Endesa (OTCMKTS:ELEZF) & Entergy (NYSE:ETR) Head-To-Head Survey

Entergy (NYSE:ETR) and Endesa (OTCMKTS:ELEZF) are both utilities companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, earnings, profitability and risk.

Valuation & Earnings

This table compares Entergy and Endesa”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Entergy	$12.95 billion	3.87	$1.77 billion	$3.90	27.54
Endesa	N/A	N/A	N/A	$1.46	33.60

Entergy has higher revenue and earnings than Endesa. Entergy is trading at a lower price-to-earnings ratio than Endesa, indicating that it is currently the more affordable of the two stocks.

Dividends

Entergy pays an annual dividend of $2.56 per share and has a dividend yield of 2.4%. Endesa pays an annual dividend of $1.19 per share and has a dividend yield of 2.4%. Entergy pays out 65.6% of its earnings in the form of a dividend. Endesa pays out 81.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Entergy has raised its dividend for 10 consecutive years.

Profitability

This table compares Entergy and Endesa’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Entergy	13.40%	10.53%	2.46%
Endesa	N/A	N/A	N/A

Insider & Institutional Ownership

88.1% of Entergy shares are held by institutional investors. Comparatively, 7.1% of Endesa shares are held by institutional investors. 0.2% of Entergy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings and target prices for Entergy and Endesa, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Entergy	1	2	17	0	2.80
Endesa	0	0	0	0	0.00

Entergy currently has a consensus price target of $121.05, indicating a potential upside of 12.70%. Given Entergy’s stronger consensus rating and higher probable upside, analysts clearly believe Entergy is more favorable than Endesa.

Summary

Entergy beats Endesa on 12 of the 14 factors compared between the two stocks.

About Entergy

Entergy Corporation, together with its subsidiaries, engages in the production and retail distribution of electricity in the United States. It generates, transmits, distributes, and sells electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, including the City of New Orleans; and distributes natural gas. It also engages in the ownership of interests in non-nuclear power plants that sell electric power to wholesale customers, as well as provides decommissioning services to other nuclear power plant owners. It generates electricity through gas, nuclear, coal, hydro, and solar power sources. The company sells energy to retail power providers, utilities, electric power co-operatives, power trading organizations, and other power generation companies. The company’s power plants have approximately 24,000 megawatts of electric generating capacity. It delivers electricity to 3 million utility customers in Arkansas, Louisiana, Mississippi, and Texas. Entergy Corporation was founded in 1913 and is headquartered in New Orleans, Louisiana.

About Endesa

Endesa, S.A. engages in the generation, distribution, and sale of electricity in Spain, Portugal, France, Germany, Morocco, Italy, the United Kingdom, Singapore, and internationally. The company generates electricity from various energy sources, such as hydroelectric, nuclear, thermal, wind, and solar. It also offers advisory services and technology relating to energy efficiency, distributed generation, and energy demand management; deploys structures for recharging electric vehicles, vehicle-to-grid, and second-life services for batteries; develops integrated services for local administrations, such as public lighting, smart city development, energy efficiency services, and solutions for connectivity; and provides energy producers with financial solutions, as well as provides engineering and construction activities for facilities related to the electricity business. As of December 31, 2023, it had an installed capacity of 21,247 MW in Spain; operates 319,136 km of distribution and transmission networks; and distributes electricity to 10,522 thousands customers and gas to 1,829 thousands customers. The company was formerly known as Empresa Nacional de Electricidad, S.A. and changed its name to Endesa, S.A. in June 1997. The company was incorporated in 1944 and is headquartered in Madrid, Spain. Endesa, S.A. operates as a subsidiary of Enel Iberia Srl.