Azure Power Global (AZRE) & Atlantica Yield (AY) Financial Contrast

Share on StockTwits

Azure Power Global (NASDAQ: AY) and Atlantica Yield (NASDAQ:AY) are both oils/energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Risk and Volatility

Azure Power Global has a beta of 2.02, indicating that its stock price is 102% more volatile than the S&P 500. Comparatively, Atlantica Yield has a beta of 0.97, indicating that its stock price is 3% less volatile than the S&P 500.

Profitability

This table compares Azure Power Global and Atlantica Yield’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Azure Power Global -11.97% -9.47% -1.68%
Atlantica Yield -5.50% 1.95% 0.36%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Azure Power Global and Atlantica Yield, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Azure Power Global 0 0 3 0 3.00
Atlantica Yield 0 0 4 0 3.00

Azure Power Global presently has a consensus target price of $25.00, suggesting a potential upside of 59.85%. Atlantica Yield has a consensus target price of $25.75, suggesting a potential upside of 24.04%. Given Azure Power Global’s higher probable upside, equities research analysts clearly believe Azure Power Global is more favorable than Atlantica Yield.

Earnings and Valuation

This table compares Azure Power Global and Atlantica Yield’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Azure Power Global $118.27 million 3.44 -$12.60 million ($0.65) -24.06
Atlantica Yield $1.01 billion 2.06 -$111.80 million ($0.18) -115.33

Azure Power Global has higher earnings, but lower revenue than Atlantica Yield. Atlantica Yield is trading at a lower price-to-earnings ratio than Azure Power Global, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

44.3% of Azure Power Global shares are owned by institutional investors. Comparatively, 52.7% of Atlantica Yield shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Dividends

Atlantica Yield pays an annual dividend of $1.28 per share and has a dividend yield of 6.2%. Azure Power Global does not pay a dividend. Atlantica Yield pays out -711.1% of its earnings in the form of a dividend.

Summary

Atlantica Yield beats Azure Power Global on 9 of the 13 factors compared between the two stocks.

About Azure Power Global

Azure Power Global Limited, together with its subsidiaries, engages in the development, construction, ownership, operation, maintenance, and management of solar power plants in India. It generates solar energy based on long-term contracts with Indian government energy distribution companies, as well as other non-governmental energy distribution companies and commercial customers. As of March 31, 2018, the company had a portfolio capacity of approximately 1,871 megawatts. Azure Power Global Limited was founded in 2007 and is based in New Delhi, India.

About Atlantica Yield

Atlantica Yield plc acquires, owns, and manages renewable energy natural gas, power, electric transmission lines, and water assets in North America, South America, Spain, Algeria, and South Africa. As of December 31, 2017, it had 22 assets, including 1,446 megawatts (MW) of renewable energy generation assets comprising solar power and wind plants; 300 MW of natural gas power generation assets that produce electricity and steam from natural gas; 1,099 miles of electric transmission lines; and desalination plants with an aggregate capacity of 10.5 million cubic feet per day. The company was formerly known as Abengoa Yield plc and changed its name to Atlantica Yield plc in May 2016. Atlantica Yield plc was incorporated in 2013 and is based in Brentford, the United Kingdom.

Receive News & Ratings for Azure Power Global Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Azure Power Global and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply