Endesa (OTCMKTS:ELEZF) and Companhia Paranaense de Energia – Copel (NYSE:ELPC) Critical Comparison

Companhia Paranaense de Energia – Copel (NYSE:ELPC) and Endesa (OTCMKTS:ELEZF) are both utilities companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, earnings, risk, valuation, analyst recommendations, profitability and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Companhia Paranaense de Energia – Copel and Endesa, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Companhia Paranaense de Energia – Copel	0	2	1	1	2.75
Endesa	0	0	0	0	0.00

Companhia Paranaense de Energia – Copel currently has a consensus target price of $10.40, indicating a potential downside of 7.72%. Given Companhia Paranaense de Energia – Copel’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Companhia Paranaense de Energia – Copel is more favorable than Endesa.

Institutional and Insider Ownership

7.1% of Endesa shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Companhia Paranaense de Energia – Copel and Endesa’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Companhia Paranaense de Energia – Copel	N/A	N/A	N/A
Endesa	N/A	N/A	N/A

Earnings & Valuation

This table compares Companhia Paranaense de Energia – Copel and Endesa”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Companhia Paranaense de Energia – Copel	$4.68 billion	1.79	$521.00 million	$0.70	16.10
Endesa	N/A	N/A	N/A	$1.46	33.60

Companhia Paranaense de Energia – Copel has higher revenue and earnings than Endesa. Companhia Paranaense de Energia – Copel is trading at a lower price-to-earnings ratio than Endesa, indicating that it is currently the more affordable of the two stocks.

Dividends

Companhia Paranaense de Energia – Copel pays an annual dividend of $0.60 per share and has a dividend yield of 5.3%. Endesa pays an annual dividend of $1.19 per share and has a dividend yield of 2.4%. Companhia Paranaense de Energia – Copel pays out 85.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Endesa pays out 81.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Companhia Paranaense de Energia – Copel beats Endesa on 6 of the 10 factors compared between the two stocks.

About Companhia Paranaense de Energia – Copel

Companhia Paranaense de Energia – COPEL engages in the generation, transformation, distribution, and sale of electricity to industrial, residential, commercial, rural, and other customers in Brazil. The company operates through Power Generation and Transmission, Power Distribution, GAS, Power Sale, and Holding and Services segments. It is also involved in the piped natural gas distribution. The company operates hydroelectric, wind, and thermoelectric plants; and owns and operates transmission and distribution lines. It holds concessions to distribute electricity in municipalities in the State of Paraná and in the municipality of Porto União in the State of Santa Catarina. Companhia Paranaense de Energia COPEL was founded in 1954 and is headquartered in Curitiba, Brazil.

About Endesa

Endesa, S.A. engages in the generation, distribution, and sale of electricity in Spain, Portugal, France, Germany, Morocco, Italy, the United Kingdom, Singapore, and internationally. The company generates electricity from various energy sources, such as hydroelectric, nuclear, thermal, wind, and solar. It also offers advisory services and technology relating to energy efficiency, distributed generation, and energy demand management; deploys structures for recharging electric vehicles, vehicle-to-grid, and second-life services for batteries; develops integrated services for local administrations, such as public lighting, smart city development, energy efficiency services, and solutions for connectivity; and provides energy producers with financial solutions, as well as provides engineering and construction activities for facilities related to the electricity business. As of December 31, 2023, it had an installed capacity of 21,247 MW in Spain; operates 319,136 km of distribution and transmission networks; and distributes electricity to 10,522 thousands customers and gas to 1,829 thousands customers. The company was formerly known as Empresa Nacional de Electricidad, S.A. and changed its name to Endesa, S.A. in June 1997. The company was incorporated in 1944 and is headquartered in Madrid, Spain. Endesa, S.A. operates as a subsidiary of Enel Iberia Srl.