Reviewing NiSource (NYSE:NI) and Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN)

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) (NYSE:EDN) and NiSource (NYSE:NI) are both utilities companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, earnings, risk and dividends.

Insider and Institutional Ownership

1.6% of Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) shares are held by institutional investors. Comparatively, 91.6% of NiSource shares are held by institutional investors. 0.2% of NiSource shares are held by company 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.

Earnings and Valuation

This table compares Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) and NiSource”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	$2.24 billion	0.64	$299.34 million	$4.18	7.54
NiSource	$5.46 billion	3.66	$760.40 million	$1.89	22.16

NiSource has higher revenue and earnings than Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor). Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) is trading at a lower price-to-earnings ratio than NiSource, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) and NiSource’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	7.82%	11.33%	4.42%
NiSource	14.15%	8.09%	2.66%

Risk & Volatility

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) has a beta of 1.81, meaning that its share price is 81% more volatile than the S&P 500. Comparatively, NiSource has a beta of 0.63, meaning that its share price is 37% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and recommmendations for Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) and NiSource, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)	0	2	0	0	2.00
NiSource	0	2	8	1	2.91

Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) currently has a consensus price target of $36.00, indicating a potential upside of 14.29%. NiSource has a consensus price target of $46.67, indicating a potential upside of 11.43%. Given Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)’s higher probable upside, equities analysts clearly believe Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) is more favorable than NiSource.

Summary

NiSource beats Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor) on 10 of the 15 factors compared between the two stocks.

About Empresa Distribuidora Y Comercializadora Norte S.A. (Edenor)

Empresa Distribuidora y Comercializadora Norte Sociedad Anónima is involved in the distribution and sale of electricity in Argentina. The company was incorporated in 1992 and is based in Buenos Aires, Argentina. Empresa Distribuidora y Comercializadora Norte Sociedad Anónima operates as a subsidiary of Empresa de Energía del Cono Sur S.A..

About NiSource

NiSource Inc., an energy holding company, operates as a regulated natural gas and electric utility company in the United States. It operates in two segments, Gas Distribution Operations and Electric Operations. The company distributes natural gas to approximately 3.3 million customers through approximately 55,000 miles of distribution main pipeline and the associated individual customer service lines; and 1,000 miles of transmission main pipeline in northern Indiana, Ohio, Pennsylvania, Virginia, Kentucky, and Maryland. It also generates, transmits, and distributes electricity to approximately 0.5 million customers in various counties in the northern part of Indiana, as well as engages in wholesale electric and transmission transactions. It owns and operates coal-fired electric generating stations in Wheatfield and Michigan City; combined cycle gas turbine in West Terre Haute; natural gas generating units in Wheatfield; hydro generating plants in Carroll County and White County; wind generating units in White County, Indiana; and solar generating units in Jasper County and White County. The company was formerly known as NIPSCO Industries, Inc. and changed its name to NiSource Inc. in April 1999. NiSource Inc. was founded in 1847 and is headquartered in Merrillville, Indiana.