Analyzing FuelCell Energy (FCEL) & Trina Solar Limited (TSL)

Trina Solar Limited (NYSE: TSL) and FuelCell Energy (NASDAQ:FCEL) are both energy companies, but which is the better stock? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, valuation, profitability, dividends, risk and earnings.

Insider and Institutional Ownership

61.4% of Trina Solar Limited shares are held by institutional investors. Comparatively, 14.5% of FuelCell Energy shares are held by institutional investors. 1.7% of FuelCell Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility and Risk

Trina Solar Limited has a beta of 1.06, suggesting that its stock price is 6% more volatile than the S&P 500. Comparatively, FuelCell Energy has a beta of 1.83, suggesting that its stock price is 83% more volatile than the S&P 500.

Valuation & Earnings

This table compares Trina Solar Limited and FuelCell Energy’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Trina Solar Limited N/A N/A N/A $1.43 8.07
FuelCell Energy $83.61 million 0.98 -$36.29 million ($1.51) -0.91

Trina Solar Limited has higher revenue, but lower earnings than FuelCell Energy. FuelCell Energy is trading at a lower price-to-earnings ratio than Trina Solar Limited, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Trina Solar Limited and FuelCell Energy’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Trina Solar Limited 3.48% N/A N/A
FuelCell Energy -60.75% -44.42% -14.99%

Analyst Ratings

This is a breakdown of current ratings and target prices for Trina Solar Limited and FuelCell Energy, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Trina Solar Limited 1 2 0 0 1.67
FuelCell Energy 0 2 1 0 2.33

Trina Solar Limited currently has a consensus price target of $12.20, suggesting a potential upside of 5.72%. FuelCell Energy has a consensus price target of $2.00, suggesting a potential upside of 44.93%. Given FuelCell Energy’s stronger consensus rating and higher probable upside, analysts plainly believe FuelCell Energy is more favorable than Trina Solar Limited.

Summary

FuelCell Energy beats Trina Solar Limited on 6 of the 11 factors compared between the two stocks.

Trina Solar Limited Company Profile

Trina Solar Limited is an integrated solar power products manufacturer and solar system developer based in China with a global distribution network. The Company has integrated the manufacturing of ingots, wafers and solar cells for use in its photovoltaic (PV) module production. Its PV modules provide electric power for residential, commercial, industrial and other applications. It also develops, designs, constructs, operates and sells solar power projects that primarily use the solar modules it manufactures. It operates through two segments: manufacturing segment and the solar power projects segment. The manufacturing segment designs, develops, manufactures and sells PV modules, and integrates the manufacturing of ingots, wafers and solar cells for use in its PV module production. The solar power projects segment designs, constructs, operates and sells solar power projects in China, the United Kingdom, the United States and other European and Asian countries.

FuelCell Energy Company Profile

Fuelcell Energy, Inc. delivers fuel cell power solutions. The Company is engaged in designing, manufacturing, installing, operating and maintaining fuel cell power solutions. The Company also provides turnkey power generation solutions to the customers, including power plant installation, operations and maintenance. The Company’s segment is fuel cell power plant production and research. The Company offers its services to various sectors, including utility companies, municipalities, universities, government entities and a range of industrial and commercial enterprises. The Company, by utilizing its Direct FuelCell (DFC) plants, is commercializing a tri-generation distributed hydrogen configuration that generates electricity, heat and hydrogen for industrial and/or transportation uses, as well as a fuel cell carbon capture solution for coal or gas-fired power plants. The Company is also developing and commercializing solid oxide fuel cell (SOFC) plants for sub-megawatt applications.

Receive News & Ratings for Trina Solar Limited Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Trina Solar Limited and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply