Algonquin Power & Utilities Corp (AQN)vsEssential Utilities Inc (WTRG)
AQN
Algonquin Power & Utilities Corp
$6.16
-1.60%
UTILITIES · Cap: $4.74B
WTRG
Essential Utilities Inc
$39.49
-0.35%
UTILITIES · Cap: $11.19B
Smart Verdict
WallStSmart Research — data-driven comparison
Essential Utilities Inc generates 2% more annual revenue ($2.47B vs $2.43B). WTRG leads profitability with a 24.9% profit margin vs 7.4%. WTRG trades at a lower P/E of 17.9x. WTRG earns a higher WallStSmart Score of 60/100 (C+).
AQN
Hold46
out of 100
Grade: D+
WTRG
Buy60
out of 100
Grade: C+
Intrinsic Value Comparison
Multi-model valuation · Graham Formula
Margin of Safety
+71.3%
Fair Value
$22.99
Current Price
$6.16
$16.83 discount
Margin of Safety
+47.6%
Fair Value
$71.49
Current Price
$39.49
$32.00 discount
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Reasonable price relative to book value
Strong operational efficiency at 32.4%
Keeps 25 of every $100 in revenue as profit
Attractively priced relative to earnings
Reasonable price relative to book value
15.7% revenue growth
Areas to Watch
1.7% revenue growth
ROE of 2.6% — below average capital efficiency
7.4% margin — thin
Elevated debt levels
Weak financial health signals
Expensive relative to growth rate
Earnings declined 30.0%
Negative free cash flow — burning cash
Comparative Analysis Report
WallStSmart ResearchBull Case : AQN
The strongest argument for AQN centers on Price/Book.
Bull Case : WTRG
The strongest argument for WTRG centers on Operating Margin, Profit Margin, P/E Ratio. Profitability is solid with margins at 24.9% and operating margin at 32.4%. Revenue growth of 15.7% demonstrates continued momentum.
Bear Case : AQN
The primary concerns for AQN are Revenue Growth, Return on Equity, Profit Margin.
Bear Case : WTRG
The primary concerns for WTRG are Piotroski F-Score, PEG Ratio, EPS Growth.
Key Dynamics to Monitor
AQN profiles as a value stock while WTRG is a growth play — different risk/reward profiles.
AQN carries more volatility with a beta of 0.89 — expect wider price swings.
WTRG is growing revenue faster at 15.7% — sustainability is the question.
AQN generates stronger free cash flow (-45M), providing more financial flexibility.
Bottom Line
WTRG scores higher overall (60/100 vs 46/100), backed by strong 24.9% margins and 15.7% revenue growth. AQN offers better value entry with a 71.3% margin of safety. Both earn "Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
Algonquin Power & Utilities Corp
UTILITIES · UTILITIES - DIVERSIFIED · USA
Algonquin Power & Utilities Corp. The company is headquartered in Oakville, Canada.
Visit Website →Essential Utilities Inc
UTILITIES · UTILITIES - REGULATED WATER · USA
Essential Utilities, Inc. operates regulated utilities that provide water, wastewater, or natural gas services in the United States. The company is headquartered in Bryn Mawr, Pennsylvania.
Visit Website →Compare with Other UTILITIES - DIVERSIFIED Stocks
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