Brookfield Infrastructure (NYSE:BIPC – Get Free Report) and DTE Energy (NYSE:DTE – Get Free Report) are both utilities companies, but which is the better investment? We will compare the two businesses based on the strength of their analyst recommendations, risk, dividends, profitability, earnings, institutional ownership and valuation.
Analyst Recommendations
This is a summary of recent ratings for Brookfield Infrastructure and DTE Energy, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Brookfield Infrastructure | 2 | 0 | 0 | 0 | 1.00 |
| DTE Energy | 0 | 5 | 9 | 1 | 2.73 |
Brookfield Infrastructure currently has a consensus target price of $50.00, suggesting a potential upside of 26.26%. DTE Energy has a consensus target price of $158.46, suggesting a potential upside of 17.14%. Given Brookfield Infrastructure’s higher probable upside, analysts clearly believe Brookfield Infrastructure is more favorable than DTE Energy.
Valuation & Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Brookfield Infrastructure | $3.70 billion | 1.32 | N/A | N/A | N/A |
| DTE Energy | $15.81 billion | 1.78 | $1.46 billion | $6.32 | 21.41 |
DTE Energy has higher revenue and earnings than Brookfield Infrastructure.
Institutional and Insider Ownership
70.4% of Brookfield Infrastructure shares are owned by institutional investors. Comparatively, 76.1% of DTE Energy shares are owned by institutional investors. 0.6% of DTE Energy shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.
Dividends
Brookfield Infrastructure pays an annual dividend of $1.82 per share and has a dividend yield of 4.6%. DTE Energy pays an annual dividend of $4.66 per share and has a dividend yield of 3.4%. DTE Energy pays out 73.7% of its earnings in the form of a dividend. Brookfield Infrastructure has increased its dividend for 5 consecutive years and DTE Energy has increased its dividend for 16 consecutive years.
Volatility & Risk
Brookfield Infrastructure has a beta of 1.32, suggesting that its stock price is 32% more volatile than the S&P 500. Comparatively, DTE Energy has a beta of 0.38, suggesting that its stock price is 62% less volatile than the S&P 500.
Profitability
This table compares Brookfield Infrastructure and DTE Energy’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Brookfield Infrastructure | N/A | N/A | N/A |
| DTE Energy | 8.00% | 12.19% | 2.74% |
Summary
DTE Energy beats Brookfield Infrastructure on 11 of the 16 factors compared between the two stocks.
About Brookfield Infrastructure
Brookfield Infrastructure Corporation, together with its subsidiaries, owns and operates regulated natural gas transmission systems in Brazil. The company also engages in the regulated gas and electricity distribution operations in the United Kingdom; and electricity transmission and distribution, as well as gas distribution in Australia. It operates approximately 2,000 kilometers of natural gas transportation pipelines in the states of Rio de Janeiro, Sao Paulo, and Minas Gerais; 4.3 million gas and electricity connections; and a global fleet of approximately 7 million twenty-foot equivalent units (TEUs) intermodal containers under long-term contracts. The company was incorporated in 2019 and is headquartered in New York, New York. Brookfield Infrastructure Corporation operates as a subsidiary of Brookfield Infrastructure Partners L.P.
About DTE Energy
DTE Energy Company engages in the utility operations. The company's Electric segment generates, purchases, distributes, and sells electricity to various residential, commercial, and industrial customers in southeastern Michigan. It generates electricity through coal-fired plants, hydroelectric pumped storage, and nuclear plants, as well as wind and solar assets. This segment owns and operates distribution substations and line transformers. The company's Gas segment purchases, stores, transports, distributes, and sells natural gas to various residential, commercial, and industrial customers throughout Michigan; and sells storage and transportation capacity. Its DTE Vantage segment offers metallurgical and petroleum coke to steel and other industries; and power generation, steam production, chilled water production, and wastewater treatment services, as well as air supplies compressed air to industrial customers. Its Energy Trading segment engages in power, natural gas, and environmental marketing and trading; structured transactions; and the optimization of contracted natural gas pipeline transportation and storage positions. The company was founded in 1849 and is based in Detroit, Michigan.
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