Brookfield Infrastructure (NASDAQ:BIPC – Get Free Report) and Naturgy Energy Group (OTCMKTS:GASNY – Get Free Report) are both utilities companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, risk, valuation, earnings, analyst recommendations, profitability and dividends.
Dividends
Brookfield Infrastructure pays an annual dividend of $1.53 per share and has a dividend yield of 3.3%. Naturgy Energy Group pays an annual dividend of $0.31 per share and has a dividend yield of 5.1%. Brookfield Infrastructure pays out 106.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Naturgy Energy Group pays out 99.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brookfield Infrastructure has increased its dividend for 1 consecutive years. Naturgy Energy Group is clearly the better dividend stock, given its higher yield and lower payout ratio.
Valuation and Earnings
This table compares Brookfield Infrastructure and Naturgy Energy Group’s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Brookfield Infrastructure | $1.92 billion | 2.67 | $159.38 million | $1.44 | 32.21 |
| Naturgy Energy Group | N/A | N/A | N/A | $0.31 | 19.55 |
Profitability
This table compares Brookfield Infrastructure and Naturgy Energy Group’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Brookfield Infrastructure | N/A | N/A | N/A |
| Naturgy Energy Group | N/A | N/A | N/A |
Institutional and Insider Ownership
70.7% of Brookfield Infrastructure shares are owned by institutional investors. Comparatively, 0.0% of Naturgy Energy Group shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.
Analyst Ratings
This is a summary of current ratings and target prices for Brookfield Infrastructure and Naturgy Energy Group, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Brookfield Infrastructure | 0 | 0 | 1 | 0 | 3.00 |
| Naturgy Energy Group | 1 | 0 | 0 | 0 | 1.00 |
Brookfield Infrastructure currently has a consensus price target of $48.00, indicating a potential upside of 3.49%. Naturgy Energy Group has a consensus price target of $25.00, indicating a potential upside of 309.17%. Given Naturgy Energy Group’s higher probable upside, analysts clearly believe Naturgy Energy Group is more favorable than Brookfield Infrastructure.
Summary
Brookfield Infrastructure beats Naturgy Energy Group on 7 of the 10 factors compared between the two stocks.
About Brookfield Infrastructure
Brookfield Infrastructure Corporation, together with its subsidiaries, owns and operates regulated natural gas transmission systems in Brazil. The company also engages in the regulated gas and electricity distribution operations in the United Kingdom; and electricity transmission and distribution, as well as gas distribution in Australia. It operates approximately 2,000 kilometers of natural gas transportation pipelines in the states of Rio de Janeiro, Sao Paulo, and Minas Gerais; 4.3 million gas and electricity connections; and 60,000 kilometers of operational electricity transmission and distribution lines in Australia. The company was incorporated in 2019 and is headquartered in New York, New York. Brookfield Infrastructure Corporation is a subsidiary of Brookfield Infrastructure Partners L.P.
About Naturgy Energy Group
Naturgy Energy Group, S.A., together with its subsidiaries, engages in the supply, liquefaction, regasification, transport, storage, distribution, and sale of natural gas. It operates through Energy and Network Management, Renewables and New Business, Supply, and Rest segments. The company engages in the regulated gas and electricity distribution; sale of liquefied natural gas and the sea transport business; management of the gas pipelines and conventional thermal generation facilities; and generation and sale of electricity through wind, mini-hydro, solar, and cogeneration sources, as well as provision of supply management services. It serves in Spain, Argentina, Brazil, Chile, Mexico, Panama, the rest of Latin America, and internationally. The company was formerly known as Gas Natural SDG, S.A. and changed its name to Naturgy Energy Group, S.A. in June 2018. Naturgy Energy Group, S.A. was incorporated in 1843 and is based in Madrid, Spain.
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