Hess (HES) Competitors

Diamondback Energy (NASDAQ:FANG) and Hess (NYSE:HES) are both large-cap energy companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, profitability, media sentiment, dividends, valuation, analyst recommendations, risk and earnings.

Do institutionals & insiders believe in FANG or HES?

90.0% of Diamondback Energy shares are held by institutional investors. Comparatively, 88.5% of Hess shares are held by institutional investors. 0.7% of Diamondback Energy shares are held by company insiders. Comparatively, 9.1% of Hess shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Is FANG or HES a better dividend stock?

Diamondback Energy pays an annual dividend of $4.00 per share and has a dividend yield of 2.8%. Hess pays an annual dividend of $2.00 per share and has a dividend yield of 1.4%. Diamondback Energy pays out 24.5% of its earnings in the form of a dividend. Hess pays out 27.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Diamondback Energy has increased its dividend for 7 consecutive years and Hess has increased its dividend for 3 consecutive years. Diamondback Energy is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media refer more to FANG or HES?

In the previous week, Hess had 13 more articles in the media than Diamondback Energy. MarketBeat recorded 31 mentions for Hess and 18 mentions for Diamondback Energy. Diamondback Energy's average media sentiment score of 1.38 beat Hess' score of 0.67 indicating that Diamondback Energy is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diamondback Energy	15 Very Positive mention(s)	2 Positive mention(s)	0 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive
Hess	13 Very Positive mention(s)	3 Positive mention(s)	8 Neutral mention(s)	3 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has better earnings and valuation, FANG or HES?

Diamondback Energy has higher earnings, but lower revenue than Hess. Diamondback Energy is trading at a lower price-to-earnings ratio than Hess, 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
Diamondback Energy	$11.07B	3.72	$3.34B	$16.35	8.61
Hess	$13.02B	3.38	$2.77B	$7.23	19.70

Do analysts prefer FANG or HES?

Diamondback Energy presently has a consensus price target of $193.13, indicating a potential upside of 37.22%. Hess has a consensus price target of $162.86, indicating a potential upside of 14.35%. Given Diamondback Energy's stronger consensus rating and higher probable upside, research analysts clearly believe Diamondback Energy is more favorable than Hess.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diamondback Energy	0 Sell rating(s)	1 Hold rating(s)	19 Buy rating(s)	2 Strong Buy rating(s)	3.05
Hess	0 Sell rating(s)	5 Hold rating(s)	6 Buy rating(s)	0 Strong Buy rating(s)	2.55

Is FANG or HES more profitable?

Diamondback Energy has a net margin of 30.84% compared to Hess' net margin of 17.65%. Hess' return on equity of 21.78% beat Diamondback Energy's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diamondback Energy	30.84%	11.22%	6.53%
Hess	17.65%	21.78%	9.72%

Which has more volatility & risk, FANG or HES?

Diamondback Energy has a beta of 1.05, indicating that its stock price is 5% more volatile than the S&P 500. Comparatively, Hess has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500.

Summary

Diamondback Energy beats Hess on 14 of the 20 factors compared between the two stocks.