Financial Contrast: NuScale Power (NYSE:SMR) vs. nVent Electric (NYSE:NVT)

NuScale Power (NYSE:SMR) and nVent Electric (NYSE:NVT) are both industrials companies, but which is the better business? We will contrast the two companies based on the strength of their risk, institutional ownership, earnings, dividends, valuation, analyst recommendations and profitability.

Profitability

This table compares NuScale Power and nVent Electric’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NuScale Power	-3,888.70%	-35.59%	-30.27%
nVent Electric	12.38%	18.85%	10.30%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for NuScale Power and nVent Electric, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NuScale Power	4	7	4	1	2.12
nVent Electric	0	2	16	2	3.00

NuScale Power presently has a consensus target price of $11.25, suggesting a potential upside of 104.73%. nVent Electric has a consensus target price of $198.82, suggesting a potential upside of 35.97%. Given NuScale Power’s higher probable upside, research analysts plainly believe NuScale Power is more favorable than nVent Electric.

Volatility & Risk

NuScale Power has a beta of 2.36, meaning that its share price is 136% more volatile than the S&P 500. Comparatively, nVent Electric has a beta of 1.35, meaning that its share price is 35% more volatile than the S&P 500.

Valuation & Earnings

This table compares NuScale Power and nVent Electric”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NuScale Power	$31.48 million	75.01	-$355.79 million	($2.92)	-1.88
nVent Electric	$3.89 billion	6.08	$710.20 million	$3.66	39.95

nVent Electric has higher revenue and earnings than NuScale Power. NuScale Power is trading at a lower price-to-earnings ratio than nVent Electric, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

78.4% of NuScale Power shares are owned by institutional investors. Comparatively, 90.0% of nVent Electric shares are owned by institutional investors. 1.3% of NuScale Power shares are owned by company insiders. Comparatively, 1.7% of nVent Electric shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

nVent Electric beats NuScale Power on 12 of the 15 factors compared between the two stocks.

About NuScale Power

NuScale Power Corporation engages in the development and sale of modular light water reactor nuclear power plants to supply energy for electrical generation, district heating, desalination, hydrogen production, and other process heat applications. It offers NuScale Power Module (NPM), a water reactor that can generate 77 megawatts of electricity (MWe); and VOYGR power plant designs for three facility sizes that are capable of housing from one to four and six or twelve NPMs. The company was founded in 2007 and is headquartered in Portland, Oregon. NuScale Power Corporation operates as a subsidiary of Fluor Enterprises, Inc.

About nVent Electric

nVent Electric plc, together with its subsidiaries, designs, manufactures, markets, installs, and services electrical connection and protection solutions in North America, Europe, the Middle East, Africa, the Asia Pacific, and internationally. The company operates through three segments: Enclosures, Electrical & Fastening Solutions, and Thermal Management. The Enclosures segment provides solutions to protect electronics and data in mission critical applications, including data solutions. This segment also offers digital and automation solutions, system integrations, and global services. The Electrical & Fastening Solutions segment provides solutions that connect and protect power and data infrastructure. This segment also offers power connections, fastening solutions, cable management solutions, grounding and bonding systems, and tools and test instruments. The Thermal Management segment offers heat management solutions that protect people and assets. This segment includes heat tracing for freeze protection and process temperature maintenance and control; pipe freeze protection, surface deicing, hot water temperature maintenance, floor heating, fire-rated wiring, and leak detection; and heat trace systems, connected controls, remote monitoring, and annual service programs. The company markets its products through electrical distributors, contractors, and original equipment manufacturers under the CADDY, ERICO, GARDNER BENDER, HOFFMAN, ILSCO, RAYCHEM, SCHROFF, and TRACER brand names. Its products are used for various applications, such as industrial, commercial and residential, infrastructure, and energy. nVent Electric plc was founded in 1903 and is based in London, the United Kingdom.