Critical Contrast: CSLM Acquisition (NASDAQ:SPWR) vs. Real Goods Solar (OTCMKTS:RGSEQ)

CSLM Acquisition (NASDAQ:SPWR) and Real Goods Solar (OTCMKTS:RGSEQ) are both energy companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, profitability, dividends, analyst recommendations, earnings, institutional ownership and valuation.

Profitability

This table compares CSLM Acquisition and Real Goods Solar’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CSLM Acquisition	5.11%	-16.64%	10.18%
Real Goods Solar	N/A	N/A	N/A

Insider & Institutional Ownership

47.4% of CSLM Acquisition shares are held by institutional investors. 32.3% of CSLM Acquisition shares are held by insiders. Comparatively, 0.9% of Real Goods Solar 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.

Analyst Ratings

This is a summary of current ratings and target prices for CSLM Acquisition and Real Goods Solar, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CSLM Acquisition	0	2	1	1	2.75
Real Goods Solar	0	0	0	0	0.00

CSLM Acquisition presently has a consensus price target of $5.40, indicating a potential upside of 231.29%. Given CSLM Acquisition’s stronger consensus rating and higher probable upside, equities research analysts plainly believe CSLM Acquisition is more favorable than Real Goods Solar.

Valuation and Earnings

This table compares CSLM Acquisition and Real Goods Solar”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CSLM Acquisition	$308.94 million	0.57	-$56.45 million	($0.47)	-3.47
Real Goods Solar	N/A	N/A	N/A	N/A	N/A

Real Goods Solar has lower revenue, but higher earnings than CSLM Acquisition.

Summary

CSLM Acquisition beats Real Goods Solar on 9 of the 10 factors compared between the two stocks.

About CSLM Acquisition

Complete Solaria, Inc. engages in the provision of solar services. It offers sales enablement, project management, partner coordination, and customer communication. The company is headquartered in San Ramon, CA and does business as SunPower Corporation.

About Real Goods Solar

Real Goods Solar, Inc. provides solar energy systems to homeowners, and commercial building owners. It offers turnkey services, including design, procurement, permitting, build-out, grid connection, financing referrals, and warranty and customer satisfaction activities. The firm operates through three segments: Solar Division, POWERHOUSE and Other. The Solar Division segment engages the installation of solar energy systems for homeowners, including lease financing thereof, and small business commercial. The POWERHOUSE segment engages in the manufacturing and sales of solar shingles. The Other segment engages in corporate operations. The Other segment consists of corporate operations. The company was founded in 1978 and is headquartered in Denver, CO.