Portland General Electric, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Nextera Energy Partners and Portland General Electric’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Nextera Energy Partners | -0.73% | 1.34% | 0.85% |
Portland General Electric | 10.30% | 10.28% | 3.09% |
Insider & Institutional Ownership
66.0% of Nextera Energy Partners shares are held by institutional investors. 0.1% of Nextera Energy Partners shares are held by company insiders. Comparatively, 0.5% of Portland General Electric shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Dividends
Nextera Energy Partners pays an annual dividend of $3.67 per share. Portland General Electric pays an annual dividend of $2.00 per share and has a dividend yield of 4.7%. Nextera Energy Partners pays out -3,670.0% of its earnings in the form of a dividend. Portland General Electric pays out 59.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Risk & Volatility
Nextera Energy Partners has a beta of 1.03, indicating that its share price is 3% more volatile than the S&P 500. Comparatively, Portland General Electric has a beta of 0.61, indicating that its share price is 39% less volatile than the S&P 500.
Summary
Portland General Electric beats Nextera Energy Partners on 12 of the 15 factors compared between the two stocks.
About Nextera Energy Partners
NextEra Energy Partners LP engages in the acquisition, management, and ownership of contracted clean energy projects with long-term cash flows. It owns interests in wind and solar projects in North America and natural gas infrastructure assets in Texas. The company was founded on March 6, 2014 and is headquartered in Juno Beach, FL.
About Portland General Electric
Portland General Electric Company, an integrated electric utility company, engages in the generation, wholesale purchase, transmission, distribution, and retail sale of electricity in the state of Oregon. It operates six thermal plants, three wind farms, and seven hydroelectric facilities. As of December 31, 2023, the company owned an electric transmission system consisting of 1,254 circuit miles, including 287 circuit miles of 500 kilovolt line, 413 circuit miles of 230 kilovolt line, and 554 miles of 115 kilovolt line; and served 934 thousand retail customers in 51 cities. It also has 28,868 circuit miles of distribution lines. Portland General Electric Company was founded in 1889 and is headquartered in Portland, Oregon.
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