NorthWestern Corporation (NWE) vs Portland General Electric Company (POR)

NorthWestern Corporation and Portland General Electric Company are both Utilities Regulated Electric companies. Portland General Electric Company is the larger, with a market value of $5.4B against $4.2B — 1.3× the size. Portland General Electric Company trades at the lower P/E: 20.5× against 24.8×. NorthWestern Corporation grew revenue faster over the last twelve months: 10.7% against 1.32%. NorthWestern Corporation has the higher net margin (10.1% vs 7.27%) and the lower return on invested capital (3.13% vs 3.35%). Both pay a dividend; NorthWestern Corporation yields more (5.44% vs 4.74%). Across the 22 metrics below, Portland General Electric Company leads on 15 and NorthWestern Corporation on 7.

Valuation

Metric NWE POR Utilities Regulated Electric median
P/E 24.76 20.55 18.84
P/S 2.50 1.53 2.52
P/B 1.46 1.32 1.63
Price to free cash flow n/m n/m 36.22
EV/EBITDA 13.26 9.77 11.82
EV/Sales 4.55 2.99 4.58
Earnings yield 4.04% 4.87% 5.30%
Free cash flow yield (4.54%) (3.49%) (5.06%)

Profitability

Metric NWE POR Utilities Regulated Electric median
Gross margin 74.48% 60.27% 66.28%
Operating margin 18.84% 14.06% 21.79%
Net margin 10.13% 7.27% 12.94%
Free cash flow margin (11.36%) (5.35%) (11.51%)
Return on equity 5.94% 6.45% 9.75%
Return on assets 2.04% 1.95% 2.75%
Return on invested capital 3.13% 3.35% 3.87%

Growth

Metric NWE POR Utilities Regulated Electric median
Revenue growth (TTM) 10.69% 1.32% 7.43%
EPS growth (last fiscal year) (19.45%) (7.97%) —
Revenue growth, 5-year CAGR 6.09% 10.76% 6.75%
Net income growth, 5-year CAGR 3.13% 14.57% 6.44%

Health

Metric NWE POR Utilities Regulated Electric median
Debt to equity 1.21 1.26 1.53
Current ratio 0.83 0.98 0.81
Net debt to EBITDA 5.61 4.28 5.25

Dividend

Metric NWE POR Utilities Regulated Electric median
Dividend yield 5.44% 4.74% 4.33%
Payout ratio 0.85 0.76 0.66

Size

Metric NWE POR Utilities Regulated Electric median
Market cap 4.19b 5.39b 22.90b

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