Exelon (NASDAQ:EXC) versus OGE Energy (NYSE:OGE) Head-To-Head Contrast

Exelon (NASDAQ:EXC) and OGE Energy (NYSE:OGE) are both large-cap utilities companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, valuation, profitability, analyst recommendations, earnings and dividends.

Dividends

Exelon pays an annual dividend of $1.68 per share and has a dividend yield of 3.6%. OGE Energy pays an annual dividend of $1.70 per share and has a dividend yield of 3.5%. Exelon pays out 61.5% of its earnings in the form of a dividend. OGE Energy pays out 75.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Exelon has raised its dividend for 3 consecutive years and OGE Energy has raised its dividend for 18 consecutive years. Exelon is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Exelon and OGE Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Exelon	1	13	4	0	2.17
OGE Energy	0	7	4	0	2.36

Exelon currently has a consensus target price of $50.27, indicating a potential upside of 6.61%. OGE Energy has a consensus target price of $49.20, indicating a potential upside of 0.16%. Given Exelon’s higher probable upside, equities research analysts clearly believe Exelon is more favorable than OGE Energy.

Insider & Institutional Ownership

80.9% of Exelon shares are held by institutional investors. Comparatively, 71.8% of OGE Energy shares are held by institutional investors. 0.1% of Exelon shares are held by insiders. Comparatively, 0.6% of OGE Energy shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Exelon and OGE Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Exelon	11.21%	9.83%	2.44%
OGE Energy	14.03%	9.47%	3.20%

Risk & Volatility

Exelon has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500. Comparatively, OGE Energy has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500.

Earnings & Valuation

This table compares Exelon and OGE Energy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Exelon	$24.26 billion	1.99	$2.77 billion	$2.73	17.27
OGE Energy	$3.26 billion	3.11	$470.70 million	$2.24	21.93

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

About Exelon

Exelon Corporation, a utility services holding company, engages in the energy distribution and transmission businesses in the United States and Canada. The company is involved in the purchase and regulated retail sale of electricity and natural gas, transmission and distribution of electricity, and distribution of natural gas to retail customers. It also offers support services, including legal, human resources, information technology, supply management, financial, engineering, customer operations, transmission and distribution planning, asset management, system operations, and power procurement services. It serves distribution utilities, municipalities, and financial institutions, as well as commercial, industrial, governmental, and residential customers. Exelon Corporation was incorporated in 1999 and is headquartered in Chicago, Illinois.

About OGE Energy

OGE Energy Corp., together with its subsidiaries, operates as an energy services provider in the United States. The company generates, transmits, distributes, and sells electric energy. In addition, it provides retail electric service to approximately 896,000 customers, which covers a service area of approximately 30,000 square miles in Oklahoma and western Arkansas; and owns and operates coal-fired, natural gas-fired, wind-powered, and solar-powered generating assets. OGE Energy Corp. was founded in 1902 and is headquartered in Oklahoma City, Oklahoma.