Chord Energy (NASDAQ:CHRD – Get Free Report) and Comstock Resources (NYSE:CRK – Get Free Report) are both mid-cap oils/energy companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, profitability, analyst recommendations, institutional ownership, earnings, valuation and dividends.
Institutional and Insider Ownership
97.8% of Chord Energy shares are owned by institutional investors. Comparatively, 36.1% of Comstock Resources shares are owned by institutional investors. 0.7% of Chord Energy shares are owned by company insiders. Comparatively, 2.0% of Comstock Resources shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.
Dividends
Chord Energy pays an annual dividend of $5.00 per share and has a dividend yield of 4.1%. Comstock Resources pays an annual dividend of $0.50 per share and has a dividend yield of 2.8%. Chord Energy pays out 25.7% of its earnings in the form of a dividend. Comstock Resources pays out -277.8% 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.
Analyst Ratings
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Chord Energy | 0 | 1 | 11 | 1 | 3.00 |
Comstock Resources | 3 | 8 | 2 | 0 | 1.92 |
Chord Energy presently has a consensus price target of $180.25, suggesting a potential upside of 49.03%. Comstock Resources has a consensus price target of $11.78, suggesting a potential downside of 33.38%. Given Chord Energy’s stronger consensus rating and higher probable upside, equities analysts clearly believe Chord Energy is more favorable than Comstock Resources.
Profitability
This table compares Chord Energy and Comstock Resources’ net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Chord Energy | 19.74% | 12.88% | 8.91% |
Comstock Resources | -4.93% | -3.88% | -1.48% |
Valuation & Earnings
This table compares Chord Energy and Comstock Resources”s revenue, earnings per share (EPS) and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Chord Energy | $4.76 billion | 1.55 | $1.02 billion | $19.42 | 6.23 |
Comstock Resources | $1.30 billion | 3.98 | $211.12 million | ($0.18) | -98.22 |
Chord Energy has higher revenue and earnings than Comstock Resources. Comstock Resources is trading at a lower price-to-earnings ratio than Chord Energy, indicating that it is currently the more affordable of the two stocks.
Volatility & Risk
Chord Energy has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500. Comparatively, Comstock Resources has a beta of 0.51, suggesting that its share price is 49% less volatile than the S&P 500.
Summary
Chord Energy beats Comstock Resources on 14 of the 17 factors compared between the two stocks.
About Chord Energy
Chord Energy Corporation operates as an independent exploration and production company in the United States. It acquires, explores, develops, and produces crude oil, natural gas, and natural gas liquids in the Williston Basin. The company sells its products to refiners, marketers, and other purchasers that have access to nearby pipeline and rail facilities. The company was formerly known as Oasis Petroleum Inc. and changed its name to Chord Energy Corporation in July 2022. Chord Energy Corporation was founded in 2007 and is headquartered in Houston, Texas.
About Comstock Resources
Comstock Resources, Inc., an independent energy company, engages in the acquisition, exploration, development, and production of natural gas and oil properties in the United States. Its assets are located in the Haynesville and Bossier shales located in North Louisiana and East Texas. The company was incorporated in 1919 and is headquartered in Frisco, Texas. Comstock Resources, Inc. is a subsidiary of Arkoma Drilling, L.P.
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