Bright Horizon Energy Corporation (BKH) vs Spire Inc. (SR)

Bright Horizon Energy Corporation and Spire Inc. are both Utilities Regulated Gas companies. Bright Horizon Energy Corporation is the larger, with a market value of $6.5B against $5.3B — 1.2× the size. Spire Inc. trades at the lower P/E: 9.9× against 20.6×. Spire Inc. grew revenue faster over the last twelve months: 4.12% against 2.80%. Spire Inc. has the higher net margin (20.9% vs 13.5%) and the lower return on invested capital (3.76% vs 4.22%). Both pay a dividend; Spire Inc. yields more (3.70% vs 3.30%). Across the 22 metrics below, Spire Inc. leads on 17 and Bright Horizon Energy Corporation on 5.

Valuation

Metric BKH SR Utilities Regulated Gas median
P/E 20.57 9.92 18.45
P/S 2.75 2.07 2.24
P/B 1.59 1.47 1.60
Price to free cash flow n/m n/m —
EV/EBITDA 12.31 12.26 12.21
EV/Sales 4.62 4.43 3.95
Earnings yield 4.86% 10.08% 5.44%
Free cash flow yield (4.90%) (4.23%) (4.57%)

Profitability

Metric BKH SR Utilities Regulated Gas median
Gross margin 0.00% 69.16% 63.29%
Operating margin 24.34% 22.69% 22.80%
Net margin 13.49% 20.93% 13.27%
Free cash flow margin (13.48%) (8.77%) (11.13%)
Return on equity 7.99% 15.57% 9.10%
Return on assets 2.93% 4.17% 3.58%
Return on invested capital 4.22% 3.76% 4.40%

Growth

Metric BKH SR Utilities Regulated Gas median
Revenue growth (TTM) 2.80% 4.12% 3.64%
EPS growth (last fiscal year) 0.91% 4.30% 13.77%
Revenue growth, 5-year CAGR 6.36% 5.94% 6.36%
Net income growth, 5-year CAGR 5.08% 28.34% 8.10%

Health

Metric BKH SR Utilities Regulated Gas median
Debt to equity 1.09 1.67 1.15
Current ratio 0.47 0.37 0.80
Net debt to EBITDA 5.43 4.68 4.57

Dividend

Metric BKH SR Utilities Regulated Gas median
Dividend yield 3.30% 3.70% 3.32%
Payout ratio 0.68 0.37 0.59

Size

Metric BKH SR Utilities Regulated Gas median
Market cap 6.45b 5.28b 5.26b

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