Financial Review: ReNew Energy Global (NASDAQ:RNW) & Nextera Energy Partners (NYSE:NEP)
by Danessa Lincoln · The Markets DailyReNew Energy Global (NASDAQ:RNW – Get Free Report) and Nextera Energy Partners (NYSE:NEP – Get Free Report) are both oils/energy companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, profitability, valuation and risk.
Earnings and Valuation
This table compares ReNew Energy Global and Nextera Energy Partners”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| ReNew Energy Global | $86.14 billion | 0.03 | $41.00 million | $0.05 | 122.60 |
| Nextera Energy Partners | $1.23 billion | 0.00 | -$10.00 million | ($0.10) | N/A |
ReNew Energy Global has higher revenue and earnings than Nextera Energy Partners. Nextera Energy Partners 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.
Profitability
This table compares ReNew Energy Global and Nextera Energy Partners’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| ReNew Energy Global | 2.17% | 1.75% | 0.24% |
| Nextera Energy Partners | -0.73% | 1.34% | 0.85% |
Analyst Ratings
This is a breakdown of current ratings and recommmendations for ReNew Energy Global and Nextera Energy Partners, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| ReNew Energy Global | 0 | 1 | 1 | 0 | 2.50 |
| Nextera Energy Partners | 2 | 0 | 0 | 0 | 1.00 |
ReNew Energy Global currently has a consensus price target of $7.50, suggesting a potential upside of 22.35%. Nextera Energy Partners has a consensus price target of $10.00, suggesting a potential upside of 0.00%. Given ReNew Energy Global’s stronger consensus rating and higher probable upside, equities analysts plainly believe ReNew Energy Global is more favorable than Nextera Energy Partners.
Risk & Volatility
ReNew Energy Global has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500. Comparatively, Nextera Energy Partners has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500.
Institutional and Insider Ownership
43.6% of ReNew Energy Global shares are owned by institutional investors. Comparatively, 66.0% of Nextera Energy Partners shares are owned by institutional investors. 8.7% of ReNew Energy Global shares are owned by company insiders. Comparatively, 0.1% of Nextera Energy Partners shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Summary
ReNew Energy Global beats Nextera Energy Partners on 10 of the 13 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 Nextera Energy Partners
NextEra Energy Partners LP engages in the acquisition, management, and ownership of contracted clean energy projects with long-term cash flows. It owns interests in wind and solar projects in North America and natural gas infrastructure assets in Texas. The company was founded on March 6, 2014 and is headquartered in Juno Beach, FL.