DTE Energy (NYSE:DTE) vs. ReNew Energy Global (NASDAQ:RNW) Financial Analysis

ReNew Energy Global (NASDAQ:RNW) and DTE Energy (NYSE:DTE) are both oils/energy companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, earnings, dividends, institutional ownership and profitability.

Profitability

This table compares ReNew Energy Global and DTE Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ReNew Energy Global	1.53%	1.23%	0.17%
DTE Energy	11.18%	12.18%	2.95%

Volatility and Risk

ReNew Energy Global has a beta of 0.92, meaning that its stock price is 8% less volatile than the S&P 500. Comparatively, DTE Energy has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500.

Valuation and Earnings

This table compares ReNew Energy Global and DTE Energy”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ReNew Energy Global	$82.88 billion	0.03	$41.00 million	$0.12	52.17
DTE Energy	$12.40 billion	2.10	$1.40 billion	$6.11	20.55

DTE Energy has lower revenue, but higher earnings than ReNew Energy Global. DTE Energy is trading at a lower price-to-earnings ratio than ReNew Energy Global, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings for ReNew Energy Global and DTE Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ReNew Energy Global	0	1	3	0	2.75
DTE Energy	0	4	9	0	2.69

ReNew Energy Global presently has a consensus target price of $8.67, indicating a potential upside of 38.45%. DTE Energy has a consensus target price of $128.17, indicating a potential upside of 2.09%. Given ReNew Energy Global’s stronger consensus rating and higher probable upside, analysts clearly believe ReNew Energy Global is more favorable than DTE Energy.

Institutional & Insider Ownership

43.6% of ReNew Energy Global shares are owned by institutional investors. Comparatively, 76.1% of DTE Energy shares are owned by institutional investors. 8.7% of ReNew Energy Global shares are owned by insiders. Comparatively, 0.6% of DTE Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

DTE Energy beats ReNew Energy Global on 8 of the 14 factors compared between the two stocks.

About ReNew Energy Global

ReNew Energy Global Plc generates power through non-conventional and renewable energy sources in India. The company operates through two segments: Wind Power and Solar Power. It develops, builds, owns, and operates utility scale wind and solar energy, hydro energy, and utility-scale firm power projects, as well as distributed solar energy projects that generate energy for commercial and industrial customers. The company provides engineering, procurement, and construction services; operation and maintenance services; consultancy services; and sells renewable energy certificates. ReNew Energy Global Plc was founded in 2011 and is based in London, the United Kingdom.

About DTE Energy

DTE Energy Company engages in the utility operations. The company's Electric segment generates, purchases, distributes, and sells electricity to various residential, commercial, and industrial customers in southeastern Michigan. It generates electricity through coal-fired plants, hydroelectric pumped storage, and nuclear plants, as well as wind and solar assets. This segment owns and operates distribution substations and line transformers. The company's Gas segment purchases, stores, transports, distributes, and sells natural gas to various residential, commercial, and industrial customers throughout Michigan; and sells storage and transportation capacity. Its DTE Vantage segment offers metallurgical and petroleum coke to steel and other industries; and power generation, steam production, chilled water production, and wastewater treatment services, as well as air supplies compressed air to industrial customers. Its Energy Trading segment engages in power, natural gas, and environmental marketing and trading; structured transactions; and the optimization of contracted natural gas pipeline transportation and storage positions. The company was founded in 1849 and is based in Detroit, Michigan.