SolarEdge Technologies (NASDAQ:SEDG) and NuScale Power (NYSE:SMR) Head to Head Analysis

NuScale Power (NYSE:SMR) and SolarEdge Technologies (NASDAQ:SEDG) are both industrials companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, institutional ownership, profitability and earnings.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for NuScale Power and SolarEdge Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NuScale Power	4	8	4	1	2.12
SolarEdge Technologies	5	11	2	0	1.83

NuScale Power presently has a consensus target price of $12.96, suggesting a potential upside of 121.75%. SolarEdge Technologies has a consensus target price of $38.73, suggesting a potential upside of 23.51%. Given NuScale Power’s stronger consensus rating and higher possible upside, analysts plainly believe NuScale Power is more favorable than SolarEdge Technologies.

Insider and Institutional Ownership

78.4% of NuScale Power shares are owned by institutional investors. Comparatively, 95.1% of SolarEdge Technologies shares are owned by institutional investors. 1.3% of NuScale Power shares are owned by insiders. Comparatively, 1.0% of SolarEdge Technologies shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

NuScale Power has a beta of 2.36, suggesting that its stock price is 136% more volatile than the S&P 500. Comparatively, SolarEdge Technologies has a beta of 1.44, suggesting that its stock price is 44% more volatile than the S&P 500.

Profitability

This table compares NuScale Power and SolarEdge Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NuScale Power	-3,888.70%	-35.59%	-30.27%
SolarEdge Technologies	-20.29%	-29.17%	-5.62%

Earnings and Valuation

This table compares NuScale Power and SolarEdge Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NuScale Power	$31.48 million	79.79	-$355.79 million	($2.92)	-2.00
SolarEdge Technologies	$1.33 billion	1.45	-$405.45 million	($4.50)	-6.97

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

Summary

NuScale Power beats SolarEdge Technologies on 10 of the 15 factors compared between the two stocks.

About NuScale Power

NuScale Power Corporation engages in the development and sale of modular light water reactor nuclear power plants to supply energy for electrical generation, district heating, desalination, hydrogen production, and other process heat applications. It offers NuScale Power Module (NPM), a water reactor that can generate 77 megawatts of electricity (MWe); and VOYGR power plant designs for three facility sizes that are capable of housing from one to four and six or twelve NPMs. The company was founded in 2007 and is headquartered in Portland, Oregon. NuScale Power Corporation operates as a subsidiary of Fluor Enterprises, Inc.

About SolarEdge Technologies

SolarEdge Technologies, Inc., together with its subsidiaries, designs, develops, manufactures, and sells direct current (DC) optimized inverter systems for solar photovoltaic (PV) installations in the United States, Germany, the Netherlands, Italy, rest of Europe, and internationally. It operates in two segments, Solar and Energy Storage. The Solar segment offers power optimizers, inverters, batteries, storage solutions, electric vehicle chargers, smart tracking solutions, and smart energy management software products; Monitoring platform, a cloud-based monitoring platform, which collects power, voltage, current, and system data sent from inverters and power optimizers; and MySolarEdge app, that enables system owners to track their real-time system production and household energy consumption. This segment also provides Designer platform, an web-based tool that helps solar professionals to plan, build, and validate residential and commercial systems; Mapper application for registering the physical layout of new PV sites installed with DC optimized inverter systems; SetApp application that activates and configurate inverters; and grid services. The Energy Storage segment provides lithium-ion cells and containerized battery systems (BESS) solutions for commercial, industrial, and utility markets; modules and racks; purpose-built components and solutions, and hardware and software tools; and pre and post sales engineering support for designing, building, and managing battery and system solutions. The company offers e-mobility products, automated machines, and UPS products; and pre-sales support, ongoing trainings, and technical support and after installation services. It sells its products through solar installers and distributors, electrical equipment wholesalers, and PV module manufacturers, as well as engineering, procurement, and construction firms. SolarEdge Technologies, Inc. was incorporated in 2006 and is headquartered in Herzliya, Israel.