WallStSmart

NewJersey Resources Corporation (NJR)vsNorthwest Natural Gas Co (NWN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NewJersey Resources Corporation generates 67% more annual revenue ($2.15B vs $1.29B). NJR leads profitability with a 15.2% profit margin vs 8.8%. NJR appears more attractively valued with a PEG of 2.10. NWN earns a higher WallStSmart Score of 64/100 (C+).

NJR

Buy

53

out of 100

Grade: C-

Growth: 4.0Profit: 5.5Value: 7.3Quality: 4.3
Piotroski: 4/9Altman Z: 1.02

NWN

Buy

64

out of 100

Grade: C+

Growth: 6.7Profit: 6.0Value: 7.3Quality: 5.0
Piotroski: 4/9Altman Z: 0.72
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

NJRSignificantly Overvalued (-140.7%)

Margin of Safety

-140.7%

Fair Value

$21.96

Current Price

$54.12

$32.16 premium

UndervaluedFair: $21.96Overvalued
NWNUndervalued (+61.1%)

Margin of Safety

+61.1%

Fair Value

$125.65

Current Price

$52.47

$73.18 discount

UndervaluedFair: $125.65Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

NJR3 strengths · Avg: 8.0/10
P/E RatioValuation
16.8x8/10

Attractively priced relative to earnings

Price/BookValuation
2.3x8/10

Reasonable price relative to book value

Revenue GrowthGrowth
23.0%8/10

Revenue surging 23.0% year-over-year

NWN3 strengths · Avg: 8.7/10
Price/BookValuation
1.5x10/10

Reasonable price relative to book value

Operating MarginProfitability
25.4%8/10

Strong operational efficiency at 25.4%

EPS GrowthGrowth
24.1%8/10

Earnings expanding 24.1% YoY

Areas to Watch

NJR4 concerns · Avg: 2.5/10
PEG RatioValuation
2.104/10

Expensive relative to growth rate

EPS GrowthGrowth
-88.4%2/10

Earnings declined 88.4%

Free Cash FlowQuality
$-139.67M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
1.022/10

Distress zone — elevated risk

NWN4 concerns · Avg: 2.5/10
Return on EquityProfitability
7.9%3/10

ROE of 7.9% — below average capital efficiency

Debt/EquityHealth
1.763/10

Elevated debt levels

PEG RatioValuation
2.712/10

Expensive relative to growth rate

Free Cash FlowQuality
$-130.97M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : NJR

The strongest argument for NJR centers on P/E Ratio, Price/Book, Revenue Growth. Profitability is solid with margins at 15.2% and operating margin at -7.5%. Revenue growth of 23.0% demonstrates continued momentum.

Bull Case : NWN

The strongest argument for NWN centers on Price/Book, Operating Margin, EPS Growth.

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, EPS Growth, Free Cash Flow.

Bear Case : NWN

The primary concerns for NWN are Return on Equity, Debt/Equity, PEG Ratio. Debt-to-equity of 1.76 is elevated, increasing financial risk.

Key Dynamics to Monitor

NJR profiles as a growth stock while NWN is a value play — different risk/reward profiles.

NJR carries more volatility with a beta of 0.58 — expect wider price swings.

NJR is growing revenue faster at 23.0% — sustainability is the question.

NWN generates stronger free cash flow (-131M), providing more financial flexibility.

Bottom Line

NWN scores higher overall (64/100 vs 53/100). 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.

NewJersey Resources Corporation

UTILITIES · UTILITIES - REGULATED GAS · USA

New Jersey Resources Corporation, an energy services portfolio company, provides regulated gas distribution and retail and wholesale energy services. The company is headquartered in Wall, New Jersey.

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.

Visit Website →

Want to dig deeper into these stocks?