Phillips 66 (PSX) Competitors

Diamondback Energy (NASDAQ:FANG) and Phillips 66 (NYSE:PSX) are both large-cap energy companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, media sentiment, risk, institutional ownership, analyst recommendations, earnings, valuation and profitability.

Do institutionals & insiders have more ownership in FANG or PSX?

90.0% of Diamondback Energy shares are held by institutional investors. Comparatively, 76.9% of Phillips 66 shares are held by institutional investors. 0.7% of Diamondback Energy shares are held by company insiders. Comparatively, 0.2% of Phillips 66 shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Is FANG or PSX more profitable?

Diamondback Energy has a net margin of 27.25% compared to Phillips 66's net margin of 1.27%. Diamondback Energy's return on equity of 9.48% beat Phillips 66's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Diamondback Energy	27.25%	9.48%	5.63%
Phillips 66	1.27%	4.87%	1.90%

Do analysts rate FANG or PSX?

Diamondback Energy currently has a consensus target price of $191.45, indicating a potential upside of 36.01%. Phillips 66 has a consensus target price of $136.20, indicating a potential upside of 10.92%. Given Diamondback Energy's stronger consensus rating and higher probable upside, equities analysts plainly believe Diamondback Energy is more favorable than Phillips 66.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diamondback Energy	0 Sell rating(s)	1 Hold rating(s)	18 Buy rating(s)	2 Strong Buy rating(s)	3.05
Phillips 66	0 Sell rating(s)	9 Hold rating(s)	9 Buy rating(s)	1 Strong Buy rating(s)	2.58

Which has more volatility and risk, FANG or PSX?

Diamondback Energy has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500. Comparatively, Phillips 66 has a beta of 1.09, indicating that its share price is 9% more volatile than the S&P 500.

Is FANG or PSX a better dividend stock?

Diamondback Energy pays an annual dividend of $4.00 per share and has a dividend yield of 2.8%. Phillips 66 pays an annual dividend of $4.80 per share and has a dividend yield of 3.9%. Diamondback Energy pays out 28.4% of its earnings in the form of a dividend. Phillips 66 pays out 115.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Diamondback Energy has increased its dividend for 7 consecutive years and Phillips 66 has increased its dividend for 14 consecutive years. Phillips 66 is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Does the media prefer FANG or PSX?

In the previous week, Diamondback Energy and Diamondback Energy both had 42 articles in the media. Phillips 66's average media sentiment score of 1.42 beat Diamondback Energy's score of 1.01 indicating that Phillips 66 is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Diamondback Energy	24 Very Positive mention(s)	7 Positive mention(s)	2 Neutral mention(s)	0 Negative mention(s)	1 Very Negative mention(s)	Positive
Phillips 66	30 Very Positive mention(s)	3 Positive mention(s)	5 Neutral mention(s)	1 Negative mention(s)	2 Very Negative mention(s)	Positive

Which has higher valuation and earnings, FANG or PSX?

Diamondback Energy has higher earnings, but lower revenue than Phillips 66. Diamondback Energy is trading at a lower price-to-earnings ratio than Phillips 66, 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	3.68	$3.34B	$14.07	10.00
Phillips 66	$145.50B	0.34	$2.12B	$4.16	29.52

Summary

Diamondback Energy beats Phillips 66 on 13 of the 18 factors compared between the two stocks.