Head to Head Contrast: Italgas (OTCMKTS:ITGGF) and UGI (NYSE:UGI)

Italgas (OTCMKTS:ITGGF) and UGI (NYSE:UGI) are both utilities companies, but which is the superior stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, risk, dividends, earnings and valuation.

Insider & Institutional Ownership

82.3% of UGI shares are held by institutional investors. 0.6% of UGI shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Italgas and UGI”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Italgas	N/A	N/A	N/A	N/A	N/A
UGI	$7.29 billion	1.12	$678.00 million	$2.99	12.75

UGI has higher revenue and earnings than Italgas.

Profitability

This table compares Italgas and UGI’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Italgas	N/A	N/A	N/A
UGI	9.20%	12.80%	4.15%

Analyst Ratings

This is a summary of current ratings and target prices for Italgas and UGI, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Italgas	0	1	3	0	2.75
UGI	1	2	3	0	2.33

UGI has a consensus price target of $42.00, indicating a potential upside of 10.18%. Given UGI’s higher probable upside, analysts clearly believe UGI is more favorable than Italgas.

Summary

UGI beats Italgas on 7 of the 8 factors compared between the two stocks.

About Italgas

Italgas S.p.A., together with its subsidiaries, engages in the distribution of natural gas in Italy. It is involved in the transportation of gas to households, enterprises, etc. The company operated a distribution network of 81,309 kilometers. It also engages in metering activities; and distributes and sells water. Italgas S.p.A. was founded in 1837 and is based in Milan, Italy.

About UGI

UGI Corporation, together with its subsidiaries, distributes, stores, transports, and markets energy products and related services in the United States and internationally. The company operates through four segments: AmeriGas Propane, UGI International, Midstream & Marketing, and UGI Utilities. It distributes propane to approximately 1.3 million residential, commercial/industrial, motor fuel, agricultural, and wholesale customers through 1,400 propane distribution locations. The company distributes liquefied petroleum gases (LPG) to residential, commercial, industrial, agricultural, wholesale and automobile fuel customers; and provides logistics, storage, and other services to third-party LPG distributors. In addition, it engages in the retail sale of natural gas, liquid fuels, and electricity to approximately 12,400 residential, commercial, and industrial customers at 42,000 locations. Further, the company distributes natural gas to approximately 677,000 customers in eastern and central Pennsylvania counties through its distribution system of approximately 12,500 miles of gas mains; and supplies electricity to approximately 62,600 customers in northeastern Pennsylvania through 2,560 miles of lines and 14 substations. Additionally, it operates electric generation facilities, which include coal-fired, landfill gas-fueled, solar-powered, and natural gas-fueled facilities; a natural gas liquefaction, storage, and vaporization facility; propane storage and propane-air mixing stations; and rail transshipment terminals. It manages natural gas pipeline and storage contracts; develops, owns, and operates pipelines, gathering infrastructure, and gas storage facilities. UGI Corporation was incorporated in 1882 and is headquartered in King of Prussia, Pennsylvania.