Critical Survey: Dawson Geophysical (NASDAQ:DWSN) & Helix Energy Solutions Group (NYSE:HLX)

Dawson Geophysical (NASDAQ:DWSN) and Helix Energy Solutions Group (NYSE:HLX) are both small-cap energy companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, earnings, risk, valuation, profitability, institutional ownership and dividends.

Volatility and Risk

Dawson Geophysical has a beta of -0.13, suggesting that its stock price is 113% less volatile than the S&P 500. Comparatively, Helix Energy Solutions Group has a beta of 1.16, suggesting that its stock price is 16% more volatile than the S&P 500.

Earnings and Valuation

This table compares Dawson Geophysical and Helix Energy Solutions Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Dawson Geophysical	$75.62 million	1.71	-$1.94 million	$0.15	27.77
Helix Energy Solutions Group	$1.29 billion	1.14	$30.83 million	$0.10	100.35

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

Institutional & Insider Ownership

7.9% of Dawson Geophysical shares are held by institutional investors. Comparatively, 91.3% of Helix Energy Solutions Group shares are held by institutional investors. 0.3% of Dawson Geophysical shares are held by company insiders. Comparatively, 6.8% of Helix Energy Solutions Group shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Dawson Geophysical and Helix Energy Solutions Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Dawson Geophysical	0	1	0	0	2.00
Helix Energy Solutions Group	1	1	2	0	2.25

Helix Energy Solutions Group has a consensus price target of $11.50, indicating a potential upside of 14.60%. Given Helix Energy Solutions Group’s stronger consensus rating and higher possible upside, analysts plainly believe Helix Energy Solutions Group is more favorable than Dawson Geophysical.

Profitability

This table compares Dawson Geophysical and Helix Energy Solutions Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Dawson Geophysical	4.91%	26.74%	9.15%
Helix Energy Solutions Group	1.10%	1.82%	1.09%

Summary

Helix Energy Solutions Group beats Dawson Geophysical on 9 of the 14 factors compared between the two stocks.

About Dawson Geophysical

Dawson Geophysical Company provides onshore seismic data acquisition and processing services in the United States and Canada. The company acquires and processes 2-D, 3-D, and multi-component seismic data for its clients, including oil and gas companies, and independent oil and gas operators, as well as providers of multi-client data libraries and carbon capture sequestration projects. Its seismic crews supply seismic data primarily to companies engaged in the exploration and development of oil and natural gas on land and in land-to-water transition areas, as well as potash mining industry. The company was founded in 1952 and is headquartered in Midland, Texas. Dawson Geophysical Company is a subsidiary of Wilks Brothers, LLC.

About Helix Energy Solutions Group

Helix Energy Solutions Group, Inc., together with its subsidiaries, an offshore energy services company, provides specialty services to the offshore energy industry in Brazil, the Gulf of Mexico, the East Coast of the United States, North Sea, the Asia Pacific, and West Africa regions. The company operates through four segments: Well Intervention, Robotics, Production Facilities, and Shallow Water Abandonment segments. It engages in the installation of flowlines, control umbilicals, and manifold assemblies and risers; trenching and burial of pipelines; installation and tie-in of riser and manifold assembly; commissioning, testing, and inspection activities; and provision of cable and umbilical lay, and connection services. The company also provides well intervention, intervention engineering, and production enhancement services; coiled tubing operations; inspection, repair, and maintenance of production structures, trees, jumpers, risers, pipelines, and subsea equipment; and related support services. In addition, it offers reclamation and remediation services; well plug and abandonment services; pipeline, cable and umbilical abandonment services; and site inspections. Additionally, the company offers oil and natural gas processing facilities and services; and fast response system, as well as site clearance and subsea support services. Further, it provides offshore oilfield decommissioning and reclamation, project management, engineered solutions, intervention, maintenance, repair, heavy lift, and commercial diving services. It serves independent oil and gas producers and suppliers, pipeline transmission companies, renewable energy companies, and offshore engineering and construction firms. The company was formerly known as Cal Dive International, Inc. and changed its name to Helix Energy Solutions Group, Inc. in March 2006. Helix Energy Solutions Group, Inc. was incorporated in 1979 and is headquartered in Houston, Texas.