Analyzing Central Puerto (NYSE:CEPU) & Encavis (OTCMKTS:ENCVF)

Encavis (OTCMKTS:ENCVF) and Central Puerto (NYSE:CEPU) are both utilities companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, earnings, analyst recommendations, institutional ownership, dividends, valuation and risk.

Institutional & Insider Ownership

3.0% of Central Puerto shares are owned by institutional investors. 0.1% of Central Puerto shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Encavis and Central Puerto”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Encavis	N/A	N/A	N/A	N/A	N/A
Central Puerto	$782.60 million	2.58	$277.08 million	$3.00	4.45

Central Puerto has higher revenue and earnings than Encavis.

Profitability

This table compares Encavis and Central Puerto’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Encavis	N/A	N/A	N/A
Central Puerto	29.58%	16.32%	10.91%

Analyst Recommendations

This is a summary of current ratings and target prices for Encavis and Central Puerto, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Encavis	0	0	0	0	0.00
Central Puerto	0	1	1	0	2.50

Central Puerto has a consensus target price of $17.50, suggesting a potential upside of 30.99%. Given Central Puerto’s stronger consensus rating and higher probable upside, analysts plainly believe Central Puerto is more favorable than Encavis.

Summary

Central Puerto beats Encavis on 9 of the 9 factors compared between the two stocks.

About Encavis

Encavis AG, an independent power producer, acquires and operates solar and onshore wind parks in Germany, Italy, Spain, France, Denmark, the Netherlands, the United Kingdom, Finland, Sweden, Ireland, and Lithuania. It operates through PV Parks, Service, Wind Parks, and Asset Management segments. The company's renewable energy plant portfolio includes 230 solar parks and 90 wind farms with a capacity of approximately 3.5 gigawatts. It also provides advisory and asset management services to institutional investors in the renewable energy sector; and technical operation and maintenance services for PV parks. Encavis AG is headquartered in Hamburg, Germany.

About Central Puerto

Central Puerto S.A. engages in the electric power generation in Argentina. It operates through three segments: Electric Power Generation from Conventional Sources, Electric Power Generation from Renewable Sources, and Natural Gas Transport and Distribution. The company generates energy through thermal, hydroelectric, and wind farms. It also engages in the natural gas transport and distribution business. Central Puerto S.A. was founded in 1898 and is based in Buenos Aires, Argentina.