Head-To-Head Comparison: Iberdrola vs MGE Energy

Analyzing the performance and growth potential of two major utility companies

Published on Feb. 12, 2026

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MGE Energy (NASDAQ:MGEE) and Iberdrola (OTCMKTS:IBDRY) are both utility companies, but which one is the better investment? This article compares the two firms across key metrics like institutional ownership, profitability, dividends, and valuation to determine which stock comes out on top.

Why it matters

Utility companies play a crucial role in powering homes and businesses, making their financial health and growth prospects important factors for investors. This head-to-head analysis provides insight into the relative strengths and weaknesses of MGE Energy and Iberdrola, helping readers make a more informed decision about which utility stock to consider for their portfolio.

The details

The analysis finds that MGE Energy has stronger institutional ownership at 52.6% compared to Iberdrola's 0.0%. MGE Energy also has higher profitability metrics like net margins and return on equity. In terms of dividends, MGE Energy pays a higher yield of 2.3% and has raised its dividend for 49 consecutive years, making it the better dividend stock. While Iberdrola has higher revenue and earnings, MGE Energy trades at a lower price-to-earnings ratio, indicating it is currently the more affordable of the two. Analysts also view MGE Energy more favorably, with a consensus target price suggesting potential upside.

  • The analysis is based on data as of December 31, 2023.

The players

MGE Energy

A public utility holding company that generates, purchases, and distributes electricity and natural gas primarily in Wisconsin and Iowa.

Iberdrola

A Spanish multinational electric utility company that generates, transmits, distributes, and supplies electricity and gas in several countries around the world.

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The takeaway

This analysis highlights MGE Energy as the more attractive utility stock compared to Iberdrola, with stronger institutional ownership, profitability, dividends, and analyst sentiment. Investors seeking exposure to a well-established, financially sound utility company may want to consider adding MGE Energy to their portfolio.