Analyzing Enel (OTCMKTS:ENLAY) & Enlight Renewable Energy (NASDAQ:ENLT)

Enlight Renewable Energy (NASDAQ:ENLT) and Enel (OTCMKTS:ENLAY) are both oils/energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, dividends, earnings, profitability, valuation, institutional ownership and risk.

Insider & Institutional Ownership

38.9% of Enlight Renewable Energy shares are owned by institutional investors. 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.

Profitability

This table compares Enlight Renewable Energy and Enel’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Enlight Renewable Energy	18.61%	3.97%	1.25%
Enel	N/A	N/A	N/A

Analyst Recommendations

This is a summary of current ratings for Enlight Renewable Energy and Enel, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Enlight Renewable Energy	0	2	2	0	2.50
Enel	0	1	1	1	3.00

Enlight Renewable Energy presently has a consensus target price of $18.75, suggesting a potential upside of 13.43%. Given Enlight Renewable Energy’s higher possible upside, equities analysts plainly believe Enlight Renewable Energy is more favorable than Enel.

Risk and Volatility

Enlight Renewable Energy has a beta of 1.69, meaning that its share price is 69% more volatile than the S&P 500. Comparatively, Enel has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500.

Valuation and Earnings

This table compares Enlight Renewable Energy and Enel”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Enlight Renewable Energy	$307.24 million	6.22	$70.92 million	$0.51	32.41
Enel	$103.42 billion	0.78	$3.72 billion	N/A	N/A

Enel has higher revenue and earnings than Enlight Renewable Energy.

Summary

Enlight Renewable Energy beats Enel on 8 of the 12 factors compared between the two stocks.

About Enlight Renewable Energy

Enlight Renewable Energy Ltd operates a renewable energy platform in Israel, Central-Eastern Europe, Western Europe, and the United States. The company develops, finances, constructs, owns, and operates utility-scale renewable energy projects. It develops wind energy and solar energy projects, as well as energy storage projects. The company was incorporated in 1981 and is headquartered in Rosh Haayin, Israel.

About Enel

Enel SpA operates as an integrated operator in electricity and gas industries worldwide. It generates, distributes, transmits, and sells electricity; transports and markets natural gas; and constructs and operates generation plants and distribution grids. The company also provides energy management services; e-vehicle charging infrastructure for public and private customers; and engages in the energy commodities business. It operates wind, thermal, hydroelectric, nuclear, solar photovoltaic, and geothermal power plants. The company was founded in 1962 and is headquartered in Rome, Italy.