Diamondback Energy (NASDAQ:FANG – Get Rating) and Indonesia Energy (NYSE:INDO – Get Rating) are both oils/energy companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, dividends, valuation and profitability.
Profitability
This table compares Diamondback Energy and Indonesia Energy’s net margins, return on equity and return on assets.
Net Margins | Return on Equity | Return on Assets | |
Diamondback Energy | 47.15% | 27.02% | 16.24% |
Indonesia Energy | N/A | N/A | N/A |
Volatility and Risk
Diamondback Energy has a beta of 2.03, suggesting that its stock price is 103% more volatile than the S&P 500. Comparatively, Indonesia Energy has a beta of 0.71, suggesting that its stock price is 29% less volatile than the S&P 500.
Valuation and Earnings
Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
Diamondback Energy | $9.64 billion | 2.52 | $4.39 billion | $24.15 | 5.56 |
Indonesia Energy | $4.10 million | 11.67 | -$3.12 million | N/A | N/A |
Diamondback Energy has higher revenue and earnings than Indonesia Energy.
Analyst Recommendations
This is a breakdown of recent recommendations and price targets for Diamondback Energy and Indonesia Energy, as reported by MarketBeat.
Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
Diamondback Energy | 1 | 1 | 17 | 1 | 2.90 |
Indonesia Energy | 0 | 0 | 1 | 0 | 3.00 |
Diamondback Energy currently has a consensus target price of $178.00, suggesting a potential upside of 32.46%. Indonesia Energy has a consensus target price of $15.00, suggesting a potential upside of 217.80%. Given Indonesia Energy’s stronger consensus rating and higher probable upside, analysts plainly believe Indonesia Energy is more favorable than Diamondback Energy.
Institutional & Insider Ownership
89.8% of Diamondback Energy shares are held by institutional investors. Comparatively, 1.6% of Indonesia Energy shares are held by institutional investors. 0.4% of Diamondback Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.
Summary
Diamondback Energy beats Indonesia Energy on 10 of the 13 factors compared between the two stocks.
About Diamondback Energy
Diamondback Energy, Inc. is an independent oil and natural gas company, which engages in the acquisition, development, exploration, and exploitation of unconventional, onshore oil, and natural gas reserves. It operates through the Upstream and Midstream Services segments. The Upstream segment focuses on the Permian Basin operations in West Texas. The Midstream Services segment is involved in the Midland and Delaware Basins. The company was founded in December 2007 and is headquartered in Midland, TX.
About Indonesia Energy
Indonesia Energy Corporation Limited operates as an oil and gas exploration and production company in Indonesia. It holds interests in the Kruh Block, a producing block covering an area of 258 square kilometers with net crude oil proved reserves of 1.52 million barrels located to the northwest of Pendopo, Pali, South Sumatra; and the Citarum Block, an exploration block covering an area of 3,924.67 square kilometers located onshore in West Java. The company was incorporated in 2018 and is headquartered in Jakarta, Indonesia. Indonesia Energy Corporation Limited is a subsidiary of Maderic Holding Limited.
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