ARC Resources (ARX) Competitors

Cenovus Energy (TSE:CVE) and ARC Resources (TSE:ARX) are both large-cap energy companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, profitability, media sentiment, dividends, earnings, institutional ownership and risk.

Which has more risk and volatility, CVE or ARX?

Cenovus Energy has a beta of 0.733495, indicating that its share price is 27% less volatile than the S&P 500. Comparatively, ARC Resources has a beta of 0.316097, indicating that its share price is 68% less volatile than the S&P 500.

Is CVE or ARX more profitable?

ARC Resources has a net margin of 20.95% compared to Cenovus Energy's net margin of 6.72%. ARC Resources' return on equity of 14.60% beat Cenovus Energy's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Cenovus Energy	6.72%	12.67%	7.58%
ARC Resources	20.95%	14.60%	7.88%

Does the media favor CVE or ARX?

In the previous week, Cenovus Energy had 5 more articles in the media than ARC Resources. MarketBeat recorded 7 mentions for Cenovus Energy and 2 mentions for ARC Resources. ARC Resources' average media sentiment score of 1.10 beat Cenovus Energy's score of 0.90 indicating that ARC Resources is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Cenovus Energy	1 Very Positive mention(s)	4 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
ARC Resources	2 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do insiders and institutionals have more ownership in CVE or ARX?

51.2% of Cenovus Energy shares are owned by institutional investors. Comparatively, 43.6% of ARC Resources shares are owned by institutional investors. 32.0% of Cenovus Energy shares are owned by insiders. Comparatively, 0.4% of ARC Resources shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Is CVE or ARX a better dividend stock?

Cenovus Energy pays an annual dividend of C$0.74 per share and has a dividend yield of 3.2%. ARC Resources pays an annual dividend of C$0.74 per share and has a dividend yield of 2.8%. Cenovus Energy pays out 51.4% of its earnings in the form of a dividend. ARC Resources pays out 29.2% 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.

Do analysts rate CVE or ARX?

Cenovus Energy presently has a consensus price target of C$28.10, suggesting a potential upside of 23.25%. ARC Resources has a consensus price target of C$33.25, suggesting a potential upside of 25.80%. Given ARC Resources' higher probable upside, analysts plainly believe ARC Resources is more favorable than Cenovus Energy.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Cenovus Energy	0 Sell rating(s)	1 Hold rating(s)	9 Buy rating(s)	2 Strong Buy rating(s)	3.08
ARC Resources	0 Sell rating(s)	0 Hold rating(s)	8 Buy rating(s)	0 Strong Buy rating(s)	3.00

Which has higher valuation & earnings, CVE or ARX?

Cenovus Energy has higher revenue and earnings than ARC Resources. ARC Resources is trading at a lower price-to-earnings ratio than Cenovus Energy, 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
Cenovus Energy	C$55.62B	0.74	C$3.69B	C$1.44	15.83
ARC Resources	C$6.24B	2.47	C$1.11B	C$2.53	10.45

Summary

Cenovus Energy beats ARC Resources on 11 of the 19 factors compared between the two stocks.