Analyzing Central Puerto (NYSE:CEPU) and Zeo Energy (NASDAQ:ZEO)

Central Puerto (NYSE:CEPU) and Zeo Energy (NASDAQ:ZEO) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.

Profitability

This table compares Central Puerto and Zeo Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Central Puerto	32.17%	13.12%	9.11%
Zeo Energy	-20.20%	N/A	-26.80%

Risk and Volatility

Central Puerto has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500. Comparatively, Zeo Energy has a beta of 0.13, suggesting that its stock price is 87% less volatile than the S&P 500.

Insider & Institutional Ownership

3.0% of Central Puerto shares are held by institutional investors. 0.1% of Central Puerto shares are held by company insiders. Comparatively, 56.2% of Zeo Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Central Puerto and Zeo Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Central Puerto	$782.60 million	2.99	$249.40 million	$1.68	9.19
Zeo Energy	$69.35 million	0.48	-$14.01 million	($0.74)	-0.78

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

Analyst Ratings

This is a breakdown of recent ratings and price targets for Central Puerto and Zeo Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Central Puerto	0	1	1	0	2.50
Zeo Energy	1	0	0	0	1.00

Central Puerto currently has a consensus price target of $17.50, suggesting a potential upside of 13.34%. Given Central Puerto’s stronger consensus rating and higher possible upside, analysts plainly believe Central Puerto is more favorable than Zeo Energy.

Summary

Central Puerto beats Zeo Energy on 13 of the 14 factors compared between the two stocks.

About Central Puerto

Central Puerto S.A. engages in the electric power generation in Argentina. It operates through three segments: Electric Power Generation from Conventional Sources, Electric Power Generation from Renewable Sources, and Natural Gas Transport and Distribution. The company generates energy through thermal, hydroelectric, and wind farms. It also engages in the natural gas transport and distribution business. Central Puerto S.A. was founded in 1898 and is based in Buenos Aires, Argentina.

About Zeo Energy

Zeo Energy Corp. provides residential solar energy systems, other energy efficient equipment, and related services in Florida, Texas, Arkansas, and Missouri, the United States. The company is involved in the selling and installing of residential solar energy systems that homeowners use electricity required to power their homes. Its residential solar energy systems comprise solar panels, inverters, and racking systems. It also offers insulation services, such as adding insulation to a home's attic or walls; energy efficiency equipment, including hybrid electric water heaters and swimming pool pumps; battery-based energy storage systems; and roofing services. Zeo Energy Corp. was founded in 2005 and is headquartered in New Port Richey, Florida.