Analyzing Summer Energy (OTCMKTS:SUME) & WEC Energy Group (NYSE:WEC)

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

Risk & Volatility

Summer Energy has a beta of -152.45, meaning that its stock price is 15,345% less volatile than the S&P 500. Comparatively, WEC Energy Group has a beta of 0.44, meaning that its stock price is 56% less volatile than the S&P 500.

Profitability

This table compares Summer Energy and WEC Energy Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Summer Energy	N/A	N/A	N/A
WEC Energy Group	17.95%	12.94%	3.55%

Insider & Institutional Ownership

77.2% of WEC Energy Group shares are owned by institutional investors. 56.8% of Summer Energy shares are owned by company insiders. Comparatively, 0.5% of WEC Energy Group shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and price targets for Summer Energy and WEC Energy Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Summer Energy	0	0	0	0	0.00
WEC Energy Group	1	6	3	0	2.20

WEC Energy Group has a consensus price target of $106.40, suggesting a potential downside of 1.86%. Given WEC Energy Group’s stronger consensus rating and higher probable upside, analysts plainly believe WEC Energy Group is more favorable than Summer Energy.

Valuation & Earnings

This table compares Summer Energy and WEC Energy Group”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Summer Energy	N/A	N/A	N/A	N/A	N/A
WEC Energy Group	$8.60 billion	4.02	$1.53 billion	$5.13	21.13

WEC Energy Group has higher revenue and earnings than Summer Energy.

Summary

WEC Energy Group beats Summer Energy on 9 of the 10 factors compared between the two stocks.

About Summer Energy

Summer Energy Holdings, Inc., through its subsidiaries, operates as a retail electric provider in Texas, Massachusetts, New Hampshire, Ohio, and Illinois. It procures wholesale energy and resells to commercial and residential customers. The company was founded in 2011 and is headquartered in Houston, Texas.

About WEC Energy Group

WEC Energy Group, Inc., through its subsidiaries, provides regulated natural gas and electricity, and renewable and nonregulated renewable energy services in the United States. It operates through Wisconsin, Illinois, Other States, Electric Transmission, and Non-Utility Energy Infrastructure segments. The company generates and distributes electricity from coal, natural gas, oil, and nuclear, as well as renewable energy resources, including wind, solar, hydroelectric, and biomass; and distributes and transports natural gas. It also owns, maintains, monitors, and operates electric transmission systems; and generates, distributes, and sells steam. As of December 31, 2023, the company operated approximately 35,500 miles of overhead distribution lines and 36,500 miles of underground distribution cables, as well as 430 electric distribution substations and 523,700 line transformers; approximately 46,400 miles of natural gas distribution mains; 1,700 miles of natural gas transmission mains; 2.4 million natural gas lateral services; 490 natural gas distribution and transmission gate stations; and 69.3 billion cubic feet of working gas capacities in underground natural gas storage fields. The company was formerly known as Wisconsin Energy Corporation and changed its name to WEC Energy Group, Inc. in June 2015. WEC Energy Group, Inc. was founded in 1896 and is headquartered in Milwaukee, Wisconsin.