Head-To-Head Comparison: Korea Electric Power (NYSE:KEP) & Alliant Energy (NASDAQ:LNT)

Alliant Energy (NASDAQ:LNT – Get Free Report) and Korea Electric Power (NYSE:KEP – Get Free Report) are both large-cap utilities companies, but which is the better stock? We will compare the two companies based on the strength of their risk, dividends, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Institutional and Insider Ownership

79.9% of Alliant Energy shares are owned by institutional investors. 0.3% of Alliant Energy shares are owned by insiders. Comparatively, 1.0% of Korea Electric Power shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings for Alliant Energy and Korea Electric Power, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Alliant Energy 0 5 9 0 2.64
Korea Electric Power 2 3 0 0 1.60

Alliant Energy currently has a consensus price target of $77.00, indicating a potential upside of 20.90%. Given Alliant Energy’s stronger consensus rating and higher probable upside, research analysts plainly believe Alliant Energy is more favorable than Korea Electric Power.

Risk and Volatility

Alliant Energy has a beta of 0.54, suggesting that its share price is 46% less volatile than the S&P 500. Comparatively, Korea Electric Power has a beta of 0.95, suggesting that its share price is 5% less volatile than the S&P 500.

Profitability

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

Net Margins Return on Equity Return on Assets
Alliant Energy 18.45% 11.16% 3.31%
Korea Electric Power 8.15% 15.70% 3.06%

Dividends

Alliant Energy pays an annual dividend of $2.14 per share and has a dividend yield of 3.4%. Korea Electric Power pays an annual dividend of $0.52 per share and has a dividend yield of 4.8%. Alliant Energy pays out 67.7% of its earnings in the form of a dividend. Korea Electric Power pays out 12.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Alliant Energy has increased its dividend for 22 consecutive years. Korea Electric Power is clearly the better dividend stock, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares Alliant Energy and Korea Electric Power”s top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Alliant Energy $4.43 billion 3.73 $810.00 million $3.16 20.16
Korea Electric Power $68.57 billion 0.20 $5.98 billion $4.29 2.53

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

Summary

Alliant Energy beats Korea Electric Power on 9 of the 17 factors compared between the two stocks.

About Alliant Energy

(Get Free Report)

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 Korea Electric Power

(Get Free Report)

Korea Electric Power Corporation, an integrated electric utility company, engages in the generation, transmission, and distribution of electricity in South Korea and internationally. The company operates through Transmission and Distribution, Nuclear Power Generation, Thermal Power Generation, and Others segments. It generates power from nuclear, coal, oil, liquefied natural gas, internal combustion, combined-cycle, integrated gasification combined cycle, hydro, wind, solar, fuel cell, biogas, and other sources. As of December 31, 2022, the company had a total of 770 generation units, including nuclear, thermal, hydroelectric, and internal combustion units with an installed generation capacity of 82,723 megawatts; transmission system consisted of 35,451 circuit kilometers of lines of 765 kilovolts and others, including high-voltage direct current lines, as well as 895 substations with an installed transformer capacity of 347,426 megavolt-amperes; and distribution system included 139,265 megavolt-amperes of transformer capacity and 10,084,051 units of support with a total line length of 535,241 circuit kilometers. The company provides electricity to residential, commercial, educational, industrial, agricultural, street lighting, and overnight power usage. It also provides engineering and construction services for utility plant and others; utility plant maintenance, electric power information technology, resources development, facility maintenance, electric meter reading, and security services; and engages in nuclear fuel, fly ashes recycling, utility plants construction and operation, and wood pellet utilization businesses. Korea Electric Power Corporation was founded in 1898 and is headquartered in Naju-si, South Korea.

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