Contrasting Brookfield Renewable (NYSE:BEPC) & Cheniere Energy Partners (NYSE:CQP)

Cheniere Energy Partners (NYSE:CQP) and Brookfield Renewable (NYSE:BEPC) are both energy companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, dividends, institutional ownership, risk, earnings, profitability and analyst recommendations.

Dividends

Cheniere Energy Partners pays an annual dividend of $3.10 per share and has a dividend yield of 5.5%. Brookfield Renewable pays an annual dividend of $1.49 per share and has a dividend yield of 3.7%. Cheniere Energy Partners pays out 80.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Brookfield Renewable pays out -167.4% of its earnings in the form of a dividend. Brookfield Renewable has increased its dividend for 1 consecutive years.

Earnings & Valuation

This table compares Cheniere Energy Partners and Brookfield Renewable”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Cheniere Energy Partners	$8.70 billion	3.14	$2.51 billion	$3.84	14.71
Brookfield Renewable	$5.88 billion	0.99	$236.00 million	($0.89)	-45.24

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

Institutional and Insider Ownership

46.6% of Cheniere Energy Partners shares are held by institutional investors. Comparatively, 75.1% of Brookfield Renewable shares are held by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current recommendations for Cheniere Energy Partners and Brookfield Renewable, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cheniere Energy Partners	6	1	0	0	1.14
Brookfield Renewable	1	1	3	0	2.40

Cheniere Energy Partners currently has a consensus price target of $53.33, suggesting a potential downside of 5.61%. Brookfield Renewable has a consensus price target of $40.00, suggesting a potential downside of 0.66%. Given Brookfield Renewable’s stronger consensus rating and higher probable upside, analysts plainly believe Brookfield Renewable is more favorable than Cheniere Energy Partners.

Risk and Volatility

Cheniere Energy Partners has a beta of 0.4, indicating that its share price is 60% less volatile than the S&P 500. Comparatively, Brookfield Renewable has a beta of 1.23, indicating that its share price is 23% more volatile than the S&P 500.

Profitability

This table compares Cheniere Energy Partners and Brookfield Renewable’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Cheniere Energy Partners	22.54%	-591.00%	13.64%
Brookfield Renewable	-34.58%	-12.74%	-3.20%

About Cheniere Energy Partners

Cheniere Energy Partners, L.P., through its subsidiaries, provides liquefied natural gas (LNG) to integrated energy companies, utilities, and energy trading companies worldwide. The company owns and operates natural gas liquefaction and export facility at the Sabine Pass LNG Terminal located in Cameron Parish, Louisiana. It also owns a natural gas supply pipeline that interconnects the Sabine Pass LNG terminal with various interstate pipelines. The company was founded in 2003 and is headquartered in Houston, Texas. Cheniere Energy Partners, L.P. is a subsidiary of Cheniere Energy, Inc.

About Brookfield Renewable

Brookfield Renewable Corporation owns and operates a portfolio of renewable power and sustainable solution assets primarily in the United States, Europe, Colombia, and Brazil. It operates hydroelectric, wind, solar, and distributed energy and sustainable solutions with an installed capacity of approximately 19,161 megawatts. The company was incorporated in 2019 and is headquartered in New York, New York. Brookfield Renewable Corporation operates as a subsidiary of Brookfield BRP Holdings (Canada) Inc.