Financial Comparison: ReNew Energy Global (RNW) vs. The Competition

ReNew Energy Global (NASDAQ:RNW) is one of 141 publicly-traded companies in the “Independent Power & Renewable Electricity Producers” industry, but how does it compare to its competitors? We will compare ReNew Energy Global to related businesses based on the strength of its earnings, risk, analyst recommendations, profitability, dividends, institutional ownership and valuation.

Insider and Institutional Ownership

43.6% of ReNew Energy Global shares are owned by institutional investors. Comparatively, 35.3% of shares of all “Independent Power & Renewable Electricity Producers” companies are owned by institutional investors. 8.7% of ReNew Energy Global shares are owned by company insiders. Comparatively, 21.7% of shares of all “Independent Power & Renewable Electricity Producers” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Volatility and Risk

ReNew Energy Global has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500. Comparatively, ReNew Energy Global’s competitors have a beta of 0.62, suggesting that their average stock price is 38% less volatile than the S&P 500.

Profitability

This table compares ReNew Energy Global and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ReNew Energy Global	7.58%	8.47%	1.19%
ReNew Energy Global Competitors	-33.53%	10.62%	0.86%

Earnings & Valuation

This table compares ReNew Energy Global and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
ReNew Energy Global	$1.60 billion	$105.00 million	19.25
ReNew Energy Global Competitors	$35.60 billion	$816.69 million	0.57

ReNew Energy Global’s competitors have higher revenue and earnings than ReNew Energy Global. ReNew Energy Global is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of current ratings for ReNew Energy Global and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ReNew Energy Global	0	4	0	0	2.00
ReNew Energy Global Competitors	963	2984	3818	188	2.41

ReNew Energy Global presently has a consensus target price of $6.39, indicating a potential downside of 7.79%. As a group, “Independent Power & Renewable Electricity Producers” companies have a potential upside of 145.41%. Given ReNew Energy Global’s competitors stronger consensus rating and higher probable upside, analysts plainly believe ReNew Energy Global has less favorable growth aspects than its competitors.

Summary

ReNew Energy Global competitors beat ReNew Energy Global on 8 of the 13 factors compared.

ReNew Energy Global Company Profile

ReNew Energy Global Plc generates power through non-conventional and renewable energy sources in India. The company operates through two segments: Wind Power and Solar Power. It develops, builds, owns, and operates utility scale wind and solar energy, hydro energy, and utility-scale firm power projects, as well as distributed solar energy projects that generate energy for commercial and industrial customers. The company provides engineering, procurement, and construction services; operation and maintenance services; consultancy services; and sells renewable energy certificates. ReNew Energy Global Plc was founded in 2011 and is based in London, the United Kingdom.