Critical Survey: Energy Vault (NYSE:NRGV) & Brookfield Renewable (NYSE:BEPC)

Energy Vault (NYSE:NRGV) and Brookfield Renewable (NYSE:BEPC) are both energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, institutional ownership, earnings, profitability and dividends.

Valuation and Earnings

This table compares Energy Vault and Brookfield Renewable”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Energy Vault	$46.20 million	2.41	-$135.75 million	($0.93)	-0.77
Brookfield Renewable	$5.88 billion	0.81	$236.00 million	($0.89)	-36.69

Brookfield Renewable has higher revenue and earnings than Energy Vault. Brookfield Renewable is trading at a lower price-to-earnings ratio than Energy Vault, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Energy Vault and Brookfield Renewable’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Energy Vault	-288.98%	-74.45%	-50.39%
Brookfield Renewable	1.06%	0.42%	0.13%

Institutional & Insider Ownership

40.0% of Energy Vault shares are owned by institutional investors. Comparatively, 75.1% of Brookfield Renewable shares are owned by institutional investors. 15.4% of Energy Vault shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations for Energy Vault and Brookfield Renewable, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Energy Vault	1	0	2	0	2.33
Brookfield Renewable	0	1	2	0	2.67

Energy Vault presently has a consensus price target of $1.42, indicating a potential upside of 98.14%. Brookfield Renewable has a consensus price target of $31.67, indicating a potential downside of 3.02%. Given Energy Vault’s higher probable upside, equities analysts clearly believe Energy Vault is more favorable than Brookfield Renewable.

Risk and Volatility

Energy Vault has a beta of 0.76, indicating that its stock price is 24% less volatile than the S&P 500. Comparatively, Brookfield Renewable has a beta of 1.14, indicating that its stock price is 14% more volatile than the S&P 500.

Summary

Brookfield Renewable beats Energy Vault on 9 of the 13 factors compared between the two stocks.

About Energy Vault

Energy Vault Holdings, Inc. develops and sells energy storage solutions. The company offers B-Vault, an electrochemical battery energy storage systems for shorter-duration energy storage needs; G-Vault, a proprietary gravity energy storage solution, including EVx solution; and H-Vault, a hybrid energy storage systems including systems that integrate green hydrogen. Its software solutions includes Vault-OS, an energy management system the management of one or more diverse storage mediums; Vault-Bidder that utilizes machine learning algorithms to match node-specific data with real-time weather and asset performance information; and Vault-Manager which designs to safeguard asset management and to help blend developing technologies seamlessly into existing solutions. Energy Vault Holdings, Inc. is based in Westlake Village, California.

About Brookfield Renewable

Brookfield Renewable Corporation owns and operates a portfolio of renewable power and sustainable solution assets primarily in the United States, Europe, Colombia, and Brazil. It operates hydroelectric, wind, solar, and distributed energy and sustainable solutions with an installed capacity of approximately 19,161 megawatts. The company was incorporated in 2019 and is headquartered in New York, New York. Brookfield Renewable Corporation operates as a subsidiary of Brookfield BRP Holdings (Canada) Inc.