Reviewing NorthWestern (NASDAQ:NWE) & Electricité de France (OTCMKTS:ECIFY)

Electricité de France (OTCMKTS:ECIFY) and NorthWestern (NASDAQ:NWE) are both utilities companies, but which is the superior investment? We will compare the two companies based on the strength of their earnings, valuation, dividends, risk, institutional ownership, analyst recommendations and profitability.

Earnings & Valuation

This table compares Electricité de France and NorthWestern”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Electricité de France	$151.19 billion	0.35	-$18.90 billion	N/A	N/A
NorthWestern	$1.61 billion	2.69	$181.09 million	$2.77	25.45

NorthWestern has lower revenue, but higher earnings than Electricité de France.

Profitability

This table compares Electricité de France and NorthWestern’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Electricité de France	N/A	N/A	N/A
NorthWestern	10.13%	8.03%	2.73%

Volatility & Risk

Electricité de France has a beta of 1.26, meaning that its share price is 26% more volatile than the S&P 500. Comparatively, NorthWestern has a beta of 0.34, meaning that its share price is 66% less volatile than the S&P 500.

Institutional & Insider Ownership

96.1% of NorthWestern shares are owned by institutional investors. 0.6% of NorthWestern shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and target prices for Electricité de France and NorthWestern, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Electricité de France	0	0	0	0	0.00
NorthWestern	0	3	3	0	2.50

NorthWestern has a consensus price target of $73.30, indicating a potential upside of 3.99%. Given NorthWestern’s stronger consensus rating and higher probable upside, analysts clearly believe NorthWestern is more favorable than Electricité de France.

Summary

NorthWestern beats Electricité de France on 10 of the 12 factors compared between the two stocks.

About Electricité de France

Electricité de France S.A., an integrated energy company, engages in the power generation, transmission, distribution, supply, and trading activities in France, the United Kingdom, Italy, and internationally. The company generates electricity through nuclear, fossil fuel, hydro, solar, wind, biomass, biogas, thermal, and cogeneration plants. It also manages low and medium-voltage public electricity distribution networks; operates, maintains, and develops high-voltage and very-high-voltage electricity transmission networks; and services and produces equipment and fuel for nuclear reactors. In addition, the company is involved in commodity trading activities; and the provision of energy services, including district heating services, thermal energy services, etc. It serves approximately 38.5 million customers, including small businesses, local authorities, and industrial and residential customers. The company was founded in 1946 and is headquartered in Paris, France.

About NorthWestern

NorthWestern Energy Group, Inc. provides electricity and natural gas to residential, commercial, and various industrial customers. It generates, purchases, transmits, and distributes electricity; and produces, purchases, stores, transmits, and distributes natural gas, as well as owns municipal franchises to provide natural gas service in the communities. The company operates 6,600 miles of electric transmission and 18,674 miles of electric distribution lines with approximately 395 transmission and distribution substations; and 2,235 miles of natural gas transmission and 5,155 miles of natural gas distribution lines with approximately 133 city gate stations in Montana. It also operates 1,310 miles of electric transmission and 2,365 miles of electric distribution lines in South Dakota with approximately 124 transmission and distribution substations; and 55 miles of natural gas transmission and 2,573 miles of natural gas distribution lines in South Dakota and Nebraska. The company provides electricity and/or natural gas to approximately 775,300 customers in Montana, South Dakota, Nebraska, and Yellowstone National Park. NorthWestern Energy Group, Inc. was founded in 1923 and is based in Sioux Falls, South Dakota.