Hallador Energy (NASDAQ:HNRG – Get Free Report) and Brookfield Renewable (NYSE:BEPC – Get Free Report) are both oils/energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, risk, profitability, valuation and earnings.
Profitability
This table compares Hallador Energy and Brookfield Renewable’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Hallador Energy | -1.25% | -1.48% | -0.72% |
| Brookfield Renewable | 2.37% | 0.79% | 0.29% |
Risk & Volatility
Hallador Energy has a beta of 0.62, suggesting that its share price is 38% less volatile than the S&P 500. Comparatively, Brookfield Renewable has a beta of 1.19, suggesting that its share price is 19% more volatile than the S&P 500.
Analyst Ratings
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Hallador Energy | 0 | 0 | 1 | 0 | 3.00 |
| Brookfield Renewable | 0 | 1 | 1 | 0 | 2.50 |
Hallador Energy presently has a consensus target price of $9.00, suggesting a potential downside of 9.37%. Brookfield Renewable has a consensus target price of $34.00, suggesting a potential upside of 11.15%. Given Brookfield Renewable’s higher probable upside, analysts clearly believe Brookfield Renewable is more favorable than Hallador Energy.
Earnings & Valuation
This table compares Hallador Energy and Brookfield Renewable”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Hallador Energy | $485.54 million | 0.76 | $44.79 million | $0.59 | 16.83 |
| Brookfield Renewable | $4.11 billion | 1.34 | -$181.00 million | ($0.46) | -66.50 |
Hallador Energy has higher earnings, but lower revenue than Brookfield Renewable. Brookfield Renewable is trading at a lower price-to-earnings ratio than Hallador Energy, indicating that it is currently the more affordable of the two stocks.
Dividends
Hallador Energy pays an annual dividend of $0.16 per share and has a dividend yield of 1.6%. Brookfield Renewable pays an annual dividend of $1.42 per share and has a dividend yield of 4.6%. Hallador Energy pays out 27.1% of its earnings in the form of a dividend. Brookfield Renewable pays out -308.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Brookfield Renewable is clearly the better dividend stock, given its higher yield and lower payout ratio.
Insider & Institutional Ownership
61.4% of Hallador Energy shares are held by institutional investors. Comparatively, 75.1% of Brookfield Renewable shares are held by institutional investors. 32.3% of Hallador Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.
Summary
Brookfield Renewable beats Hallador Energy on 10 of the 15 factors compared between the two stocks.
About Hallador Energy
Hallador Energy Company, through its subsidiaries, engages in the production of steam coal in the State of Indiana for the electric power generation industry. The company owns the Oaktown Mine 1 and Oaktown Mine 2 underground mines in Oaktown; Freelandville Center Pit surface mine in Freelandville; and Prosperity Surface mine in Petersburg, Indiana. It is also involved in gas exploration activities in Indiana; and operation of logistics transport facility. Hallador Energy Company was founded in 1949 and is headquartered in Terre Haute, Indiana.
About Brookfield Renewable
Brookfield Renewable Corporation owns and operates a portfolio of renewable power and sustainable solution assets primarily in the United States, Europe, Colombia, and Brazil. It operates hydroelectric, wind, solar, and distributed energy and sustainable solutions with an installed capacity of approximately 19,161 megawatts. The company was incorporated in 2019 and is headquartered in New York, New York. Brookfield Renewable Corporation operates as a subsidiary of Brookfield BRP Holdings (Canada) Inc.
Receive News & Ratings for Hallador Energy Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Hallador Energy and related companies with MarketBeat.com's FREE daily email newsletter.
