Head-To-Head Analysis: Origin Energy (OTCMKTS:OGFGY) & E.On (OTCMKTS:ENAKF)

Origin Energy (OTCMKTS:OGFGY) and E.On (OTCMKTS:ENAKF) are both utilities companies, but which is the superior stock? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, valuation, analyst recommendations and institutional ownership.

Dividends

Origin Energy pays an annual dividend of $0.42 per share and has a dividend yield of 5.0%. E.On pays an annual dividend of $0.60 per share and has a dividend yield of 3.0%. Origin Energy pays out 88.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. E.On pays out -238.1% of its earnings in the form of a dividend.

Institutional and Insider Ownership

25.1% of E.On shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Origin Energy and E.On”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Origin Energy	N/A	N/A	N/A	$0.48	17.50
E.On	N/A	N/A	N/A	($0.25)	-78.97

E.On is trading at a lower price-to-earnings ratio than Origin Energy, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Origin Energy and E.On, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Origin Energy	0	0	1	0	3.00
E.On	0	0	0	0	0.00

Origin Energy presently has a consensus target price of $12.05, indicating a potential upside of 44.03%. Given Origin Energy’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Origin Energy is more favorable than E.On.

Profitability

This table compares Origin Energy and E.On’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Origin Energy	N/A	N/A	N/A
E.On	N/A	N/A	N/A

Summary

Origin Energy beats E.On on 6 of the 8 factors compared between the two stocks.

About Origin Energy

Origin Energy Limited, an integrated energy company, engages in the exploration and production of natural gas, electricity generation, wholesale and retail sale of electricity and gas, and sale of liquefied natural gas in Australia and internationally. The company operates through, Energy Markets, and Integrated Gas segments. Its exploration and production portfolio includes the Bowen and Surat basins in Queensland; the Browse basin in Western Australia; and the Cooper-Eromanga basin in Queensland. The company also generates electricity from coal, wind, pumped hydro, and solar plants; sells electricity, natural gas, and LPG; and provides GreenPower products. In addition, it offers electric and gas hot water systems. Origin Energy Limited was incorporated in 1946 and is based in Barangaroo, Australia.

About E.On

E.ON SE operates as an energy company in Germany, the United Kingdom, Sweden, the Netherlands, rest of Europe, and internationally. It operates through two segments, Energy Networks and Customer Solutions. The Energy Networks segment operates power and gas distribution networks, as well as provides maintenance, repairs, and related services. The Customer Solutions segment supplies power, gas, and heat, as well as with products and services that enhance energy efficiency to residential, small and medium-sized enterprises, large commercial and industrial, sales partners, and public entities. Additionally, it provides SmartSim, a software solution that allows renewable gases to be fed into gas grids; gas quality tracking solutions; GasPro, a mobile gas sample collector; metering solutions; and GasCalc, a software that calculates natural gases, LNG, and biogases properties. The company was founded in 1923 and is headquartered in Essen, Germany.