Critical Survey: Spark Power Group (OTCMKTS:SKPGF) versus Ormat Technologies (NYSE:ORA)

Ormat Technologies (NYSE:ORA) and Spark Power Group (OTCMKTS:SKPGF) are both utilities companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, profitability, earnings, dividends, valuation, risk and institutional ownership.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Ormat Technologies and Spark Power Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ormat Technologies	1	5	8	0	2.50
Spark Power Group	0	0	0	0	0.00

Ormat Technologies presently has a consensus target price of $130.83, suggesting a potential upside of 15.78%. Given Ormat Technologies’ stronger consensus rating and higher probable upside, research analysts clearly believe Ormat Technologies is more favorable than Spark Power Group.

Earnings and Valuation

This table compares Ormat Technologies and Spark Power Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ormat Technologies	$989.54 million	7.02	$123.90 million	$2.03	55.67
Spark Power Group	N/A	N/A	N/A	N/A	N/A

Ormat Technologies has higher revenue and earnings than Spark Power Group.

Profitability

This table compares Ormat Technologies and Spark Power Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ormat Technologies	10.66%	6.61%	2.75%
Spark Power Group	N/A	N/A	N/A

Institutional and Insider Ownership

95.5% of Ormat Technologies shares are held by institutional investors. 0.5% of Ormat Technologies shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Summary

Ormat Technologies beats Spark Power Group on 9 of the 9 factors compared between the two stocks.

About Ormat Technologies

Ormat Technologies, Inc. engages in the geothermal and recovered energy power business in the United States, Indonesia, Kenya, Turkey, Chile, Guatemala, Guadeloupe, New Zealand, Honduras, and internationally. It operates in three segments: Electricity, Product, and Energy Storage. The Electricity segment develops, builds, owns, and operates geothermal, solar photovoltaic, and recovered energy-based power plants; and sells electricity. The Product segment designs, manufactures, and sells equipment for geothermal and recovered energy-based electricity generation; and provides services relating to the engineering, procurement, construction, operation, and maintenance of geothermal and recovered energy-based power plants. This segment serves contractors; and owners and operators of interstate natural gas pipelines, gas processing plants, and cement plants, as well as companies in other energy-intensive industrial processes. The Energy Storage segment offers battery energy storage systems and related services. Ormat Technologies, Inc. was founded in 1965 and is headquartered in Reno, Nevada.

About Spark Power Group

Spark Power Group Inc. provides electrical contracting, operations, and maintenance services, as well as energy sustainability solutions in Canada and the United States. The company's Technical Services segment offers low-voltage technical services, including electrical contracting, custom control panel design and assembly, industrial automation, electronic repair, systems integration, and 24/7 emergency services; and medium and high voltage technical services, such as power on', equipment installation, sub-station construction and maintenance, commissioning, power line construction and maintenance, thermography, and transformer maintenance services. This segment also provides engineering services comprising power systems engineering, protection and control engineering, substation engineering, SCADA engineering, and arc flash studies, as well as fabrication shop/paint services; buys, refurbishes, and resells used electrical equipment; sells and rents power transformers; and sells medium voltage electrical switchgears. Its Renewables segment offers renewables operations and maintenance services comprising wind, solar, battery energy storage systems, and electric vehicle assets. The company serves industrial, commercial, institutional, renewable, and agricultural customers, as well as utility markets, including municipalities, universities, schools, and hospitals. Spark Power Group Inc. is headquartered in Oakville, Canada. As of December 5, 2023, Spark Power Group Inc. was taken private.