Contrasting A2A (OTCMKTS:AEMMY) & IREN (NASDAQ:IREN)

A2A (OTCMKTS:AEMMY) and IREN (NASDAQ:IREN) are both utilities companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, analyst recommendations, institutional ownership, dividends, risk, earnings and valuation.

Institutional & Insider Ownership

41.1% of IREN shares are owned by institutional investors. 5.0% of IREN shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares A2A and IREN”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
A2A	N/A	N/A	N/A	N/A	N/A
IREN	$501.02 million	34.15	$86.94 million	$0.59	106.61

IREN has higher revenue and earnings than A2A.

Analyst Ratings

This is a summary of recent recommendations and price targets for A2A and IREN, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
A2A	0	1	0	0	2.00
IREN	1	3	11	0	2.67

IREN has a consensus target price of $54.45, suggesting a potential downside of 13.43%. Given IREN’s stronger consensus rating and higher possible upside, analysts clearly believe IREN is more favorable than A2A.

Profitability

This table compares A2A and IREN’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
A2A	N/A	N/A	N/A
IREN	33.03%	1.34%	0.94%

Summary

IREN beats A2A on 9 of the 9 factors compared between the two stocks.

About A2A

A2A S.p.A. engages in the production, sale, and distribution of gas and electricity, and district heating in Italy and internationally. The company generates electricity through hydroelectric, thermoelectric, photovoltaic, cogeneration, biomass, and wind plants; and sells and distributes gas. It also engages in the production and sale of heat produced through district heating networks; waste management activities, including collection and street sweeping, treatment, disposal, and recovery of materials and energy; and the construction and management of integrated waste disposal plants and systems. In addition, the company offers integrated water cycle management services; and technical consultancy services relating to energy efficiency certificates. Further, it is involved in the management of public lighting systems and street lights, and water purification and sewer activities, as well as offers garbage collection, street sweeping, video surveillance, energy efficiency, and electric mobility services. A2A S.p.A. is headquartered in Milan, Italy.

About IREN

IREN Limited, formerly known as Iris Energy Limited, owns and operates bitcoin mining data centers. The company was incorporated in 2018 and is headquartered in Sydney, Australia.