Head-To-Head Analysis: Evolution Petroleum (NYSE:EPM) versus Southwestern Energy (NYSE:SWN)

Evolution Petroleum (NYSE:EPMGet Rating) and Southwestern Energy (NYSE:SWNGet Rating) are both oils/energy companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, analyst recommendations, risk, valuation, institutional ownership and earnings.

Insider & Institutional Ownership

63.3% of Evolution Petroleum shares are owned by institutional investors. Comparatively, 85.8% of Southwestern Energy shares are owned by institutional investors. 8.8% of Evolution Petroleum shares are owned by insiders. Comparatively, 0.6% of Southwestern 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.

Volatility & Risk

Evolution Petroleum has a beta of 1.03, suggesting that its share price is 3% more volatile than the S&P 500. Comparatively, Southwestern Energy has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations for Evolution Petroleum and Southwestern Energy, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Evolution Petroleum 0 0 0 0 N/A
Southwestern Energy 2 9 7 0 2.28

Southwestern Energy has a consensus price target of $8.59, suggesting a potential downside of 6.12%. Given Southwestern Energy’s higher possible upside, analysts clearly believe Southwestern Energy is more favorable than Evolution Petroleum.

Valuation & Earnings

This table compares Evolution Petroleum and Southwestern Energy’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Evolution Petroleum $32.70 million 7.93 -$16.44 million $0.60 12.82
Southwestern Energy $6.67 billion 1.53 -$25.00 million ($3.35) -2.73

Evolution Petroleum has higher earnings, but lower revenue than Southwestern Energy. Southwestern Energy is trading at a lower price-to-earnings ratio than Evolution Petroleum, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Evolution Petroleum and Southwestern Energy’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Evolution Petroleum 24.78% 36.72% 23.99%
Southwestern Energy -32.56% 203.77% 11.29%

Evolution Petroleum Company Profile (Get Rating)

Evolution Petroleum Corporation, an oil and natural gas company, engages in the development, production, ownership, and management of oil and gas properties in the United States. The company holds interests in a CO2 enhanced oil recovery project in Louisiana's Delhi field. Its Delhi Holt-Bryant Unit covers an area of 13,636 acres located in Northeast Louisiana. The company also holds interests in the Hamilton Dome field covering 5,908 acres located in Wyoming; and Barnett Shale field covering an area of 123,777 acres located in North Texas. Evolution Petroleum Corporation was founded in 2003 and is based in Houston, Texas.

Southwestern Energy Company Profile (Get Rating)

Southwestern Energy Company, an independent energy company, engages in the exploration, development, and production of natural gas, oil, and natural gas liquids (NGLs) in the United States. It operates through two segments, Exploration and Production, and Marketing. The company focuses on the development of unconventional natural gas and oil reservoirs located in Pennsylvania, West Virginia, Ohio, and Louisiana. As of December 31, 2021, it had approximately 768,050 net acres in Appalachia; a total of 1,527 wells on production; and approximately proved natural gas, oil, and NGLs reserves comprise 21,148 billion cubic feet of natural gas equivalent (Bcfe). It also engages in the marketing and transportation of natural gas, oil, and NGLs. The company serves LNG exporters, energy companies, utilities, and industrial purchasers of natural gas. Southwestern Energy Company was incorporated in 1929 and is headquartered in Spring, Texas.

Want More Great Investing Ideas?

Receive News & Ratings for Evolution Petroleum Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Evolution Petroleum and related companies with MarketBeat.com's FREE daily email newsletter.