Comparing WEC Energy Group (NYSE:WEC) and CLP (OTCMKTS:CLPHY)

WEC Energy Group (NYSE:WEC) and CLP (OTCMKTS:CLPHY) are both large-cap utilities companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, risk, analyst recommendations, profitability, earnings, institutional ownership and valuation.

Analyst Recommendations

This is a summary of recent ratings and target prices for WEC Energy Group and CLP, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
WEC Energy Group	1	9	8	1	2.47
CLP	0	2	0	0	2.00

WEC Energy Group currently has a consensus price target of $121.94, indicating a potential upside of 5.86%. Given WEC Energy Group’s stronger consensus rating and higher possible upside, research analysts clearly believe WEC Energy Group is more favorable than CLP.

Profitability

This table compares WEC Energy Group and CLP’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
WEC Energy Group	15.90%	12.40%	3.45%
CLP	N/A	N/A	N/A

Risk and Volatility

WEC Energy Group has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500. Comparatively, CLP has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500.

Valuation & Earnings

This table compares WEC Energy Group and CLP”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
WEC Energy Group	$9.80 billion	3.83	$1.56 billion	$4.83	23.85
CLP	$11.29 billion	2.15	$1.46 billion	N/A	N/A

WEC Energy Group has higher earnings, but lower revenue than CLP.

Dividends

WEC Energy Group pays an annual dividend of $3.81 per share and has a dividend yield of 3.3%. CLP pays an annual dividend of $0.63 per share and has a dividend yield of 6.6%. WEC Energy Group pays out 78.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. WEC Energy Group has raised its dividend for 23 consecutive years.

Institutional & Insider Ownership

77.2% of WEC Energy Group shares are owned by institutional investors. 0.5% of WEC Energy Group shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

WEC Energy Group beats CLP on 13 of the 16 factors compared between the two stocks.

About WEC Energy Group

WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. It operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructure segments. The company generates and distributes electricity from coal, natural gas, oil, and nuclear, as well as renewable energy resources, including wind, solar, hydroelectric, and biomass; and distributes and transports natural gas. It also owns, maintains, monitors, and operates electric transmission systems; and generates, distributes, and sells steam. As of December 31, 2023, the company operated approximately 35,500 miles of overhead distribution lines and 36,500 miles of underground distribution cables, as well as 430 electric distribution substations and 523,700 line transformers; approximately 46,400 miles of natural gas distribution mains; 1,700 miles of natural gas transmission mains; 2.4 million natural gas lateral services; 490 natural gas distribution and transmission gate stations; and 69.3 billion cubic feet of working gas capacities in underground natural gas storage fields. The company was formerly known as Wisconsin Energy Corporation and changed its name to WEC Energy Group, Inc. in June 2015. WEC Energy Group, Inc. was founded in 1896 and is headquartered in Milwaukee, Wisconsin.

About CLP

CLP Holdings Limited, an investment holding company, engages in the generation, transmission, and distribution of electricity in Hong Kong, Mainland China, India Thailand, Taiwan, and Australia. The company generates electricity through coal, gas, nuclear, and renewable resources, such as wind, hydro, and solar. It is also involved in the provision of pumped storage services, and energy and infrastructure solutions; property investment activities; and retail of electricity and gas. CLP Holdings Limited was founded in 1901 and is based in Hung Hom, Hong Kong.