Seek Returns logo

LNT vs. NRG: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at LNT and NRG, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

SymbolLNTNRG
Company NameAlliant Energy CorporationNRG Energy, Inc.
CountryUnited StatesUnited States
GICS SectorUtilitiesUtilities
GICS IndustryElectric UtilitiesElectric Utilities
Market Capitalization17.17 billion USD32.16 billion USD
ExchangeNasdaqGSNYSE
Listing DateFebruary 21, 1973December 2, 2003
Security TypeCommon StockCommon Stock

Historical Performance

This chart compares the performance of LNT and NRG by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

LNT vs. NRG: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolLNTNRG
5-Day Price Return0.03%0.57%
13-Week Price Return8.56%4.98%
26-Week Price Return3.81%74.19%
52-Week Price Return10.25%79.78%
Month-to-Date Return-0.90%2.67%
Year-to-Date Return12.95%84.31%
10-Day Avg. Volume1.78M2.52M
3-Month Avg. Volume1.84M2.84M
3-Month Volatility14.68%42.67%
Beta0.671.26

Profitability

Return on Equity (TTM)

LNT

11.80%

Electric Utilities Industry

Max
25.46%
Q3
14.70%
Median
10.64%
Q1
6.99%
Min
0.02%

LNT’s Return on Equity of 11.80% is on par with the norm for the Electric Utilities industry, indicating its profitability relative to shareholder equity is typical for the sector.

NRG

20.75%

Electric Utilities Industry

Max
25.46%
Q3
14.70%
Median
10.64%
Q1
6.99%
Min
0.02%

In the upper quartile for the Electric Utilities industry, NRG’s Return on Equity of 20.75% signals a highly effective use of shareholder capital to drive profitability compared to most of its peers.

LNT vs. NRG: A comparison of their Return on Equity (TTM) against the Electric Utilities industry benchmark.

Net Profit Margin (TTM)

LNT

20.78%

Electric Utilities Industry

Max
29.56%
Q3
16.54%
Median
11.20%
Q1
7.30%
Min
0.01%

A Net Profit Margin of 20.78% places LNT in the upper quartile for the Electric Utilities industry, signifying strong profitability and more effective cost management than most of its peers.

NRG

1.78%

Electric Utilities Industry

Max
29.56%
Q3
16.54%
Median
11.20%
Q1
7.30%
Min
0.01%

Falling into the lower quartile for the Electric Utilities industry, NRG’s Net Profit Margin of 1.78% indicates weaker profitability. This means the company retains a smaller portion of each dollar in sales as profit compared to its competitors.

LNT vs. NRG: A comparison of their Net Profit Margin (TTM) against the Electric Utilities industry benchmark.

Operating Profit Margin (TTM)

LNT

25.32%

Electric Utilities Industry

Max
38.77%
Q3
25.54%
Median
18.87%
Q1
14.12%
Min
0.02%

LNT’s Operating Profit Margin of 25.32% is around the midpoint for the Electric Utilities industry, indicating that its efficiency in managing core business operations is typical for the sector.

NRG

3.87%

Electric Utilities Industry

Max
38.77%
Q3
25.54%
Median
18.87%
Q1
14.12%
Min
0.02%

NRG’s Operating Profit Margin of 3.87% is in the lower quartile for the Electric Utilities industry. This indicates weaker profitability from core operations, which may stem from inefficiencies or competitive pressures on pricing.

LNT vs. NRG: A comparison of their Operating Profit Margin (TTM) against the Electric Utilities industry benchmark.

Profitability at a Glance

SymbolLNTNRG
Return on Equity (TTM)11.80%20.75%
Return on Assets (TTM)3.61%2.16%
Net Profit Margin (TTM)20.78%1.78%
Operating Profit Margin (TTM)25.32%3.87%
Gross Profit Margin (TTM)39.32%15.25%

Financial Strength

Current Ratio (MRQ)

LNT

0.57

Electric Utilities Industry

Max
1.82
Q3
1.23
Median
0.98
Q1
0.72
Min
0.13

LNT’s Current Ratio of 0.57 falls into the lower quartile for the Electric Utilities industry. This indicates a tighter liquidity situation and a more constrained capacity to handle short-term debt than many of its competitors.

NRG

0.93

Electric Utilities Industry

Max
1.82
Q3
1.23
Median
0.98
Q1
0.72
Min
0.13

NRG’s Current Ratio of 0.93 aligns with the median group of the Electric Utilities industry, indicating that its short-term liquidity is in line with its sector peers.

LNT vs. NRG: A comparison of their Current Ratio (MRQ) against the Electric Utilities industry benchmark.

Debt-to-Equity Ratio (MRQ)

LNT

1.58

Electric Utilities Industry

Max
3.72
Q3
1.90
Median
1.27
Q1
0.62
Min
0.00

LNT’s Debt-to-Equity Ratio of 1.58 is typical for the Electric Utilities industry, indicating its use of leverage is in line with the sector norm. This suggests a balanced approach to its capital structure.

NRG

4.78

Electric Utilities Industry

Max
3.72
Q3
1.90
Median
1.27
Q1
0.62
Min
0.00

With a Debt-to-Equity Ratio of 4.78, NRG operates with exceptionally high leverage compared to the Electric Utilities industry norm. This suggests an aggressive reliance on debt financing, which can magnify returns but also significantly elevates financial risk.

LNT vs. NRG: A comparison of their Debt-to-Equity Ratio (MRQ) against the Electric Utilities industry benchmark.

Interest Coverage Ratio (TTM)

LNT

2.84

Electric Utilities Industry

Max
18.68
Q3
9.89
Median
3.33
Q1
2.62
Min
-3.31

LNT’s Interest Coverage Ratio of 2.84 is positioned comfortably within the norm for the Electric Utilities industry, indicating a standard and healthy capacity to cover its interest payments.

NRG

4.43

Electric Utilities Industry

Max
18.68
Q3
9.89
Median
3.33
Q1
2.62
Min
-3.31

NRG’s Interest Coverage Ratio of 4.43 is positioned comfortably within the norm for the Electric Utilities industry, indicating a standard and healthy capacity to cover its interest payments.

LNT vs. NRG: A comparison of their Interest Coverage Ratio (TTM) against the Electric Utilities industry benchmark.

Financial Strength at a Glance

SymbolLNTNRG
Current Ratio (MRQ)0.570.93
Quick Ratio (MRQ)0.460.77
Debt-to-Equity Ratio (MRQ)1.584.78
Interest Coverage Ratio (TTM)2.844.43

Growth

Revenue Growth

LNT vs. NRG: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

LNT vs. NRG: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

LNT

2.95%

Electric Utilities Industry

Max
6.61%
Q3
4.66%
Median
3.55%
Q1
2.23%
Min
0.00%

LNT’s Dividend Yield of 2.95% is consistent with its peers in the Electric Utilities industry, providing a dividend return that is standard for its sector.

NRG

1.26%

Electric Utilities Industry

Max
6.61%
Q3
4.66%
Median
3.55%
Q1
2.23%
Min
0.00%

NRG’s Dividend Yield of 1.26% is in the lower quartile for the Electric Utilities industry. This suggests the company’s strategy likely favors retaining earnings for growth over providing a high dividend income.

LNT vs. NRG: A comparison of their Dividend Yield (TTM) against the Electric Utilities industry benchmark.

Dividend Payout Ratio (TTM)

LNT

60.94%

Electric Utilities Industry

Max
140.33%
Q3
84.46%
Median
60.94%
Q1
31.83%
Min
0.00%

LNT’s Dividend Payout Ratio of 60.94% is within the typical range for the Electric Utilities industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

NRG

13.61%

Electric Utilities Industry

Max
140.33%
Q3
84.46%
Median
60.94%
Q1
31.83%
Min
0.00%

NRG’s Dividend Payout Ratio of 13.61% is in the lower quartile for the Electric Utilities industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

LNT vs. NRG: A comparison of their Dividend Payout Ratio (TTM) against the Electric Utilities industry benchmark.

Dividend at a Glance

SymbolLNTNRG
Dividend Yield (TTM)2.95%1.26%
Dividend Payout Ratio (TTM)60.94%13.61%

Valuation

Price-to-Earnings Ratio (TTM)

LNT

20.69

Electric Utilities Industry

Max
34.39
Q3
21.23
Median
15.47
Q1
10.17
Min
3.08

LNT’s P/E Ratio of 20.69 is within the middle range for the Electric Utilities industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

NRG

62.11

Electric Utilities Industry

Max
34.39
Q3
21.23
Median
15.47
Q1
10.17
Min
3.08

At 62.11, NRG’s P/E Ratio is exceptionally high, exceeding the typical maximum for the Electric Utilities industry. This suggests the stock may be significantly overvalued compared to its peers and implies high market expectations that could be difficult to meet.

LNT vs. NRG: A comparison of their Price-to-Earnings Ratio (TTM) against the Electric Utilities industry benchmark.

Price-to-Sales Ratio (TTM)

LNT

4.30

Electric Utilities Industry

Max
6.03
Q3
3.06
Median
1.89
Q1
1.06
Min
0.00

LNT’s P/S Ratio of 4.30 is in the upper echelon for the Electric Utilities industry. This means the company is valued richly on its revenue stream compared to its peers, suggesting the stock is priced for a high level of future performance.

NRG

1.10

Electric Utilities Industry

Max
6.03
Q3
3.06
Median
1.89
Q1
1.06
Min
0.00

NRG’s P/S Ratio of 1.10 aligns with the market consensus for the Electric Utilities industry. This suggests its valuation, based on sales, is seen as standard and is on par with its competitors.

LNT vs. NRG: A comparison of their Price-to-Sales Ratio (TTM) against the Electric Utilities industry benchmark.

Price-to-Book Ratio (MRQ)

LNT

2.17

Electric Utilities Industry

Max
2.97
Q3
1.86
Median
1.46
Q1
1.01
Min
0.27

LNT’s P/B Ratio of 2.17 is in the upper tier for the Electric Utilities industry. This indicates that investors are paying a premium relative to the company’s net assets, a valuation that hinges on its ability to generate superior profits.

NRG

13.72

Electric Utilities Industry

Max
2.97
Q3
1.86
Median
1.46
Q1
1.01
Min
0.27

At 13.72, NRG’s P/B Ratio is at an extreme premium to the Electric Utilities industry. This signifies that the market’s valuation is heavily reliant on future potential rather than its current net asset value, which can be a high-risk proposition.

LNT vs. NRG: A comparison of their Price-to-Book Ratio (MRQ) against the Electric Utilities industry benchmark.

Valuation at a Glance

SymbolLNTNRG
Price-to-Earnings Ratio (TTM)20.6962.11
Price-to-Sales Ratio (TTM)4.301.10
Price-to-Book Ratio (MRQ)2.1713.72
Price-to-Free Cash Flow Ratio (TTM)120.5321.95