TC Energy (NYSE:TRP – Get Free Report) and Fluence Energy (NASDAQ:FLNC – Get Free Report) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, institutional ownership, earnings and profitability.
Analyst Ratings
This is a summary of current ratings and price targets for TC Energy and Fluence Energy, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| TC Energy | 0 | 4 | 6 | 2 | 2.83 |
| Fluence Energy | 6 | 17 | 4 | 0 | 1.93 |
TC Energy currently has a consensus price target of $84.00, indicating a potential upside of 53.76%. Fluence Energy has a consensus price target of $12.93, indicating a potential downside of 43.42%. Given TC Energy’s stronger consensus rating and higher probable upside, analysts clearly believe TC Energy is more favorable than Fluence Energy.
Valuation and Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| TC Energy | $10.05 billion | 5.66 | $3.43 billion | $2.32 | 23.55 |
| Fluence Energy | $2.26 billion | 1.85 | -$48.31 million | ($0.42) | -54.43 |
TC Energy has higher revenue and earnings than Fluence Energy. Fluence Energy is trading at a lower price-to-earnings ratio than TC Energy, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
TC Energy has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500. Comparatively, Fluence Energy has a beta of 2.88, suggesting that its stock price is 188% more volatile than the S&P 500.
Institutional and Insider Ownership
83.1% of TC Energy shares are owned by institutional investors. Comparatively, 53.2% of Fluence Energy shares are owned by institutional investors. 0.7% of Fluence Energy shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Profitability
This table compares TC Energy and Fluence Energy’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| TC Energy | 23.86% | 10.61% | 3.16% |
| Fluence Energy | -2.14% | -9.21% | -2.17% |
Summary
TC Energy beats Fluence Energy on 13 of the 15 factors compared between the two stocks.
About TC Energy
TC Energy Corporation operates as an energy infrastructure company in North America. It operates through five segments: Canadian Natural Gas Pipelines; U.S. Natural Gas Pipelines; Mexico Natural Gas Pipelines; Liquids Pipelines; and Power and Energy Solutions. The company builds and operates a network of 93,600 kilometers of natural gas pipelines, which transports natural gas from supply basins to local distribution companies, power generation plants, industrial facilities, interconnecting pipelines, LNG export terminals, and other businesses. It also has regulated natural gas storage facilities with a total working gas capacity of 532 billion cubic feet. In addition, it has approximately 4,900 kilometers of liquids pipeline system that connects Alberta crude oil pipeline to refining markets in Illinois, Oklahoma, Texas, and the United States Gulf Coast. Further, the company owns or has interests in power generation facilities with approximately 4,600 megawatts; and owns and operates approximately 118 billion cubic feet of non-regulated natural gas storage facilities in in Alberta, Ontario, Québec, and New Brunswick. The company was formerly known as TransCanada Corporation and changed its name to TC Energy Corporation in May 2019. TC Energy Corporation was founded in 1951 and is headquartered in Calgary, Canada.
About Fluence Energy
Fluence Energy, Inc., through its subsidiaries, offers energy storage products and solution, services, and artificial intelligence enabled software-as-a-service products for renewables and storage applications in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company sells energy storage products with integrated hardware, software, and digital intelligence. Its energy storage products include Gridstack Pro, a large-scale front-of-the-meter application; Gridstack, a front-of-the-meter application; Sunstack, a DC-coupled energy storage product for DC-coupled solar + storage projects; Edgestack, for smaller-scale commercial and industrial use cases; and Ultrastack, for critical system requirements of distribution and transmission networks. The company also provides engineering and delivery services to support the deployment of its storage products; operational and maintenance services; and digital applications. It serves independent power producers, developer, utilities, and other generators. Fluence Energy, Inc. was founded in 2018 and is headquartered in Arlington, Virginia. Fluence Energy, Inc. is a joint venture of Siemens Aktiengesellschaft and The AES Corporation.
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