The shares of Pattern Energy Group Inc. (NASDAQ:PEGI) and Qiagen N.V. (NASDAQ:QGEN) were among the active stocks of the last trading sessions. Pattern Energy Group Inc. (NASDAQ:PEGI) soared to 2.85% closing at the price of $20.21 whereas the shares of Qiagen N.V. (NASDAQ:QGEN) declined -3% with the decrease of -1.11 points closing at the price of $35.87. Pattern Energy Group Inc. has currently increase 12.97% in its stock over the period of 6-months while its rival Qiagen N.V. added 2.84% in the previous 6-months.
Now we have to analyze the facts that if the stocks were worthy off investors’ money? The facts to analyze here are risks, profitability, returns and price trends.
Returns and Profitability
Profitability and returns are the main reason of investment, the investors are looking for profits that they get and return they should expect over the period of time.
The first and foremost return that is considered while making an investment is the ROI or Return on Investment. The ROI is the ratio between the profit against the cost of investment. Currently the ROI of Pattern Energy Group Inc. (NASDAQ:PEGI) is -0.3% while the ROI of Qiagen N.V. (NASDAQ:QGEN) is 0.4%. Another figure that is to be considered while analyzing the profitability of a share is its EBITDA margin, PEGI’s EBITDA Margin is 20.88 whereas QGEN’s is 17.26.
Both the profitability ratios suggest a mixed sentiment for Pattern Energy Group Inc. (NASDAQ:PEGI) and Qiagen N.V. (NASDAQ:QGEN).
EPS & Surprise Factor
Pattern Energy Group Inc. (NASDAQ:PEGI) reported $-0.13/share EPS for the previous quarter where analysts were predicting an EPS to be $-0.03/share Thus lagging the analyst Estimates with a Surprise Factor of -333.3 Percent. While, Qiagen N.V. (NASDAQ:QGEN) reported EPS of $0.35/share in the last quarter. The analysts projected EPS of $0.33/share depicting a Surprise of 6.1 Percent.
Taking a look at Earnings per Share, Qiagen N.V. tends to be beating the analyst estimates more than Pattern Energy Group Inc.. so QGEN is more profitable than PEGI.
Technical Analysis of Pattern Energy Group Inc. & Qiagen N.V.
Moving average convergence divergence (MACD) shows that Pattern Energy Group Inc. (NASDAQ:PEGI) is on a PRICE RELATIVITY trend While Qiagen N.V. (NASDAQ:QGEN) is on PRICE RELATIVITY trend. The trend for the past 10-days shows that the Pattern Energy Group Inc. was in BULLISH territory and Qiagen N.V. was in BULLISH territory.
PEGI’s current statistics gauge that the stock candle is BULLISH with HIGH volatility. While QGEN’s candle is BEARISH with HIGH.
EPS Growth Rate: PEGI’s 29.6% versus QGEN’s 10.24%
Another shareholder value can be analyzed through the EPS growth rate; the next 5 years EPS growth rate is predicted by the analysts after the analyzing the previous trends. The next 5 year EPS growth rate of Pattern Energy Group Inc. (NASDAQ:PEGI) is predicted at 29.6% while Qiagen N.V. (NASDAQ:QGEN) stands at 10.24%. These numbers suggest that PEGI is more suitable investment in terms of EPS growth rate.
Financial Risk and Liquidity Concerns
The current ratio and the debt ratio are the two ratios that show the investor how quickly the company is able to payout its debt and how quickly it can cover its obligations. The current ratio of PEGI stands at 0.9 while QGEN is at 1.4 whereas the debt ratio of the prior is 1.86 while the debt ratio of the later is 0.7.
The values of the both ratios suggest that one is more liquid and other investment is more risk free.
While making an investment, another main factor to consider before investing is the analyst recommendation on the scale of 1 to 5 where 1 is strong buy, 2 is buy, 3 is hold, 4 is Sell and 5 is strong sell. Analyst recommend 2.2 for PEGI and 2.6 for QGEN which means PEGI has Hold rating whereas QGEN has Hold rating.
Another recommendation of analyst that is to be considered worthy is the price target. The mare price or price trend does not suggest the suitability of a stock. The price target set by analyst is also to be considered while investing as it suggests to what extent the stock will rise or fall in the near future. The price target set for PEGI is $21.81 which is 7.34% of its current price while QGEN has price target of 38.95 which is 7.91% of its current price.
Valuation is the process of determining the company’s worth for an investor, the valuation ratios give an insight to that worthiness.
PEGI currently has price to earning P/E ratio of 15.31 whereas QGEN has 329.08 while the forward P/E ratio for the prior stands at 36.75 and for the later it depicts the value of 24.03.
The price to Book P/B for PEGI is 1.68, Price to Sale is at 4.3 and for QGEN these ratios stand at 3.22 and 5.46.