WallStSmart

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

VS

Smart Verdict

WallStSmart Research — data-driven comparison

NewJersey Resources Corporation generates 70% more annual revenue ($2.18B vs $1.29B). NJR leads profitability with a 15.7% profit margin vs 9.6%. NJR appears more attractively valued with a PEG of 2.19. NJR earns a higher WallStSmart Score of 61/100 (C+).

NJR

Buy

61

out of 100

Grade: C+

Growth: 4.0Profit: 7.5Value: 4.7Quality: 4.0
Piotroski: 4/9Altman Z: 1.02

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

NJRSignificantly Overvalued (-67.7%)

Margin of Safety

-67.7%

Fair Value

$31.52

Current Price

$57.49

$25.97 premium

UndervaluedFair: $31.52Overvalued
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

NJR3 strengths · Avg: 8.7/10
Operating MarginProfitability
32.0%10/10

Strong operational efficiency at 32.0%

P/E RatioValuation
16.8x8/10

Attractively priced relative to earnings

Price/BookValuation
2.2x8/10

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

NJR4 concerns · Avg: 3.3/10
PEG RatioValuation
2.194/10

Expensive relative to growth rate

Revenue GrowthGrowth
2.9%4/10

2.9% revenue growth

Debt/EquityHealth
1.423/10

Elevated debt levels

Altman Z-ScoreHealth
1.022/10

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 : NJR

The strongest argument for NJR centers on Operating Margin, P/E Ratio, Price/Book. Profitability is solid with margins at 15.7% and operating margin at 32.0%.

Bull Case : NWN

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

Bear Case : NJR

The primary concerns for NJR are PEG Ratio, Revenue Growth, Debt/Equity.

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

NJR carries more volatility with a beta of 0.52 — expect wider price swings.

NJR is growing revenue faster at 2.9% — sustainability is the question.

NJR generates stronger free cash flow (366M), providing more financial flexibility.

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

Bottom Line

NJR scores higher overall (61/100 vs 58/100), backed by strong 15.7% margins. 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.

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.

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