Otter Tail (OTTR) Competitors

Pinnacle West Capital (NYSE:PNW) and Otter Tail (NASDAQ:OTTR) are both utilities companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, media sentiment, valuation, earnings, analyst recommendations, profitability, risk and dividends.

Do analysts prefer PNW or OTTR?

Pinnacle West Capital presently has a consensus price target of $96.09, suggesting a potential upside of 4.55%. Otter Tail has a consensus price target of $83.00, suggesting a potential upside of 5.53%. Given Otter Tail's stronger consensus rating and higher possible upside, analysts clearly believe Otter Tail is more favorable than Pinnacle West Capital.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Pinnacle West Capital	0 Sell rating(s)	8 Hold rating(s)	5 Buy rating(s)	0 Strong Buy rating(s)	2.38
Otter Tail	0 Sell rating(s)	1 Hold rating(s)	1 Buy rating(s)	0 Strong Buy rating(s)	2.50

Does the media refer more to PNW or OTTR?

In the previous week, Pinnacle West Capital had 5 more articles in the media than Otter Tail. MarketBeat recorded 5 mentions for Pinnacle West Capital and 0 mentions for Otter Tail. Pinnacle West Capital's average media sentiment score of 0.01 beat Otter Tail's score of 0.00 indicating that Pinnacle West Capital is being referred to more favorably in the media.

Company	Overall Sentiment
Pinnacle West Capital	Neutral
Otter Tail	Neutral

Is PNW or OTTR a better dividend stock?

Pinnacle West Capital pays an annual dividend of $3.58 per share and has a dividend yield of 3.9%. Otter Tail pays an annual dividend of $2.10 per share and has a dividend yield of 2.7%. Pinnacle West Capital pays out 73.8% of its earnings in the form of a dividend. Otter Tail pays out 30.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Otter Tail has raised its dividend for 12 consecutive years.

Which has better valuation and earnings, PNW or OTTR?

Pinnacle West Capital has higher revenue and earnings than Otter Tail. Otter Tail is trading at a lower price-to-earnings ratio than Pinnacle West Capital, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Pinnacle West Capital	$5.12B	2.14	$608.81M	$4.85	18.95
Otter Tail	$1.33B	2.48	$301.66M	$6.80	11.57

Which has more risk and volatility, PNW or OTTR?

Pinnacle West Capital has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500. Comparatively, Otter Tail has a beta of 0.54, suggesting that its share price is 46% less volatile than the S&P 500.

Is PNW or OTTR more profitable?

Otter Tail has a net margin of 21.82% compared to Pinnacle West Capital's net margin of 10.96%. Otter Tail's return on equity of 16.85% beat Pinnacle West Capital's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Pinnacle West Capital	10.96%	8.45%	2.12%
Otter Tail	21.82%	16.85%	7.80%

Do insiders & institutionals hold more shares of PNW or OTTR?

91.5% of Pinnacle West Capital shares are held by institutional investors. Comparatively, 61.3% of Otter Tail shares are held by institutional investors. 0.2% of Pinnacle West Capital shares are held by insiders. Comparatively, 1.9% of Otter Tail shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

Otter Tail beats Pinnacle West Capital on 11 of the 19 factors compared between the two stocks.