NRG Energy Inc. (NRG)vsCompanhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR (SBS)
NRG
NRG Energy Inc.
$133.36
+3.98%
UTILITIES · Cap: $26.47B
SBS
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
$5.35
+2.01%
UTILITIES · Cap: $19.18B
Smart Verdict
WallStSmart Research — data-driven comparison
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR generates 22% more annual revenue ($39.63B vs $32.38B). SBS leads profitability with a 22.0% profit margin vs 0.7%. NRG appears more attractively valued with a PEG of 0.43. SBS earns a higher WallStSmart Score of 79/100 (B+).
NRG
Buy51
out of 100
Grade: C-
SBS
Strong Buy79
out of 100
Grade: B+
Key Strengths & Concerns
Side-by-side fundamental analysis
Key Strengths
Growing faster than its price suggests
19.5% revenue growth
Growing faster than its price suggests
Attractively priced relative to earnings
Strong operational efficiency at 33.9%
Keeps 22 of every $100 in revenue as profit
Reasonable price relative to book value
18.3% revenue growth
Areas to Watch
Distress zone — elevated risk
ROE of 4.9% — below average capital efficiency
0.7% margin — thin
Operating margin of 3.6%
Elevated debt levels
Weak financial health signals
Distress zone — elevated risk
Comparative Analysis Report
WallStSmart ResearchBull Case : NRG
The strongest argument for NRG centers on PEG Ratio, Revenue Growth. Revenue growth of 19.5% demonstrates continued momentum. PEG of 0.43 suggests the stock is reasonably priced for its growth.
Bull Case : SBS
The strongest argument for SBS centers on PEG Ratio, P/E Ratio, Operating Margin. Profitability is solid with margins at 22.0% and operating margin at 33.9%. Revenue growth of 18.3% demonstrates continued momentum.
Bear Case : NRG
The primary concerns for NRG are Altman Z-Score, Return on Equity, Profit Margin. A P/E of 136.4x leaves little room for execution misses. Debt-to-equity of 4.79 is elevated, increasing financial risk.
Bear Case : SBS
The primary concerns for SBS are Debt/Equity, Piotroski F-Score, Altman Z-Score.
Key Dynamics to Monitor
NRG carries more volatility with a beta of 1.22 — expect wider price swings.
NRG is growing revenue faster at 19.5% — sustainability is the question.
SBS generates stronger free cash flow (722M), providing more financial flexibility.
Monitor UTILITIES - INDEPENDENT POWER PRODUCERS industry trends, competitive dynamics, and regulatory changes.
Bottom Line
SBS scores higher overall (79/100 vs 51/100), backed by strong 22.0% margins and 18.3% revenue growth. Both earn "Strong Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.
This analysis is generated from publicly available financial data. Not financial advice.
NRG Energy Inc.
UTILITIES · UTILITIES - INDEPENDENT POWER PRODUCERS · USA
NRG Energy, Inc. is a large American energy company, headquartered in Houston, Texas. It was formerly the wholesale arm of Northern States Power Company (NSP), which became Xcel Energy, but became independent in 2000. NRG Energy is involved in energy generation and retail electricity.
Companhia de Saneamento Basico do Estado de Sao Paulo SABESP ADR
UTILITIES · UTILITIES - REGULATED WATER · USA
Companhia de Saneamento Basico do Estado de So Paulo - SABESP provides water and sewerage services to residential, commercial, industrial and government clients. The company is headquartered in So Paulo, Brazil.
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