Energy Transfer (ET) Competitors

Energy Transfer (NYSE:ET) and Archrock (NYSE:AROC) are both energy companies, but which is the superior investment? We will compare the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, profitability, dividends, media sentiment and institutional ownership.

Is ET or AROC a better dividend stock?

Energy Transfer pays an annual dividend of $1.31 per share and has a dividend yield of 7.3%. Archrock pays an annual dividend of $0.76 per share and has a dividend yield of 3.1%. Energy Transfer pays out 99.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Archrock pays out 64.4% of its earnings in the form of a dividend. Energy Transfer has increased its dividend for 4 consecutive years and Archrock has increased its dividend for 3 consecutive years. Energy Transfer is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Which has more volatility & risk, ET or AROC?

Energy Transfer has a beta of 0.79, suggesting that its stock price is 21% less volatile than the S&P 500. Comparatively, Archrock has a beta of 1.08, suggesting that its stock price is 8% more volatile than the S&P 500.

Which has better earnings and valuation, ET or AROC?

Energy Transfer has higher revenue and earnings than Archrock. Energy Transfer is trading at a lower price-to-earnings ratio than Archrock, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Energy Transfer	$82.67B	0.74	$4.45B	$1.32	13.59
Archrock	$1.16B	3.76	$172.23M	$1.18	20.84

Does the media prefer ET or AROC?

In the previous week, Energy Transfer had 11 more articles in the media than Archrock. MarketBeat recorded 23 mentions for Energy Transfer and 12 mentions for Archrock. Archrock's average media sentiment score of 1.11 beat Energy Transfer's score of 1.06 indicating that Archrock is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Energy Transfer	17 Very Positive mention(s)	4 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
Archrock	6 Very Positive mention(s)	0 Positive mention(s)	3 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is ET or AROC more profitable?

Archrock has a net margin of 16.38% compared to Energy Transfer's net margin of 5.88%. Archrock's return on equity of 18.31% beat Energy Transfer's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Energy Transfer	5.88%	11.47%	3.88%
Archrock	16.38%	18.31%	6.21%

Do insiders & institutionals believe in ET or AROC?

38.2% of Energy Transfer shares are owned by institutional investors. Comparatively, 95.5% of Archrock shares are owned by institutional investors. 3.3% of Energy Transfer shares are owned by insiders. Comparatively, 2.6% of Archrock shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Do analysts prefer ET or AROC?

Energy Transfer currently has a consensus target price of $22.64, indicating a potential upside of 26.18%. Archrock has a consensus target price of $26.67, indicating a potential upside of 8.45%. Given Energy Transfer's stronger consensus rating and higher possible upside, equities research analysts clearly believe Energy Transfer is more favorable than Archrock.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Energy Transfer	0 Sell rating(s)	1 Hold rating(s)	10 Buy rating(s)	0 Strong Buy rating(s)	2.91
Archrock	0 Sell rating(s)	1 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.86

Summary

Energy Transfer beats Archrock on 10 of the 19 factors compared between the two stocks.