Hallador Energy (NASDAQ:HNRG) and Ramaco Resources (NASDAQ:METC) are both small-cap oils/energy companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, earnings, profitability, institutional ownership, dividends and risk.
Valuation & Earnings
This table compares Hallador Energy and Ramaco Resources' revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Hallador Energy | $323.46 million | 0.15 | $-59,850,000.00 | $0.08 | 20.38 |
Ramaco Resources | $230.21 million | 0.76 | $24.93 million | $0.61 | 6.72 |
Ramaco Resources has lower revenue, but higher earnings than Hallador Energy. Ramaco Resources is trading at a lower price-to-earnings ratio than Hallador Energy, indicating that it is currently the more affordable of the two stocks.
Insider and Institutional Ownership
26.0% of Hallador Energy shares are held by institutional investors. Comparatively, 67.7% of Ramaco Resources shares are held by institutional investors. 30.4% of Hallador Energy shares are held by company insiders. Comparatively, 78.7% of Ramaco Resources shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Profitability
This table compares Hallador Energy and Ramaco Resources' net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Hallador Energy | -23.39% | 3.38% | 1.55% |
Ramaco Resources | 1.06% | 1.00% | 0.72% |
Analyst Recommendations
This is a summary of current recommendations and price targets for Hallador Energy and Ramaco Resources, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Hallador Energy | 0 | 0 | 1 | 0 | 3.00 |
Ramaco Resources | 0 | 1 | 2 | 0 | 2.67 |
Hallador Energy presently has a consensus price target of $4.00, indicating a potential upside of 145.40%. Ramaco Resources has a consensus price target of $6.3333, indicating a potential upside of 54.47%. Given Hallador Energy's stronger consensus rating and higher probable upside, analysts clearly believe Hallador Energy is more favorable than Ramaco Resources.
Volatility and Risk
Hallador Energy has a beta of 0.79, meaning that its share price is 21% less volatile than the S&P 500. Comparatively, Ramaco Resources has a beta of 1.06, meaning that its share price is 6% more volatile than the S&P 500.
Summary
Ramaco Resources beats Hallador Energy on 9 of the 14 factors compared between the two stocks.