Head-To-Head Analysis: Murphy Oil (NYSE:MUR) versus Genel Energy (OTCMKTS:GEGYY)

Genel Energy (OTCMKTS:GEGYY) and Murphy Oil (NYSE:MUR) are both energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, analyst recommendations, dividends, risk, valuation, earnings and institutional ownership.

Institutional and Insider Ownership

78.3% of Murphy Oil shares are owned by institutional investors. 5.9% of Murphy Oil shares are owned 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.

Volatility & Risk

Genel Energy has a beta of 0.1, meaning that its stock price is 90% less volatile than the S&P 500. Comparatively, Murphy Oil has a beta of 2.18, meaning that its stock price is 118% more volatile than the S&P 500.

Profitability

This table compares Genel Energy and Murphy Oil’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Genel Energy	N/A	N/A	N/A
Murphy Oil	13.44%	7.66%	4.28%

Valuation and Earnings

This table compares Genel Energy and Murphy Oil”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Genel Energy	$84.80 million	2.91	-$61.30 million	N/A	N/A
Murphy Oil	$3.02 billion	1.23	$407.17 million	$2.69	9.44

Murphy Oil has higher revenue and earnings than Genel Energy.

Analyst Recommendations

This is a summary of current recommendations and price targets for Genel Energy and Murphy Oil, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Genel Energy	0	0	0	0	0.00
Murphy Oil	1	9	3	0	2.15

Murphy Oil has a consensus price target of $34.92, indicating a potential upside of 37.47%. Given Murphy Oil’s stronger consensus rating and higher probable upside, analysts clearly believe Murphy Oil is more favorable than Genel Energy.

Dividends

Genel Energy pays an annual dividend of $0.10 per share and has a dividend yield of 11.3%. Murphy Oil pays an annual dividend of $1.30 per share and has a dividend yield of 5.1%. Murphy Oil pays out 48.3% of its earnings in the form of a dividend.

Summary

Murphy Oil beats Genel Energy on 11 of the 14 factors compared between the two stocks.

About Genel Energy

Genel Energy plc, through its subsidiaries, operates as an independent oil and gas exploration and production company. It operates through two segments, Production and Pre-production. The Production segment holds a 25% working interest in the Tawke PSC; and 44% working interest in the Taq Taq PSC. The Pre-Production segment holds a 50% working interest in Odewayne and 51% working interest in SL10B13 block located in Somaliland; and 75% working interest in Lagzira block in Morocco. Genel Energy plc was founded in 2013 and is headquartered in London, the United Kingdom.

About Murphy Oil

Murphy Oil Corporation, together with its subsidiaries, operates as an oil and gas exploration and production company in the United States, Canada, and internationally. It explores for and produces crude oil, natural gas, and natural gas liquids. The company was formerly known as Murphy Corporation and changed its name to Murphy Oil Corporation in 1964. The company was incorporated in 1950 and is headquartered in Houston, Texas.