Critical Review: Fervo Energy (FRVO) versus Its Competitors

Fervo Energy (NASDAQ:FRVO) is one of 141 public companies in the “Independent Power & Renewable Electricity Producers” industry, but how does it contrast to its competitors? We will compare Fervo Energy to related companies based on the strength of its risk, profitability, analyst recommendations, earnings, valuation, institutional ownership and dividends.

Valuation & Earnings

This table compares Fervo Energy and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Fervo Energy	$140,000.00	-$70.51 million	-2.67
Fervo Energy Competitors	$35.59 billion	$816.69 million	16.02

Fervo Energy’s competitors have higher revenue and earnings than Fervo Energy. Fervo Energy is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a breakdown of current recommendations for Fervo Energy and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fervo Energy	1	1	14	2	2.94
Fervo Energy Competitors	950	2963	3756	182	2.40

Fervo Energy presently has a consensus price target of $40.87, suggesting a potential upside of 273.55%. As a group, “Independent Power & Renewable Electricity Producers” companies have a potential upside of 148.96%. Given Fervo Energy’s stronger consensus rating and higher probable upside, analysts plainly believe Fervo Energy is more favorable than its competitors.

Profitability

This table compares Fervo Energy and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fervo Energy	N/A	N/A	N/A
Fervo Energy Competitors	-37.00%	13.62%	0.71%

Insider and Institutional Ownership

35.1% of shares of all “Independent Power & Renewable Electricity Producers” companies are owned by institutional investors. 21.7% of shares of all “Independent Power & Renewable Electricity Producers” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Fervo Energy competitors beat Fervo Energy on 6 of the 11 factors compared.

About Fervo Energy

Fervo Energy Company is a geothermal energy developer, builds, owns and operates geothermal power facilities. Fervo Energy Company is based in Houston, Texas.