Renewable Energy Group (NASDAQ:REGI) and Amyris (NASDAQ:AMRS) are both mid-cap oils/energy companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, profitability, dividends, analyst recommendations, risk, valuation and institutional ownership.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for Renewable Energy Group and Amyris, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Renewable Energy Group | 0 | 2 | 8 | 0 | 2.80 |
Amyris | 0 | 0 | 5 | 0 | 3.00 |
Renewable Energy Group currently has a consensus target price of $89.1250, indicating a potential upside of 45.23%. Amyris has a consensus target price of $17.87, indicating a potential upside of 16.34%. Given Renewable Energy Group's higher possible upside, equities analysts clearly believe Renewable Energy Group is more favorable than Amyris.
Volatility & Risk
Renewable Energy Group has a beta of 1.19, suggesting that its share price is 19% more volatile than the S&P 500. Comparatively, Amyris has a beta of 1.04, suggesting that its share price is 4% more volatile than the S&P 500.
Earnings & Valuation
This table compares Renewable Energy Group and Amyris' revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Renewable Energy Group | $2.64 billion | 1.03 | $389.73 million | $3.75 | 16.37 |
Amyris | $152.56 million | 27.51 | $-242,770,000.00 | ($2.72) | -5.65 |
Renewable Energy Group has higher revenue and earnings than Amyris. Amyris is trading at a lower price-to-earnings ratio than Renewable Energy Group, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Renewable Energy Group and Amyris' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Renewable Energy Group | 22.72% | 13.11% | 9.25% |
Amyris | -223.41% | N/A | -149.25% |
Insider & Institutional Ownership
96.2% of Renewable Energy Group shares are held by institutional investors. Comparatively, 43.5% of Amyris shares are held by institutional investors. 3.0% of Renewable Energy Group shares are held by insiders. Comparatively, 39.7% of Amyris shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.
Summary
Renewable Energy Group beats Amyris on 11 of the 14 factors compared between the two stocks.