Polar Power (NASDAQ:POLA) and Tenaga Nasional Berhad (OTCMKTS:TNABY) Financial Analysis

Tenaga Nasional Berhad (OTCMKTS:TNABY) and Polar Power (NASDAQ:POLA) are both utilities companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, dividends, valuation, profitability, institutional ownership, risk and analyst recommendations.

Risk & Volatility

Tenaga Nasional Berhad has a beta of -0.44, indicating that its stock price is 144% less volatile than the S&P 500. Comparatively, Polar Power has a beta of 1.39, indicating that its stock price is 39% more volatile than the S&P 500.

Earnings & Valuation

This table compares Tenaga Nasional Berhad and Polar Power”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tenaga Nasional Berhad	N/A	N/A	N/A	$0.44	33.30
Polar Power	$8.33 million	0.62	-$4.68 million	($2.24)	-0.87

Tenaga Nasional Berhad has higher earnings, but lower revenue than Polar Power. Polar Power is trading at a lower price-to-earnings ratio than Tenaga Nasional Berhad, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Tenaga Nasional Berhad and Polar Power, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tenaga Nasional Berhad	0	0	0	0	0.00
Polar Power	1	0	0	0	1.00

Institutional & Insider Ownership

26.1% of Polar Power shares are owned by institutional investors. 30.8% of Polar Power shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Tenaga Nasional Berhad and Polar Power’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tenaga Nasional Berhad	N/A	N/A	N/A
Polar Power	-104.14%	-135.21%	-55.02%

About Tenaga Nasional Berhad

Tenaga Nasional Berhad engages in the generation, transmission, distribution, and sale of electricity in Malaysia and internationally. The company operates and maintains thermal generation facilities and hydroelectric power generating schemes; and manages and operates the National Grid that is connected to Thailand's transmission system, as well as Singapore's transmission system at Senoko. It also supplies fuel and coal for power generation; generates, distributes, supplies, deals in, and sells various energy sources, as well as provides related technical services; develops district cooling systems; operates and maintains co-generation works; manufactures, sells, and repairs distribution, power, and earthing transformers; and develops, owns, and manages dry bulk terminals. In addition, the company provides turnkey contracting of transmission substations; repair and maintenance services to heavy industries and other related services; operation and maintenance services on telecommunication equipment and data centres; higher education, and telecommunication and IT infrastructure solution and services; research and development services in the areas of engineering, information technology, business, accountancy, and liberal studies; and training courses. Further, it offers insurance and reinsurance products, technical and laboratory, consultancy, and other services; manufactures and distributes power and general cables, and aluminum rods; operates an integrated district cooling systems for air conditioning systems of office buildings; assembles, manufactures, tests, reconditions, and distributes high and medium voltage switchgears, and control gears for transmission and distribution of electric power; and operates wind assets. It primarily serves commercial, industrial, and residential customers. The company was founded in 1949 and is headquartered in Kuala Lumpur, Malaysia.

About Polar Power

Polar Power, Inc. designs, manufactures, and sells direct current (DC) power generators, renewable energy, and cooling systems in the United States and internationally. The company offers DC base power systems, DC hybrid power systems, DC solar hybrid power systems, and mobile power systems. Its DC power systems are available in diesel, natural gas, LPG/propane, and renewable fuel formats. It serves customers in the telecommunications, military, commercial, industrial, and marine markets. In addition, the company sells its products through a direct sales force, and independent service providers and dealers. The company was formerly known as Polar Products, Inc. and changed its name to Polar Power, Inc. in October 1991. Polar Power, Inc. was incorporated in 1979 and is based in Gardena, California.