Head-To-Head Contrast: Exelon (NASDAQ:EXC) versus Polar Power (NASDAQ:POLA)

Exelon (NASDAQ:EXC) and Polar Power (NASDAQ:POLA) are both utilities companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, earnings, analyst recommendations, dividends, profitability, institutional ownership and valuation.

Insider & Institutional Ownership

80.9% of Exelon shares are owned by institutional investors. Comparatively, 26.1% of Polar Power shares are owned by institutional investors. 0.1% of Exelon shares are owned by company insiders. Comparatively, 30.8% of Polar Power shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

Exelon has a beta of 0.41, indicating that its stock price is 59% less volatile than the S&P 500. Comparatively, Polar Power has a beta of 1.17, indicating that its stock price is 17% more volatile than the S&P 500.

Profitability

This table compares Exelon and Polar Power’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Exelon	11.41%	9.97%	2.48%
Polar Power	-104.14%	-135.21%	-55.02%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Exelon and Polar Power, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Exelon	2	7	9	0	2.39
Polar Power	1	0	0	0	1.00

Exelon currently has a consensus target price of $51.47, indicating a potential upside of 6.89%. Given Exelon’s stronger consensus rating and higher possible upside, equities analysts plainly believe Exelon is more favorable than Polar Power.

Earnings & Valuation

This table compares Exelon and Polar Power”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Exelon	$24.26 billion	2.03	$2.77 billion	$2.73	17.64
Polar Power	$8.33 million	0.58	-$4.68 million	($2.24)	-0.81

Exelon has higher revenue and earnings than Polar Power. Polar Power is trading at a lower price-to-earnings ratio than Exelon, indicating that it is currently the more affordable of the two stocks.

Summary

Exelon beats Polar Power on 12 of the 14 factors compared between the two stocks.

About Exelon

Exelon Corporation, a utility services holding company, engages in the energy distribution and transmission businesses in the United States and Canada. The company is involved in the purchase and regulated retail sale of electricity and natural gas, transmission and distribution of electricity, and distribution of natural gas to retail customers. It also offers support services, including legal, human resources, information technology, supply management, financial, engineering, customer operations, transmission and distribution planning, asset management, system operations, and power procurement services. It serves distribution utilities, municipalities, and financial institutions, as well as commercial, industrial, governmental, and residential customers. Exelon Corporation was incorporated in 1999 and is headquartered in Chicago, Illinois.

About Polar Power

Polar Power, Inc. designs, manufactures, and sells direct current (DC) power generators, renewable energy, and cooling systems in the United States and internationally. The company offers DC base power systems, DC hybrid power systems, DC solar hybrid power systems, and mobile power systems. Its DC power systems are available in diesel, natural gas, LPG/propane, and renewable fuel formats. It serves customers in the telecommunications, military, commercial, industrial, and marine markets. In addition, the company sells its products through a direct sales force, and independent service providers and dealers. The company was formerly known as Polar Products, Inc. and changed its name to Polar Power, Inc. in October 1991. Polar Power, Inc. was incorporated in 1979 and is based in Gardena, California.