Comparing PEDEVCO (NYSE:PED) & SM Energy (NYSE:SM)

PEDEVCO (NYSE:PEDGet Free Report) and SM Energy (NYSE:SMGet Free Report) are both oils/energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.

Profitability

This table compares PEDEVCO and SM Energy’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
PEDEVCO 6.57% 1.58% 1.39%
SM Energy 33.89% 19.62% 10.87%

Analyst Ratings

This is a summary of recent ratings and recommmendations for PEDEVCO and SM Energy, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
PEDEVCO 0 0 2 0 3.00
SM Energy 0 6 6 1 2.62

PEDEVCO currently has a consensus price target of $1.63, indicating a potential upside of 92.08%. SM Energy has a consensus price target of $51.20, indicating a potential upside of 20.05%. Given PEDEVCO’s stronger consensus rating and higher possible upside, equities research analysts clearly believe PEDEVCO is more favorable than SM Energy.

Earnings & Valuation

This table compares PEDEVCO and SM Energy”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
PEDEVCO $35.72 million 2.12 $260,000.00 $0.02 42.30
SM Energy $2.44 billion 2.00 $817.88 million $7.16 5.96

SM Energy has higher revenue and earnings than PEDEVCO. SM Energy is trading at a lower price-to-earnings ratio than PEDEVCO, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

3.3% of PEDEVCO shares are owned by institutional investors. Comparatively, 94.6% of SM Energy shares are owned by institutional investors. 70.6% of PEDEVCO shares are owned by insiders. Comparatively, 1.5% of SM Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

PEDEVCO has a beta of 0.52, meaning that its stock price is 48% less volatile than the S&P 500. Comparatively, SM Energy has a beta of 4.14, meaning that its stock price is 314% more volatile than the S&P 500.

Summary

SM Energy beats PEDEVCO on 10 of the 15 factors compared between the two stocks.

About PEDEVCO

(Get Free Report)

PEDEVCO Corp., an oil and gas company, focuses on the acquisition, development, and production of oil and natural gas assets in the United States. It holds interests in the Permian Basin asset covering an area of approximately 22,721 net acres located in New Mexico; and D-J Basin asset covering an area of approximately 19,214 net acres located in Wyoming. The company is headquartered in Houston, Texas.

About SM Energy

(Get Free Report)

SM Energy Company, an independent energy company, engages in the acquisition, exploration, development, and production of oil, gas, and natural gas liquids in the state of Texas. It has working interests in oil and gas producing wells in the Midland Basin and South Texas. The company was formerly known as St. Mary Land & Exploration Company and changed its name to SM Energy Company in May 2010. SM Energy Company was founded in 1908 and is headquartered in Denver, Colorado.

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