Battalion Oil (NYSE:BATL – Get Free Report) and Royale Energy (OTCMKTS:ROYL – Get Free Report) are both small-cap oils/energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, risk, profitability, earnings, institutional ownership and dividends.
Earnings and Valuation
This table compares Battalion Oil and Royale Energy’s revenue, earnings per share and valuation.
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Battalion Oil | $200.32 million | 0.29 | -$3.05 million | ($4.46) | -0.78 |
Royale Energy | $2.16 million | 1.31 | -$1.83 million | N/A | N/A |
Royale Energy has lower revenue, but higher earnings than Battalion Oil.
Profitability
Net Margins | Return on Equity | Return on Assets | |
Battalion Oil | -27.77% | -70.13% | -9.01% |
Royale Energy | N/A | N/A | N/A |
Volatility and Risk
Battalion Oil has a beta of 0.95, suggesting that its share price is 5% less volatile than the S&P 500. Comparatively, Royale Energy has a beta of 0.09, suggesting that its share price is 91% less volatile than the S&P 500.
Insider & Institutional Ownership
86.0% of Battalion Oil shares are owned by institutional investors. 56.9% of Battalion Oil shares are owned by insiders. Comparatively, 61.8% of Royale Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.
Analyst Recommendations
This is a summary of current ratings and price targets for Battalion Oil and Royale Energy, as provided by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Battalion Oil | 0 | 1 | 0 | 0 | 2.00 |
Royale Energy | 0 | 0 | 0 | 0 | N/A |
Battalion Oil currently has a consensus price target of $18.60, indicating a potential upside of 431.43%. Given Battalion Oil’s higher probable upside, research analysts clearly believe Battalion Oil is more favorable than Royale Energy.
Summary
Royale Energy beats Battalion Oil on 6 of the 10 factors compared between the two stocks.
About Battalion Oil
Battalion Oil Corporation, an independent energy company, engages in the acquisition, production, exploration, and development of onshore oil and natural gas assets in the United States. It holds interests in the Delaware Basin located in the counties of Pecos, Ward, Reeves, and Winkler, Texas. It serves independent marketers, and oil and natural gas and gas pipeline companies. The company was formerly known as Halcón Resources Corporation and changed its name to Battalion Oil Corporation in January 2020. Battalion Oil Corporation was founded in 1987 and is headquartered in Houston, Texas.
About Royale Energy
Royale Energy, Inc. acquires, explores for, develops, produces, and sells oil and natural gas properties in the United States. Its principal operations are located in the Sacramento Basin and San Joaquin Basin in California, as well as in Utah, Texas, Oklahoma, Louisiana, and Colorado. Royale Energy, Inc. was incorporated in 1986 and is based in El Cajon, California.
Receive News & Ratings for Battalion Oil Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Battalion Oil and related companies with MarketBeat.com's FREE daily email newsletter.