Analyzing Spire (SR) & Engie (ENGIY)

Spire (NYSE: SR) and Engie (OTCMKTS:ENGIY) are both utilities companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, risk, valuation, dividends, institutional ownership, profitability and analyst recommendations.

Profitability

This table compares Spire and Engie’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Spire 11.37% 9.99% 3.16%
Engie N/A N/A N/A

Institutional and Insider Ownership

81.8% of Spire shares are owned by institutional investors. Comparatively, 0.2% of Engie shares are owned by institutional investors. 3.0% of Spire 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.

Earnings and Valuation

This table compares Spire and Engie’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Spire $1.74 billion 1.95 $161.60 million $3.56 19.76
Engie $73.46 billion 0.56 $1.61 billion N/A N/A

Engie has higher revenue and earnings than Spire.

Analyst Recommendations

This is a summary of recent ratings and target prices for Spire and Engie, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Spire 2 4 2 0 2.00
Engie 0 1 0 0 2.00

Spire presently has a consensus price target of $70.67, indicating a potential upside of 0.45%. Given Spire’s higher probable upside, equities analysts plainly believe Spire is more favorable than Engie.

Dividends

Spire pays an annual dividend of $2.25 per share and has a dividend yield of 3.2%. Engie pays an annual dividend of $0.33 per share and has a dividend yield of 2.0%. Spire pays out 63.2% of its earnings in the form of a dividend.

Volatility and Risk

Spire has a beta of 0.05, indicating that its share price is 95% less volatile than the S&P 500. Comparatively, Engie has a beta of 0.96, indicating that its share price is 4% less volatile than the S&P 500.

Summary

Spire beats Engie on 9 of the 13 factors compared between the two stocks.

About Spire

Spire Inc., through its subsidiaries, engages in the purchase, retail distribution, and sale of natural gas to residential, commercial, industrial, and other end-users of natural gas customers in the United States. It operates through two segments, Gas Utility and Gas Marketing. The company is also involved in marketing natural gas and provides energy services on non-regulated basis to on-system utility transportation customers, as well as to retail and wholesale customers. In addition, it engages in the transportation of propane through its propane pipeline; compression of natural gas; risk management; and other activities. The company was formerly known as The Laclede Group, Inc. and changed its name to Spire Inc. in April 2016. Spire Inc. was founded in 1857 and is based in St. Louis, Missouri.

About Engie

ENGIE SA engages in power, natural gas, and energy services businesses. The company operates through North America, Latin America, Africa/Asia, Benelux, France, Europe excluding France & Benelux, Infrastructures Europe, GEM & LNG, and Other segments. It engages in the generation and sale of power through nuclear, thermal, and biomass resources; and seawater desalination activities, as well as offers engineering services in the areas of energy, hydraulics, and infrastructure. The company also provides energy sales and services for buildings and industry, cities and regions, and major infrastructures, as well as to individual and professional customers; and operates natural gas transportation, storage, and distribution networks and facilities, and LNG terminals primarily in France and Germany, as well as sells access rights to these infrastructures to third parties. In addition, it is involved in the development, construction, financing, operation, and maintenance of various renewable power generation assets, including hydraulic, wind, and photovoltaic; design, financing, building, and operation of decentralized energy production and distribution facilities; and design of cryogenic membrane confinement systems for sea transportation and storage of LNG on land and at sea. The company was formerly known as GDF SUEZ S.A. and changed its name to ENGIE SA in April 2015. ENGIE SA was founded in 1880 and is headquartered in Courbevoie, France.

Receive News & Ratings for Spire Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Spire and related companies with MarketBeat.com's FREE daily email newsletter.




Leave a Reply