Analyzing Alliant Energy (NASDAQ:LNT) and Centuri (NYSE:CTRI)

Alliant Energy (NASDAQ:LNT) and Centuri (NYSE:CTRI) are both utilities companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, institutional ownership, earnings, risk and valuation.

Profitability

This table compares Alliant Energy and Centuri’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Alliant Energy	18.58%	11.37%	3.38%
Centuri	0.98%	5.64%	1.81%

Institutional & Insider Ownership

79.9% of Alliant Energy shares are held by institutional investors. 0.3% of Alliant Energy shares are held by company insiders. Comparatively, 0.3% of Centuri shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Volatility and Risk

Alliant Energy has a beta of 0.56, meaning that its share price is 44% less volatile than the S&P 500. Comparatively, Centuri has a beta of 1.06, meaning that its share price is 6% more volatile than the S&P 500.

Earnings and Valuation

This table compares Alliant Energy and Centuri”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Alliant Energy	$4.36 billion	4.32	$810.00 million	$3.19	22.87
Centuri	$2.98 billion	1.01	$22.40 million	$0.34	87.67

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

Analyst Recommendations

This is a breakdown of current ratings for Alliant Energy and Centuri, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Alliant Energy	0	4	9	0	2.69
Centuri	2	1	2	0	2.00

Alliant Energy currently has a consensus target price of $76.60, indicating a potential upside of 4.97%. Centuri has a consensus target price of $37.80, indicating a potential upside of 26.81%. Given Centuri’s higher possible upside, analysts clearly believe Centuri is more favorable than Alliant Energy.

Summary

Alliant Energy beats Centuri on 10 of the 14 factors compared between the two stocks.

About Alliant Energy

Alliant Energy Corporation operates as a utility holding company that provides regulated electricity and natural gas services in the United States. It operates in three segments: Utility Electric Operations, Utility Gas Operations, and Utility Other. The company, through its subsidiary, Interstate Power and Light Company (IPL), primarily generates and distributes electricity, and distributes and transports natural gas to retail customers in Iowa; sells electricity to wholesale customers in Minnesota, Illinois, and Iowa; and generates and distributes steam in Cedar Rapids, Iowa. Alliant Energy Corporation, through its other subsidiary, Wisconsin Power and Light Company (WPL), generates and distributes electricity, and distributes and transports natural gas to retail customers in Wisconsin; and sells electricity to wholesale customers in Wisconsin. It serves retail customers in the farming, agriculture, industrial manufacturing, chemical, packaging, and food industries, as well as wholesale customers comprising municipalities and rural electric cooperatives. In addition, the company owns and operates a short-line rail freight service in Iowa; a Mississippi River barge, rail, and truck freight terminal in Illinois; freight brokerage services; wind turbine blade recycling services; and a rail-served warehouse in Iowa. Further, it holds interests in a natural gas-fired electric generating unit near Sheboygan Falls, Wisconsin; and a wind farm located in Oklahoma. The company was formerly known as Interstate Energy Corp. and changed its name to Alliant Energy Corporation in May 1999. Alliant Energy Corporation was incorporated in 1981 and is headquartered in Madison, Wisconsin.

About Centuri

Centuri Holdings, Inc. operates as a utility infrastructure services company in North America. It offers gas utility services, including maintenance, repair, installation, and replacement services for natural gas local distribution utility companies with focus on the modernization of infrastructure. The company also provides electric utility services comprising design, maintenance and repair, upgrade, and expansion services for transmission and distribution infrastructure. Its customers include electric, gas, and combination utility companies, as well as serves end markets, such as renewable energy and 5G datacom. The company was founded in 1909 and is headquartered in Phoenix, Arizona. Centuri Holdings, Inc. is a subsidiary of Southwest Gas Holdings, Inc.