DTE Energy Company (DTE) vs PPL Corporation (PPL)

DTE Energy Company and PPL Corporation are both Utilities Regulated Electric companies. DTE Energy Company and PPL Corporation are of similar size ($26.7B and $26.0B). DTE Energy Company trades at the lower P/E: 20.5× against 20.7×. DTE Energy Company grew revenue faster over the last twelve months: 15.9% against 6.72%. PPL Corporation has the higher net margin (13.5% vs 8.00%) and the higher return on invested capital (4.04% vs 3.46%). Both pay a dividend; DTE Energy Company yields more (3.59% vs 3.21%). Across the 22 metrics below, PPL Corporation leads on 12 and DTE Energy Company on 10.

Valuation

Metric DTE PPL Utilities Regulated Electric median
P/E 20.46 20.69 19.47
P/S 1.64 2.82 2.78
P/B 2.22 1.76 1.77
Price to free cash flow n/m n/m 38.27
EV/EBITDA 13.08 12.34 12.25
EV/Sales 3.31 4.94 4.74
Earnings yield 4.89% 4.83% 5.02%
Free cash flow yield (7.12%) (7.63%) (5.09%)

Profitability

Metric DTE PPL Utilities Regulated Electric median
Gross margin 44.43% 68.62% 66.28%
Operating margin 13.32% 24.10% 21.79%
Net margin 8.00% 13.45% 12.94%
Free cash flow margin (11.66%) (21.20%) (11.51%)
Return on equity 11.03% 8.62% 9.75%
Return on assets 2.47% 2.85% 2.75%
Return on invested capital 3.46% 4.04% 3.87%

Growth

Metric DTE PPL Utilities Regulated Electric median
Revenue growth (TTM) 15.94% 6.72% 7.43%
EPS growth (last fiscal year) 3.84% 32.50% 7.45%
Revenue growth, 5-year CAGR 6.72% 10.56% 6.75%
Net income growth, 5-year CAGR 1.34% (4.30%) 6.44%

Health

Metric DTE PPL Utilities Regulated Electric median
Debt to equity 2.27 1.35 1.53
Current ratio 0.80 0.91 0.81
Net debt to EBITDA 6.02 5.16 5.25

Dividend

Metric DTE PPL Utilities Regulated Electric median
Dividend yield 3.59% 3.21% 3.29%
Payout ratio 0.74 0.67 0.66

Size

Metric DTE PPL Utilities Regulated Electric median
Market cap 26.70b 25.95b 23.14b

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