Financial Survey: PrimeEnergy Resources (NASDAQ:PNRG) and Crescent Energy (NYSE:CRGY)

Crescent Energy (NYSE:CRGY) and PrimeEnergy Resources (NASDAQ:PNRG) are both energy companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, analyst recommendations, risk, earnings, dividends, valuation and profitability.

Profitability

This table compares Crescent Energy and PrimeEnergy Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Crescent Energy	2.17%	12.53%	3.61%
PrimeEnergy Resources	27.73%	32.76%	18.13%

Risk and Volatility

Crescent Energy has a beta of 2.18, meaning that its share price is 118% more volatile than the S&P 500. Comparatively, PrimeEnergy Resources has a beta of 0.51, meaning that its share price is 49% less volatile than the S&P 500.

Institutional and Insider Ownership

52.1% of Crescent Energy shares are owned by institutional investors. 13.2% of Crescent Energy shares are owned by insiders. Comparatively, 61.1% of PrimeEnergy Resources shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Crescent Energy and PrimeEnergy Resources”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Crescent Energy	$2.93 billion	0.98	$67.61 million	($0.69)	-16.12
PrimeEnergy Resources	$209.65 million	1.84	$28.10 million	$23.26	9.63

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

Analyst Recommendations

This is a breakdown of current ratings for Crescent Energy and PrimeEnergy Resources, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Crescent Energy	1	2	8	2	2.85
PrimeEnergy Resources	0	0	0	0	0.00

Crescent Energy presently has a consensus target price of $17.09, suggesting a potential upside of 53.63%. Given Crescent Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Crescent Energy is more favorable than PrimeEnergy Resources.

Summary

Crescent Energy beats PrimeEnergy Resources on 9 of the 15 factors compared between the two stocks.

About Crescent Energy

Crescent Energy Company acquires, develops, and produces crude oil, natural gas, and natural gas liquids (NGLs) reserves. Its portfolio of assets comprises mid-cycle unconventional and conventional assets in the Eagle Ford and Uinta Basins. It also owns and operates various midstream assets, which provide services to customers. The company is based in Houston, Texas.

About PrimeEnergy Resources

PrimeEnergy Resources Corporation, through its subsidiaries, engages in acquisition, development, and production of oil and natural gas properties in the United States. The company owns leasehold, mineral, and royalty interests in producing and non-producing oil and gas properties; and operates approximately 534 active wells and owns non-operating interests and royalties in 952 additional wells. It also acquires producing oil and gas properties through joint ventures with industry partners; and provides contract services to third parties, including well-servicing support, site-preparation, and construction services for oil and gas drilling and reworking operations. The company was formerly known as PrimeEnergy Corporation and changed its name to PrimeEnergy Resources Corporation in December 2018. PrimeEnergy Resources Corporation was incorporated in 1973 and is headquartered in Houston, Texas.