WallStSmart

NiSource Inc (NI)vsNorthwest Natural Gas Co (NWN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NiSource Inc generates 431% more annual revenue ($6.82B vs $1.29B). NI leads profitability with a 14.1% profit margin vs 9.6%. NWN appears more attractively valued with a PEG of 2.54. NI earns a higher WallStSmart Score of 60/100 (C+).

NI

Buy

60

out of 100

Grade: C+

Growth: 5.3Profit: 7.0Value: 4.3Quality: 3.5
Piotroski: 5/9Altman Z: 0.58

NWN

Buy

58

out of 100

Grade: C

Growth: 4.7Profit: 6.0Value: 6.0Quality: 3.0
Piotroski: 3/9Altman Z: 0.59
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

Intrinsic value data unavailable for NI.

NWNUndervalued (+17.3%)

Margin of Safety

+17.3%

Fair Value

$59.03

Current Price

$49.73

$9.30 discount

UndervaluedFair: $59.03Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NI2 strengths · Avg: 9.0/10
Operating MarginProfitability
34.8%10/10

Strong operational efficiency at 34.8%

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

NWN3 strengths · Avg: 9.3/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
33.2%10/10

Strong operational efficiency at 33.2%

P/E RatioValuation
17.3x8/10

Attractively priced relative to earnings

Areas to Watch

NI4 concerns · Avg: 2.3/10
Debt/EquityHealth
1.743/10

Elevated debt levels

PEG RatioValuation
2.722/10

Expensive relative to growth rate

Free Cash FlowQuality
$-362.90M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.582/10

Distress zone — elevated risk

NWN4 concerns · Avg: 2.8/10
Return on EquityProfitability
7.8%3/10

ROE of 7.8% — below average capital efficiency

Debt/EquityHealth
1.703/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

PEG RatioValuation
2.542/10

Expensive relative to growth rate

Comparative Analysis Report

WallStSmart Research

Bull Case : NI

The strongest argument for NI centers on Operating Margin, Price/Book.

Bull Case : NWN

The strongest argument for NWN centers on Price/Book, Operating Margin, P/E Ratio.

Bear Case : NI

The primary concerns for NI are Debt/Equity, PEG Ratio, Free Cash Flow. Debt-to-equity of 1.74 is elevated, increasing financial risk.

Bear Case : NWN

The primary concerns for NWN are Return on Equity, Debt/Equity, Piotroski F-Score. Debt-to-equity of 1.70 is elevated, increasing financial risk.

Key Dynamics to Monitor

NI carries more volatility with a beta of 0.55 — expect wider price swings.

NI is growing revenue faster at 8.2% — sustainability is the question.

NWN generates stronger free cash flow (2M), providing more financial flexibility.

Monitor UTILITIES - REGULATED GAS industry trends, competitive dynamics, and regulatory changes.

Bottom Line

NI scores higher overall (60/100 vs 58/100). NWN offers better value entry with a 17.3% margin of safety. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

NiSource Inc

UTILITIES · UTILITIES - REGULATED GAS · USA

NiSource Inc. is one of the largest fully regulated utility companies in the United States. The company is based in Merrillville, Indiana.

Northwest Natural Gas Co

UTILITIES · UTILITIES - REGULATED GAS · USA

Northwest Natural Holding Company, through its subsidiary, Northwest Natural Gas Company, provides regulated natural gas distribution services to residential, commercial, industrial and transportation customers in Oregon and Southwest Washington. The company is headquartered in Portland, Oregon.

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