Head-To-Head Analysis: WEC Energy Group (NYSE:WEC) versus Hawaiian Electric Industries (NYSE:HE)

WEC Energy Group (NYSE:WEC) and Hawaiian Electric Industries (NYSE:HE) are both utilities companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, profitability, institutional ownership, dividends, earnings, valuation and risk.

Earnings & Valuation

This table compares WEC Energy Group and Hawaiian Electric Industries”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WEC Energy Group	$9.80 billion	3.78	$1.56 billion	$4.83	23.57
Hawaiian Electric Industries	$3.09 billion	0.82	$126.28 million	$0.71	20.57

WEC Energy Group has higher revenue and earnings than Hawaiian Electric Industries. Hawaiian Electric Industries is trading at a lower price-to-earnings ratio than WEC Energy Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares WEC Energy Group and Hawaiian Electric Industries’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WEC Energy Group	15.90%	12.40%	3.45%
Hawaiian Electric Industries	4.09%	9.82%	1.75%

Risk & Volatility

WEC Energy Group has a beta of 0.58, suggesting that its share price is 42% less volatile than the S&P 500. Comparatively, Hawaiian Electric Industries has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500.

Institutional & Insider Ownership

77.2% of WEC Energy Group shares are owned by institutional investors. Comparatively, 59.9% of Hawaiian Electric Industries shares are owned by institutional investors. 0.5% of WEC Energy Group shares are owned by insiders. Comparatively, 0.2% of Hawaiian Electric Industries shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for WEC Energy Group and Hawaiian Electric Industries, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WEC Energy Group	1	8	8	1	2.50
Hawaiian Electric Industries	1	3	0	0	1.75

WEC Energy Group currently has a consensus price target of $120.67, indicating a potential upside of 6.00%. Hawaiian Electric Industries has a consensus price target of $13.25, indicating a potential downside of 9.27%. Given WEC Energy Group’s stronger consensus rating and higher possible upside, equities analysts plainly believe WEC Energy Group is more favorable than Hawaiian Electric Industries.

Summary

WEC Energy Group beats Hawaiian Electric Industries on 14 of the 15 factors compared between the two stocks.

About WEC Energy Group

WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. It operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructure segments. The company generates and distributes electricity from coal, natural gas, oil, and nuclear, as well as renewable energy resources, including wind, solar, hydroelectric, and biomass; and distributes and transports natural gas. It also owns, maintains, monitors, and operates electric transmission systems; and generates, distributes, and sells steam. As of December 31, 2023, the company operated approximately 35,500 miles of overhead distribution lines and 36,500 miles of underground distribution cables, as well as 430 electric distribution substations and 523,700 line transformers; approximately 46,400 miles of natural gas distribution mains; 1,700 miles of natural gas transmission mains; 2.4 million natural gas lateral services; 490 natural gas distribution and transmission gate stations; and 69.3 billion cubic feet of working gas capacities in underground natural gas storage fields. The company was formerly known as Wisconsin Energy Corporation and changed its name to WEC Energy Group, Inc. in June 2015. WEC Energy Group, Inc. was founded in 1896 and is headquartered in Milwaukee, Wisconsin.

About Hawaiian Electric Industries

Hawaiian Electric Industries, Inc., together with its subsidiaries, engages in the electric utility businesses in the United States. It operates in three segments: Electric Utility, Bank, and Other. The Electric Utility segment engages in the production, purchase, transmission, distribution, and sale of electricity in the islands of Oahu, Hawaii, Maui, Lanai, and Molokai. Its renewable energy sources and potential sources include wind, solar, photovoltaic, geothermal, wave, hydroelectric, municipal waste, and other biofuels. This segment serves suburban communities, resorts, the United States Armed Forces installations, and agricultural operations. The Bank segment operates a federally chartered savings bank that offers banking and other financial services to consumers and businesses, including savings and checking accounts; and loans comprising residential and commercial real estate, residential mortgage, construction and development, multifamily residential and commercial real estate, consumer, and commercial loans. The Other segment invests in non-regulated renewable energy and sustainable infrastructure in the State of Hawaii. Hawaiian Electric Industries, Inc. was founded in 1891 and is headquartered in Honolulu, Hawaii.