Head-To-Head Review: Ballard Power Systems (NASDAQ:BLDP) & Consolidated Edison (NYSE:ED)

Ballard Power Systems (NASDAQ:BLDP) and Consolidated Edison (NYSE:ED) are both utilities companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, valuation, earnings, analyst recommendations, dividends, institutional ownership and risk.

Volatility & Risk

Ballard Power Systems has a beta of 1.75, indicating that its share price is 75% more volatile than the S&P 500. Comparatively, Consolidated Edison has a beta of 0.38, indicating that its share price is 62% less volatile than the S&P 500.

Institutional & Insider Ownership

28.0% of Ballard Power Systems shares are owned by institutional investors. Comparatively, 66.3% of Consolidated Edison shares are owned by institutional investors. 0.2% of Ballard Power Systems shares are owned by insiders. Comparatively, 0.2% of Consolidated Edison shares are owned by insiders. 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.

Profitability

This table compares Ballard Power Systems and Consolidated Edison’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ballard Power Systems	-132.80%	-17.89%	-15.43%
Consolidated Edison	12.27%	8.79%	2.89%

Earnings & Valuation

This table compares Ballard Power Systems and Consolidated Edison”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ballard Power Systems	$69.73 million	9.27	-$324.24 million	($0.40)	-5.38
Consolidated Edison	$15.26 billion	2.69	$1.82 billion	$5.72	19.86

Consolidated Edison has higher revenue and earnings than Ballard Power Systems. Ballard Power Systems is trading at a lower price-to-earnings ratio than Consolidated Edison, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings for Ballard Power Systems and Consolidated Edison, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ballard Power Systems	4	11	0	0	1.73
Consolidated Edison	5	7	3	0	1.87

Ballard Power Systems presently has a consensus price target of $2.33, suggesting a potential upside of 8.37%. Consolidated Edison has a consensus price target of $104.20, suggesting a potential downside of 8.27%. Given Ballard Power Systems’ higher possible upside, equities analysts clearly believe Ballard Power Systems is more favorable than Consolidated Edison.

Summary

Consolidated Edison beats Ballard Power Systems on 11 of the 14 factors compared between the two stocks.

About Ballard Power Systems

Ballard Power Systems Inc. engages in the design, development, manufacture, sale, and service of proton exchange membrane (PEM) fuel cell products. The company offers its products for power product comprising for bus, truck, rail, marine, stationary, and emerging market, such as material handling, off-road, and other applications. It also engages in the delivery of services, including technology solutions, after sales services, and training; and provision of engineering services, product and systems integration services, and related technology transfer for a variety of PEM fuel cell applications. It operates in the United States, Germany, Canada, China, Poland, the United Kingdom, the Netherlands, France, Denmark, Belgium, India, Taiwan, Spain, Norway, Australia, Japan, and internationally. The company has a strategic alliance with Linamar Corporation for the co-development and sale of fuel cell powertrains and components for class 1 and 2 vehicles in North America and Europe. Ballard Power Systems Inc. was founded in 1979 and is headquartered in Burnaby, Canada.

About Consolidated Edison

Consolidated Edison, Inc., through its subsidiaries, engages in the regulated electric, gas, and steam delivery businesses in the United States. It offers electric services to approximately 3.7 million customers in New York City and Westchester County; gas to approximately 1.1 million customers in Manhattan, the Bronx, parts of Queens, and Westchester County; and steam to approximately 1,530 customers in parts of Manhattan. The company also supplies electricity to approximately 0.3 million customers in southeastern New York and northern New Jersey; and gas to approximately 0.2 million customers in southeastern New York. In addition, it operates 545 circuit miles of transmission lines; 15 transmission substations; 63 distribution substations; 90,051 in-service line transformers; 3,788 pole miles of overhead distribution lines; and 2,314 miles of underground distribution lines, as well as 4,363 miles of mains and 380,870 service lines for natural gas distribution. Further, the company invests in electric and gas transmission projects. It primarily sells electricity to industrial, commercial, residential, and government customers. Consolidated Edison, Inc. was founded in 1823 and is based in New York, New York.