Head-To-Head Comparison: Iberdrola (IBDRY) vs. Its Competitors

Iberdrola (OTCMKTS:IBDRY) is one of 105 public companies in the “Electric Utilities” industry, but how does it weigh in compared to its peers? We will compare Iberdrola to similar companies based on the strength of its risk, earnings, valuation, analyst recommendations, institutional ownership, dividends and profitability.

Analyst Ratings

This is a breakdown of current ratings and price targets for Iberdrola and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Iberdrola	0	5	4	0	2.44
Iberdrola Competitors	1429	6550	5527	145	2.32

As a group, “Electric Utilities” companies have a potential upside of 5.92%. Given Iberdrola’s peers higher possible upside, analysts clearly believe Iberdrola has less favorable growth aspects than its peers.

Earnings and Valuation

This table compares Iberdrola and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Iberdrola	$51.52 billion	$7.11 billion	21.87
Iberdrola Competitors	$14.11 billion	$1.54 billion	20.00

Iberdrola has higher revenue and earnings than its peers. Iberdrola is trading at a higher price-to-earnings ratio than its peers, indicating that it is currently more expensive than other companies in its industry.

Insider and Institutional Ownership

0.0% of Iberdrola shares are owned by institutional investors. Comparatively, 60.0% of shares of all “Electric Utilities” companies are owned by institutional investors. 6.2% of shares of all “Electric Utilities” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Dividends

Iberdrola pays an annual dividend of $3.00 per share and has a dividend yield of 3.0%. Iberdrola pays out 66.4% of its earnings in the form of a dividend. As a group, “Electric Utilities” companies pay a dividend yield of 3.2% and pay out 64.5% of their earnings in the form of a dividend. Iberdrola lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Profitability

This table compares Iberdrola and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Iberdrola	14.74%	9.56%	3.68%
Iberdrola Competitors	14.13%	9.68%	3.20%

Risk & Volatility

Iberdrola has a beta of 0.48, meaning that its stock price is 52% less volatile than the S&P 500. Comparatively, Iberdrola’s peers have a beta of -2.25, meaning that their average stock price is 325% less volatile than the S&P 500.

Summary

Iberdrola beats its peers on 8 of the 15 factors compared.

Iberdrola Company Profile

Iberdrola, S.A. engages in the generation, transmission, distribution, and supply of electricity in Spain, the United Kingdom, the United States, Mexico, Brazil, Germany, France, and Australia. It generates electricity from renewable sources, such as onshore and offshore wind, hydro, photovoltaic, combined cycle gas, and conventional nuclear, as well as through batteries. The company is also involved in the purchase and sale of electricity and gas on wholesale markets; energy retail supply activities, such as gas and electricity, and other products and services, including hydrogen, as well as non-renewable generation; and production of green hydrogen. It has a total installed capacity of 62,871 MW. In addition, the company offers heat pumps, self-consumption, electric mobility, solar, etc. services to residential customers; and management of energy facilities, as well as supplies green H2, industrial heat, etc. to industrial customers. Iberdrola, S.A. was founded in 1840 and is based in Bilbao, Spain.