Analyzing NET Power (NPWR) and Its Peers

NET Power (NYSE:NPWR) is one of 21 publicly-traded companies in the “Electrical industrial apparatus” industry, but how does it compare to its competitors? We will compare NET Power to similar companies based on the strength of its profitability, dividends, earnings, valuation, analyst recommendations, risk and institutional ownership.

Analyst Recommendations

This is a summary of recent ratings and target prices for NET Power and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NET Power	0	1	1	1	3.00
NET Power Competitors	92	598	839	35	2.52

NET Power currently has a consensus target price of $4.50, indicating a potential upside of 66.98%. As a group, “Electrical industrial apparatus” companies have a potential upside of 17.46%. Given NET Power’s stronger consensus rating and higher probable upside, research analysts plainly believe NET Power is more favorable than its competitors.

Institutional & Insider Ownership

53.6% of NET Power shares are owned by institutional investors. Comparatively, 53.1% of shares of all “Electrical industrial apparatus” companies are owned by institutional investors. 2.7% of NET Power shares are owned by company insiders. Comparatively, 10.7% of shares of all “Electrical industrial apparatus” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares NET Power and its competitors revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
NET Power	$250,000.00	-$77.23 million	-4.02
NET Power Competitors	$534.72 million	-$136.01 million	-1.96

NET Power’s competitors have higher revenue, but lower earnings than NET Power. NET Power is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

NET Power has a beta of 0.07, meaning that its share price is 93% less volatile than the S&P 500. Comparatively, NET Power’s competitors have a beta of 1.46, meaning that their average share price is 46% more volatile than the S&P 500.

Profitability

This table compares NET Power and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NET Power	N/A	6.23%	1.91%
NET Power Competitors	-211.08%	-93.75%	-17.25%

Summary

NET Power beats its competitors on 8 of the 13 factors compared.

NET Power Company Profile

NET Power Inc. operates as a clean energy technology company. The company invents, develops, and licenses clean power generation technology. NET Power Inc. was founded in 2010 and is headquartered in Durham, North Carolina.