Permianville Royalty Trust (NYSE:PVL) and VAALCO Energy (NYSE:EGY) are both small-cap oils/energy companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.
Analyst Ratings
This is a breakdown of current recommendations for Permianville Royalty Trust and VAALCO Energy, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
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Permianville Royalty Trust | 0 | 0 | 0 | 0 | N/A |
VAALCO Energy | 0 | 0 | 1 | 0 | 3.00 |
VAALCO Energy has a consensus target price of $4.00, indicating a potential upside of 77.78%. Given VAALCO Energy's higher probable upside, analysts clearly believe VAALCO Energy is more favorable than Permianville Royalty Trust.
Volatility and Risk
Permianville Royalty Trust has a beta of 1.84, meaning that its stock price is 84% more volatile than the S&P 500. Comparatively, VAALCO Energy has a beta of 2.51, meaning that its stock price is 151% more volatile than the S&P 500.
Earnings & Valuation
This table compares Permianville Royalty Trust and VAALCO Energy's revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
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Permianville Royalty Trust | $44.96 million | 1.05 | $9.52 million | N/A | N/A |
VAALCO Energy | $84.52 million | 1.54 | $2.56 million | N/A | N/A |
Permianville Royalty Trust has higher earnings, but lower revenue than VAALCO Energy.
Profitability
This table compares Permianville Royalty Trust and VAALCO Energy's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
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Permianville Royalty Trust | 21.99% | 9.90% | 9.89% |
VAALCO Energy | -56.93% | 27.98% | 12.13% |
Insider and Institutional Ownership
3.9% of Permianville Royalty Trust shares are held by institutional investors. Comparatively, 42.8% of VAALCO Energy shares are held by institutional investors. 4.2% of VAALCO Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.
Summary
VAALCO Energy beats Permianville Royalty Trust on 9 of the 12 factors compared between the two stocks.