Schlumberger (NYSE:SLB) and ERHC Energy (OTCMKTS:ERHE) are both oils/energy companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, risk, institutional ownership, earnings, analyst recommendations, valuation and profitability.
Earnings & Valuation
This table compares Schlumberger and ERHC Energy's revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio |
---|
Schlumberger | $32.92 billion | 1.07 | $-10,137,000,000.00 | $1.47 | 17.18 |
ERHC Energy | N/A | N/A | N/A | N/A | N/A |
ERHC Energy has lower revenue, but higher earnings than Schlumberger.
Institutional and Insider Ownership
73.2% of Schlumberger shares are owned by institutional investors. 0.6% of Schlumberger shares are owned by insiders. Comparatively, 4.9% of ERHC Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.
Analyst Ratings
This is a summary of recent ratings and recommmendations for Schlumberger and ERHC Energy, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score |
---|
Schlumberger | 2 | 6 | 13 | 0 | 2.52 |
ERHC Energy | 0 | 0 | 0 | 0 | N/A |
Schlumberger currently has a consensus price target of $24.68, indicating a potential downside of 2.26%. Given Schlumberger's higher possible upside, equities research analysts plainly believe Schlumberger is more favorable than ERHC Energy.
Volatility and Risk
Schlumberger has a beta of 2.28, indicating that its share price is 128% more volatile than the S&P 500. Comparatively, ERHC Energy has a beta of 0.28, indicating that its share price is 72% less volatile than the S&P 500.
Profitability
This table compares Schlumberger and ERHC Energy's net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets |
---|
Schlumberger | -40.15% | 7.34% | 2.46% |
ERHC Energy | N/A | N/A | N/A |
Summary
Schlumberger beats ERHC Energy on 7 of the 9 factors compared between the two stocks.