Analyzing Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN) & Terna Rete Elettrica Nazionale (OTCMKTS:TEZNY)

Terna Rete Elettrica Nazionale (OTCMKTS:TEZNY) and Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN) are both utilities companies, but which is the better business? We will contrast the two companies based on the strength of their risk, profitability, earnings, dividends, analyst recommendations, valuation and institutional ownership.

Volatility and Risk

Terna Rete Elettrica Nazionale has a beta of 0.7, meaning that its share price is 30% less volatile than the S&P 500. Comparatively, Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) has a beta of 1.81, meaning that its share price is 81% more volatile than the S&P 500.

Institutional and Insider Ownership

1.6% of Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Terna Rete Elettrica Nazionale and Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Terna Rete Elettrica Nazionale	N/A	N/A	N/A	N/A	N/A
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	$2.24 billion	0.61	$299.34 million	$4.18	7.22

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) has higher revenue and earnings than Terna Rete Elettrica Nazionale.

Profitability

This table compares Terna Rete Elettrica Nazionale and Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Terna Rete Elettrica Nazionale	N/A	N/A	N/A
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	7.82%	11.33%	4.42%

Analyst Recommendations

This is a summary of recent recommendations for Terna Rete Elettrica Nazionale and Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor), as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Terna Rete Elettrica Nazionale	1	1	1	0	2.00
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	0	2	0	0	2.00

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) has a consensus price target of $36.00, indicating a potential upside of 19.26%. Given Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)’s higher possible upside, analysts plainly believe Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) is more favorable than Terna Rete Elettrica Nazionale.

Summary

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) beats Terna Rete Elettrica Nazionale on 7 of the 8 factors compared between the two stocks.

About Terna Rete Elettrica Nazionale

Terna S.p.A., together with its subsidiaries, provides electricity transmission and dispatching services in Italy, other Euro-area countries, and internationally. It operates through Regulated, Non-Regulated, and International segments. The company is involved in the design, construction, management, development, operation, and maintenance of national transmission grid; dispatching and metering; and construction of storage systems. It also supplies transformers and cables; provides energy and connectivity services; and installs and operates interconnecting lines. In addition, the company designs, produces, commercializes, and repairs power transformers for electricity transmission and distribution grids; industrial transformers for the steel and metals industries; special transformers for convertors used in electrochemical production; produces and sells marine and terrestrial cables; develops renewable energy projects; and undertakes private interconnector projects. Terna S.p.A. was founded in 1962 and is based in Rome, Italy.

About Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)

Empresa Distribuidora y Comercializadora Norte Sociedad Anónima is involved in the distribution and sale of electricity in Argentina. The company was incorporated in 1992 and is based in Buenos Aires, Argentina. Empresa Distribuidora y Comercializadora Norte Sociedad Anónima operates as a subsidiary of Empresa de Energía del Cono Sur S.A..