Head to Head Analysis: Heliogen (NYSE:HLGN) & Entergy (NYSE:ETR)

Heliogen (NYSE:HLGN) and Entergy (NYSE:ETR) are both oils/energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their institutional ownership, valuation, analyst recommendations, profitability, risk, dividends and earnings.

Insider & Institutional Ownership

27.6% of Heliogen shares are held by institutional investors. Comparatively, 88.1% of Entergy shares are held by institutional investors. 3.0% of Heliogen shares are held by insiders. Comparatively, 0.5% of Entergy shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Heliogen and Entergy’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Heliogen	$4.45 million	1.91	-$129.60 million	($21.87)	-0.07
Entergy	$12.15 billion	1.84	$2.36 billion	$11.09	9.44

Entergy has higher revenue and earnings than Heliogen. Heliogen is trading at a lower price-to-earnings ratio than Entergy, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Heliogen and Entergy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Heliogen	0	1	0	0	2.00
Entergy	1	2	8	0	2.64

Entergy has a consensus target price of $111.09, indicating a potential upside of 6.06%. Given Entergy’s stronger consensus rating and higher possible upside, analysts plainly believe Entergy is more favorable than Heliogen.

Profitability

This table compares Heliogen and Entergy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Heliogen	-830.91%	-200.91%	-90.89%
Entergy	19.41%	10.54%	2.41%

Volatility and Risk

Heliogen has a beta of 2.35, indicating that its share price is 135% more volatile than the S&P 500. Comparatively, Entergy has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Summary

Entergy beats Heliogen on 11 of the 14 factors compared between the two stocks.

About Heliogen

Heliogen, Inc., a renewable energy technology company, operates in decarbonizing industry with concentrated sunlight. It is developing a solar solution utilizing computer vision software to align an array of mirrors, reflecting sunlight to a target on the top of a tower. Its artificial intelligence enabled modular system delivers renewable energy in the form of heat, power, or hydrogen fuel. The company's solutions include HelioHeat, a carbon-free, ultra-high temperature heat to power heavy industrial processes, including the making of cement, steel, and petrochemicals; HelioPower that provides power made from sunlight using supercritical CO2 turbines to power industrial facilities, data centers, and mining operations; and HelioFuel that offers clean fuels, such as green hydrogen that is used to power industry and as fuel in transportation, heavy equipment, and household heating. The company was formerly known as Edison Microgrids, Inc. and changed its name to Heliogen, Inc. in November 2019. The company was founded in 2013 and is headquartered in Pasadena, California.

About Entergy

Entergy Corporation, together with its subsidiaries, engages in the production and retail distribution of electricity in the United States. It generates, transmits, distributes, and sells electric power in portions of Arkansas, Louisiana, Mississippi, and Texas, including the City of New Orleans; and distributes natural gas. It also engages in the ownership of interests in non-nuclear power plants that sell electric power to wholesale customers, as well as provides decommissioning services to other nuclear power plant owners. It generates electricity through gas, nuclear, coal, hydro, and solar power sources. The company sells energy to retail power providers, utilities, electric power co-operatives, power trading organizations, and other power generation companies. The company's power plants have approximately 24,000 megawatts of electric generating capacity. It delivers electricity to 3 million utility customers in Arkansas, Louisiana, Mississippi, and Texas. Entergy Corporation was founded in 1913 and is headquartered in New Orleans, Louisiana.