Analyzing Engie Brasl Ega (OTCMKTS:EGIEY) & Alliant Energy (NASDAQ:LNT)

Alliant Energy (NASDAQ:LNT) and Engie Brasl Ega (OTCMKTS:EGIEY) are both utilities companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, profitability, dividends, analyst recommendations, risk, valuation and institutional ownership.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Alliant Energy and Engie Brasl Ega, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alliant Energy	0	5	9	0	2.64
Engie Brasl Ega	1	0	0	0	1.00

Alliant Energy currently has a consensus target price of $77.00, indicating a potential upside of 12.23%. Given Alliant Energy’s stronger consensus rating and higher possible upside, equities analysts clearly believe Alliant Energy is more favorable than Engie Brasl Ega.

Risk and Volatility

Alliant Energy has a beta of 0.54, meaning that its stock price is 46% less volatile than the S&P 500. Comparatively, Engie Brasl Ega has a beta of 0.34, meaning that its stock price is 66% less volatile than the S&P 500.

Earnings and Valuation

This table compares Alliant Energy and Engie Brasl Ega”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alliant Energy	$4.36 billion	4.08	$810.00 million	$3.16	21.71
Engie Brasl Ega	$2.30 billion	3.03	$462.59 million	$0.66	9.26

Alliant Energy has higher revenue and earnings than Engie Brasl Ega. Engie Brasl Ega is trading at a lower price-to-earnings ratio than Alliant Energy, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Alliant Energy and Engie Brasl Ega’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alliant Energy	18.45%	11.16%	3.31%
Engie Brasl Ega	29.35%	20.67%	5.11%

Dividends

Alliant Energy pays an annual dividend of $2.14 per share and has a dividend yield of 3.1%. Engie Brasl Ega pays an annual dividend of $0.15 per share and has a dividend yield of 2.5%. Alliant Energy pays out 67.7% of its earnings in the form of a dividend. Engie Brasl Ega pays out 22.7% 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. Alliant Energy has raised its dividend for 22 consecutive years. Alliant Energy is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider & Institutional Ownership

79.9% of Alliant Energy shares are owned by institutional investors. 0.3% of Alliant Energy shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Alliant Energy beats Engie Brasl Ega on 13 of the 17 factors compared between the two stocks.

About Alliant Energy

Alliant Energy Corporation operates as a utility holding company that provides regulated electricity and natural gas services in the United States. It operates in three segments: Utility Electric Operations, Utility Gas Operations, and Utility Other. The company, through its subsidiary, Interstate Power and Light Company (IPL), primarily generates and distributes electricity, and distributes and transports natural gas to retail customers in Iowa; sells electricity to wholesale customers in Minnesota, Illinois, and Iowa; and generates and distributes steam in Cedar Rapids, Iowa. Alliant Energy Corporation, through its other subsidiary, Wisconsin Power and Light Company (WPL), generates and distributes electricity, and distributes and transports natural gas to retail customers in Wisconsin; and sells electricity to wholesale customers in Wisconsin. It serves retail customers in the farming, agriculture, industrial manufacturing, chemical, packaging, and food industries, as well as wholesale customers comprising municipalities and rural electric cooperatives. In addition, the company owns and operates a short-line rail freight service in Iowa; a Mississippi River barge, rail, and truck freight terminal in Illinois; freight brokerage services; wind turbine blade recycling services; and a rail-served warehouse in Iowa. Further, it holds interests in a natural gas-fired electric generating unit near Sheboygan Falls, Wisconsin; and a wind farm located in Oklahoma. The company was formerly known as Interstate Energy Corp. and changed its name to Alliant Energy Corporation in May 1999. Alliant Energy Corporation was incorporated in 1981 and is headquartered in Madison, Wisconsin.

About Engie Brasl Ega

Engie Brasil Energia S.A., together with its subsidiaries, generates, sells, and trades in electrical energy in Brazil. The company operates 76 plants, including 11 hydroelectric power plants; 1 thermal power plants; 50 wind farms; 3 biomass; 9 photovoltaic and solar power plant; and 2 small hydroelectric plants. As of December 31, 2022, it had an installed capacity of 8,453.3 megawatts. The company also transports natural gas through 4,500 km of gas pipelines. In addition, it manufactures, wholesales, retails, operates, and maintains solar panels. The company was formerly known as Tractebel Energia S.A. and changed its name to Engie Brasil Energia S.A. in July 2016. The company was founded in 2005 and is headquartered in Florianópolis, Brazil. Engie Brasil Energia S.A. operates as a subsidiary of ENGIE Brasil Participações Ltda.