Head-To-Head Contrast: Terna Rete Elettrica Nazionale (OTCMKTS:TEZNY) & Public Service Enterprise Group (NYSE:PEG)

Terna Rete Elettrica Nazionale (OTCMKTS:TEZNY) and Public Service Enterprise Group (NYSE:PEG) are both large-cap utilities companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Valuation & Earnings

This table compares Terna Rete Elettrica Nazionale and Public Service Enterprise Group”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Terna Rete Elettrica Nazionale	$3.98 billion	6.03	$1.15 billion	N/A	N/A
Public Service Enterprise Group	$12.17 billion	3.31	$2.11 billion	$4.22	19.15

Public Service Enterprise Group has higher revenue and earnings than Terna Rete Elettrica Nazionale.

Dividends

Terna Rete Elettrica Nazionale pays an annual dividend of $0.47 per share and has a dividend yield of 1.3%. Public Service Enterprise Group pays an annual dividend of $2.68 per share and has a dividend yield of 3.3%. Public Service Enterprise Group pays out 63.5% of its earnings in the form of a dividend. Public Service Enterprise Group has increased its dividend for 14 consecutive years. Public Service Enterprise Group is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Terna Rete Elettrica Nazionale and Public Service Enterprise Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Terna Rete Elettrica Nazionale	1	1	0	0	1.50
Public Service Enterprise Group	0	7	8	1	2.63

Public Service Enterprise Group has a consensus price target of $93.25, suggesting a potential upside of 15.41%. Given Public Service Enterprise Group’s stronger consensus rating and higher probable upside, analysts clearly believe Public Service Enterprise Group is more favorable than Terna Rete Elettrica Nazionale.

Profitability

This table compares Terna Rete Elettrica Nazionale and Public Service Enterprise Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Terna Rete Elettrica Nazionale	N/A	N/A	N/A
Public Service Enterprise Group	17.35%	12.11%	3.59%

Insider and Institutional Ownership

73.3% of Public Service Enterprise Group shares are owned by institutional investors. 0.2% of Public Service Enterprise Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Volatility and Risk

Terna Rete Elettrica Nazionale has a beta of 0.67, meaning that its share price is 33% less volatile than the S&P 500. Comparatively, Public Service Enterprise Group has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500.

Summary

Public Service Enterprise Group beats Terna Rete Elettrica Nazionale on 13 of the 16 factors compared between the two stocks.

About Terna Rete Elettrica Nazionale

Terna S.p.A., together with its subsidiaries, provides electricity transmission and dispatching services in Italy, other Euro-area countries, and internationally. It operates through Regulated, Non-Regulated, and International segments. The company is involved in the design, construction, management, development, operation, and maintenance of national transmission grid; dispatching and metering; and construction of storage systems. It also supplies transformers and cables; provides energy and connectivity services; and installs and operates interconnecting lines. In addition, the company designs, produces, commercializes, and repairs power transformers for electricity transmission and distribution grids; industrial transformers for the steel and metals industries; special transformers for convertors used in electrochemical production; produces and sells marine and terrestrial cables; develops renewable energy projects; and undertakes private interconnector projects. Terna S.p.A. was founded in 1962 and is based in Rome, Italy.

About Public Service Enterprise Group

Public Service Enterprise Group Incorporated, through its subsidiaries, operates in electric and gas utility business in the United States. It operates through PSE&G and PSEG Power segments. The PSE&G segment transmits electricity; distributes electricity and natural gas to residential, commercial, and industrial customers; and appliance services and repairs to customers through its service territory, as well as invests in solar generation projects, and energy efficiency and related programs. The PSEG Power segment engages in nuclear generation businesses; and supplies power and natural gas to nuclear power plants and gas storage facilities activities. As of December 31, 2023, it had electric transmission and distribution system of 25,000 circuit miles and 866,600 poles; 56 switching stations with an installed capacity of 39,953 megavolt-amperes (MVA), and 235 substations with an installed capacity of 10,382 MVA; 109 MVA aggregate installed capacity for substations; four electric distribution headquarters and five electric sub-headquarters; 18,000 miles of gas mains, 12 gas distribution headquarters, two sub-headquarters, and one meter shop, as well as 56 natural gas metering and regulating stations; and 158 MegaWatts defined conditions of installed PV solar capacity. Public Service Enterprise Group Incorporated was founded in 1903 and is based in Newark, New Jersey.