Financial Review: Eos Energy Enterprises (NASDAQ:EOSE) and NuScale Power (NYSE:SMR)

Eos Energy Enterprises (NASDAQ:EOSE) and NuScale Power (NYSE:SMR) are both industrials companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, risk, analyst recommendations, profitability, valuation, dividends and institutional ownership.

Volatility and Risk

Eos Energy Enterprises has a beta of 3.17, meaning that its stock price is 217% more volatile than the S&P 500. Comparatively, NuScale Power has a beta of 2.42, meaning that its stock price is 142% more volatile than the S&P 500.

Valuation and Earnings

This table compares Eos Energy Enterprises and NuScale Power”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eos Energy Enterprises	$214.25 million	2.96	-$969.65 million	($6.83)	-0.25
NuScale Power	$10.69 million	201.27	-$355.79 million	($2.92)	-1.71

NuScale Power has lower revenue, but higher earnings than Eos Energy Enterprises. NuScale Power is trading at a lower price-to-earnings ratio than Eos Energy Enterprises, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings for Eos Energy Enterprises and NuScale Power, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eos Energy Enterprises	1	6	2	1	2.30
NuScale Power	5	7	4	1	2.06

Eos Energy Enterprises currently has a consensus price target of $7.69, suggesting a potential upside of 341.81%. NuScale Power has a consensus price target of $8.73, suggesting a potential upside of 74.37%. Given Eos Energy Enterprises’ stronger consensus rating and higher probable upside, analysts clearly believe Eos Energy Enterprises is more favorable than NuScale Power.

Profitability

This table compares Eos Energy Enterprises and NuScale Power’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eos Energy Enterprises	-246.76%	N/A	-72.43%
NuScale Power	-3,888.70%	-35.59%	-30.27%

Insider and Institutional Ownership

54.9% of Eos Energy Enterprises shares are owned by institutional investors. Comparatively, 78.4% of NuScale Power shares are owned by institutional investors. 1.7% of Eos Energy Enterprises shares are owned by insiders. Comparatively, 1.3% of NuScale Power shares are owned by 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.

Summary

Eos Energy Enterprises beats NuScale Power on 8 of the 14 factors compared between the two stocks.

About Eos Energy Enterprises

Eos Energy Enterprises, Inc. designs, manufactures, and markets zinc-based energy storage solutions for utility-scale, microgrid, and commercial and industrial (C&I) applications in the United States. The company offers Znyth technology battery energy storage system (BESS), which provides the operating flexibility to manage increased grid complexity and price volatility. Its flagship product is Gen 2.3 battery module. In addition, the company offers Z3 battery module that provides utilities, independent power producers, renewables developers, and C&I customers with an alternative to lithium-ion and lead-acid monopolar batteries for critical 3- to 12-hour discharge duration applications; battery management system, which provides a remote asset monitoring capability and service to track the performance and health of BESS and identify future system performance issues through predictive analytics; and project management and commissioning services, as well as long-term maintenance plans. Eos Energy Enterprises, Inc. is headquartered in Edison, New Jersey.

About NuScale Power

NuScale Power Corporation engages in the development and sale of modular light water reactor nuclear power plants to supply energy for electrical generation, district heating, desalination, hydrogen production, and other process heat applications. It offers NuScale Power Module (NPM), a water reactor that can generate 77 megawatts of electricity (MWe); and VOYGR power plant designs for three facility sizes that are capable of housing from one to four and six or twelve NPMs. The company was founded in 2007 and is headquartered in Portland, Oregon. NuScale Power Corporation operates as a subsidiary of Fluor Enterprises, Inc.