Analyzing Iberdrola (OTCMKTS:IBDRY) and ENGIE (OTCMKTS:ENGIY)

Iberdrola (OTCMKTS:IBDRY) and ENGIE (OTCMKTS:ENGIY) are both large-cap utilities companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, valuation, dividends, profitability and analyst recommendations.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Iberdrola and ENGIE, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iberdrola	1	4	1	1	2.29
ENGIE	0	3	4	2	2.89

Dividends

Iberdrola pays an annual dividend of $1.80 per share and has a dividend yield of 2.0%. ENGIE pays an annual dividend of $1.15 per share and has a dividend yield of 3.6%. Iberdrola pays out 44.3% of its earnings in the form of a dividend.

Valuation & Earnings

This table compares Iberdrola and ENGIE”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Iberdrola	$51.52 billion	3.02	$7.11 billion	$4.06	22.66
ENGIE	$81.38 billion	0.99	$4.33 billion	N/A	N/A

Iberdrola has higher earnings, but lower revenue than ENGIE.

Profitability

This table compares Iberdrola and ENGIE’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iberdrola	13.40%	9.88%	3.81%
ENGIE	N/A	N/A	N/A

Risk and Volatility

Iberdrola has a beta of 0.66, indicating that its stock price is 34% less volatile than the S&P 500. Comparatively, ENGIE has a beta of 0.52, indicating that its stock price is 48% less volatile than the S&P 500.

Institutional and Insider Ownership

0.0% of Iberdrola shares are owned by institutional investors. 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.

Summary

Iberdrola beats ENGIE on 7 of the 13 factors compared between the two stocks.

About Iberdrola

Iberdrola, S.A. engages in the generation, transmission, distribution, and supply of electricity in Spain, the United Kingdom, the United States, Mexico, Brazil, Germany, France, and Australia. It generates electricity from renewable sources, such as onshore and offshore wind, hydro, photovoltaic, combined cycle gas, and conventional nuclear, as well as through batteries. The company is also involved in the purchase and sale of electricity and gas on wholesale markets; energy retail supply activities, such as gas and electricity, and other products and services, including hydrogen, as well as non-renewable generation; and production of green hydrogen. It has a total installed capacity of 62,871 MW. In addition, the company offers heat pumps, self-consumption, electric mobility, solar, etc. services to residential customers; and management of energy facilities, as well as supplies green H2, industrial heat, etc. to industrial customers. Iberdrola, S.A. was founded in 1840 and is based in Bilbao, Spain.

About ENGIE

ENGIE SA engages in the power, natural gas, and energy services businesses. It operates through Renewables, Networks, Energy Solutions, FlexGen, Retail, Nuclear, and Others segments. The Renewables segment comprises renewable energy generation activities, including financing, construction, operation, and maintenance of renewable energy facilities using various energy sources, such as hydroelectric, onshore wind, photovoltaic solar, offshore wind, and geothermal. The Networks segment comprises the electricity and gas infrastructure activities and projects, including the management and development of gas and electricity transportation networks and natural gas distribution networks in and outside of Europe, natural gas underground storage in Europe, and regasification infrastructure in France and Chile. The Energy Solutions encompasses the construction and management of decentralized energy networks to produce energy and related services. The FlexGen segment operates flexible thermal generation and electricity, pumping, and battery storage facilities; solutions for decarbonizing industry with low-carbon hydrogen; and financing, construction, and operation of desalination plants. The Retail segment engages in the sale of gas and electricity to professional, individual, and residential clients. The Nuclear segment engages in the nuclear power generation activities. The others segment sells energy to companies and offers energy management services and solutions. The company was formerly known as GDF SUEZ S.A. and changed its name to ENGIE SA in April 2015. The company was founded in 1880 and is headquartered in Courbevoie, France.