Critical Survey: CLP (OTCMKTS:CLPHY) vs. Ballard Power Systems (NASDAQ:BLDP)

Ballard Power Systems (NASDAQ:BLDP) and CLP (OTCMKTS:CLPHY) are both utilities companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, risk, analyst recommendations, earnings and institutional ownership.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Ballard Power Systems and CLP, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ballard Power Systems	5	10	0	1	1.81
CLP	0	0	0	0	0.00

Ballard Power Systems currently has a consensus target price of $2.00, indicating a potential downside of 41.73%. Given Ballard Power Systems’ stronger consensus rating and higher probable upside, analysts plainly believe Ballard Power Systems is more favorable than CLP.

Institutional & Insider Ownership

28.0% of Ballard Power Systems shares are owned by institutional investors. 0.2% of Ballard Power Systems shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Ballard Power Systems has a beta of 1.8, meaning that its share price is 80% more volatile than the S&P 500. Comparatively, CLP has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500.

Earnings & Valuation

This table compares Ballard Power Systems and CLP”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ballard Power Systems	$69.73 million	14.83	-$324.24 million	($0.99)	-3.47
CLP	$11.66 billion	1.85	$1.52 billion	N/A	N/A

CLP has higher revenue and earnings than Ballard Power Systems.

Profitability

This table compares Ballard Power Systems and CLP’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ballard Power Systems	-409.35%	-21.52%	-18.62%
CLP	N/A	N/A	N/A

Summary

Ballard Power Systems beats CLP on 7 of the 12 factors compared between the two stocks.

About Ballard Power Systems

Ballard Power Systems Inc. engages in the design, development, manufacture, sale, and service of proton exchange membrane (PEM) fuel cell products. The company offers its products for power product comprising for bus, truck, rail, marine, stationary, and emerging market, such as material handling, off-road, and other applications. It also engages in the delivery of services, including technology solutions, after sales services, and training; and provision of engineering services, product and systems integration services, and related technology transfer for a variety of PEM fuel cell applications. It operates in the United States, Germany, Canada, China, Poland, the United Kingdom, the Netherlands, France, Denmark, Belgium, India, Taiwan, Spain, Norway, Australia, Japan, and internationally. The company has a strategic alliance with Linamar Corporation for the co-development and sale of fuel cell powertrains and components for class 1 and 2 vehicles in North America and Europe. Ballard Power Systems Inc. was founded in 1979 and is headquartered in Burnaby, Canada.

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.