Korea Electric Power Corporation (KEP) vs TXNM Energy, Inc. (TXNM)

Korea Electric Power Corporation and TXNM Energy, Inc. are both Utilities Regulated Electric companies. Korea Electric Power Corporation is the larger, with a market value of $14.2B against $6.4B — 2.2× the size. Korea Electric Power Corporation trades at the lower P/E: 2.6× against 32.3×. TXNM Energy, Inc. grew revenue faster over the last twelve months: 9.97% against 5.51%. TXNM Energy, Inc. has the higher net margin (8.77% vs 8.11%) and the lower return on invested capital (3.44% vs 6.40%). Both pay a dividend; Korea Electric Power Corporation yields more (5.63% vs 4.18%). Across the 22 metrics below, Korea Electric Power Corporation leads on 16 and TXNM Energy, Inc. on 6.

Valuation

Metric KEP TXNM Utilities Regulated Electric median
P/E 2.56 32.33 18.84
P/S 0.21 2.91 2.52
P/B 0.39 1.81 1.63
Price to free cash flow 10.33 n/m 36.22
EV/EBITDA 3.59 11.93 11.82
EV/Sales 0.99 5.33 4.58
Earnings yield 39.07% 3.09% 5.30%
Free cash flow yield 9.68% (7.72%) (5.06%)

Profitability

Metric KEP TXNM Utilities Regulated Electric median
Gross margin 15.38% 63.86% 66.28%
Operating margin 13.48% 22.24% 21.79%
Net margin 8.11% 8.77% 12.94%
Free cash flow margin 2.02% (22.47%) (11.51%)
Return on equity 16.42% 5.74% 9.75%
Return on assets 3.06% 1.62% 2.75%
Return on invested capital 6.40% 3.44% 3.87%

Growth

Metric KEP TXNM Utilities Regulated Electric median
Revenue growth (TTM) 5.51% 9.97% 7.43%
EPS growth (last fiscal year) 135.18% (44.57%) —
Revenue growth, 5-year CAGR 7.84% 7.29% 6.75%
Net income growth, 5-year CAGR 30.29% (2.61%) 6.44%

Health

Metric KEP TXNM Utilities Regulated Electric median
Debt to equity 1.60 1.50 1.53
Current ratio 0.44 0.56 0.81
Net debt to EBITDA 2.79 5.84 5.25

Dividend

Metric KEP TXNM Utilities Regulated Electric median
Dividend yield 5.63% 4.18% 4.33%
Payout ratio 0.00 0.52 0.66

Size

Metric KEP TXNM Utilities Regulated Electric median
Market cap 14.21b 6.41b 22.90b

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