RIG vs. PTEN, HP, VAL, HPK, BEPC, NOG, SSL, VIST, ERF, and WHD
Should you be buying Transocean stock or one of its competitors? The main competitors of Transocean include Patterson-UTI Energy (PTEN), Helmerich & Payne (HP), Valaris (VAL), HighPeak Energy (HPK), Brookfield Renewable (BEPC), Northern Oil and Gas (NOG), Sasol (SSL), Vista Energy (VIST), Enerplus (ERF), and Cactus (WHD). These companies are all part of the "oils/energy" sector.
Patterson-UTI Energy (NASDAQ:PTEN) and Transocean (NYSE:RIG) are both mid-cap oils/energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their dividends, media sentiment, valuation, risk, earnings, profitability, institutional ownership, analyst recommendations and community ranking.
Patterson-UTI Energy pays an annual dividend of $0.32 per share and has a dividend yield of 3.0%. Transocean pays an annual dividend of $0.60 per share and has a dividend yield of 10.8%. Patterson-UTI Energy pays out 47.1% of its earnings in the form of a dividend. Transocean pays out -115.4% 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. Transocean is clearly the better dividend stock, given its higher yield and lower payout ratio.
Transocean received 119 more outperform votes than Patterson-UTI Energy when rated by MarketBeat users. However, 62.28% of users gave Patterson-UTI Energy an outperform vote while only 51.72% of users gave Transocean an outperform vote.
In the previous week, Transocean had 17 more articles in the media than Patterson-UTI Energy. MarketBeat recorded 31 mentions for Transocean and 14 mentions for Patterson-UTI Energy. Transocean's average media sentiment score of 0.39 beat Patterson-UTI Energy's score of 0.31 indicating that Patterson-UTI Energy is being referred to more favorably in the media.
Patterson-UTI Energy presently has a consensus price target of $16.17, suggesting a potential upside of 51.94%. Transocean has a consensus price target of $7.70, suggesting a potential upside of 37.75%. Given Transocean's stronger consensus rating and higher probable upside, equities research analysts plainly believe Patterson-UTI Energy is more favorable than Transocean.
Patterson-UTI Energy has a beta of 2.23, indicating that its share price is 123% more volatile than the S&P 500. Comparatively, Transocean has a beta of 2.83, indicating that its share price is 183% more volatile than the S&P 500.
97.9% of Patterson-UTI Energy shares are held by institutional investors. Comparatively, 67.7% of Transocean shares are held by institutional investors. 2.3% of Patterson-UTI Energy shares are held by company insiders. Comparatively, 13.2% of Transocean shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Patterson-UTI Energy has a net margin of 4.07% compared to Patterson-UTI Energy's net margin of -13.27%. Transocean's return on equity of 7.58% beat Patterson-UTI Energy's return on equity.
Patterson-UTI Energy has higher revenue and earnings than Transocean. Transocean is trading at a lower price-to-earnings ratio than Patterson-UTI Energy, indicating that it is currently the more affordable of the two stocks.
Summary
Patterson-UTI Energy beats Transocean on 14 of the 21 factors compared between the two stocks.
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This chart shows the number of new MarketBeat users adding RIG and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
Skip ChartThis chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
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