Public Service Enterprise Group Incorporated (PEG) vs WEC Energy Group, Inc. (WEC)

Public Service Enterprise Group Incorporated and WEC Energy Group, Inc. are both Utilities Regulated Electric companies. Public Service Enterprise Group Incorporated and WEC Energy Group, Inc. are of similar size ($33.2B and $32.9B). Public Service Enterprise Group Incorporated trades at the lower P/E: 16.7× against 19.5×. Public Service Enterprise Group Incorporated grew revenue faster over the last twelve months: 12.7% against 8.93%. WEC Energy Group, Inc. has the higher net margin (16.7% vs 16.0%) and the lower return on invested capital (3.86% vs 4.35%). Both pay a dividend; WEC Energy Group, Inc. yields more (4.31% vs 3.92%). Across the 22 metrics below, Public Service Enterprise Group Incorporated leads on 16 and WEC Energy Group, Inc. on 6.

Valuation

Metric PEG WEC Utilities Regulated Electric median
P/E 16.67 19.51 18.84
P/S 2.66 3.26 2.52
P/B 1.93 2.27 1.63
Price to free cash flow 681.14 n/m 36.22
EV/EBITDA 12.60 14.62 11.82
EV/Sales 4.60 5.52 4.58
Earnings yield 6.00% 5.13% 5.30%
Free cash flow yield 0.15% (4.60%) (5.06%)

Profitability

Metric PEG WEC Utilities Regulated Electric median
Gross margin 63.96% 65.71% 66.28%
Operating margin 23.14% 22.84% 21.79%
Net margin 16.04% 16.69% 12.94%
Free cash flow margin 2.20% (14.99%) (11.51%)
Return on equity 11.84% 12.00% 9.75%
Return on assets 3.50% 3.34% 2.75%
Return on invested capital 4.35% 3.86% 3.87%

Growth

Metric PEG WEC Utilities Regulated Electric median
Revenue growth (TTM) 12.65% 8.93% 7.43%
EPS growth (last fiscal year) 19.21% (0.41%) —
Revenue growth, 5-year CAGR 4.85% 6.24% 6.75%
Net income growth, 5-year CAGR 2.07% 5.36% 6.44%

Health

Metric PEG WEC Utilities Regulated Electric median
Debt to equity 1.42 1.58 1.53
Current ratio 0.88 0.53 0.81
Net debt to EBITDA 5.20 5.99 5.25

Dividend

Metric PEG WEC Utilities Regulated Electric median
Dividend yield 3.92% 4.31% 4.33%
Payout ratio 0.40 0.71 0.66

Size

Metric PEG WEC Utilities Regulated Electric median
Market cap 33.15b 32.88b 22.90b

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