Vitesse Energy (NYSE:VTS) vs. Equinor ASA (NYSE:EQNR) Head-To-Head Analysis

Vitesse Energy (NYSE:VTS) and Equinor ASA (NYSE:EQNR) are both energy companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, analyst recommendations, institutional ownership, dividends, valuation and profitability.

Volatility & Risk

Vitesse Energy has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500. Comparatively, Equinor ASA has a beta of 0.03, meaning that its share price is 97% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Vitesse Energy and Equinor ASA, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vitesse Energy	1	2	3	0	2.33
Equinor ASA	1	9	2	1	2.23

Vitesse Energy presently has a consensus price target of $20.25, indicating a potential upside of 14.15%. Equinor ASA has a consensus price target of $42.47, indicating a potential downside of 4.15%. Given Vitesse Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Vitesse Energy is more favorable than Equinor ASA.

Earnings & Valuation

This table compares Vitesse Energy and Equinor ASA”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vitesse Energy	$284.48 million	2.63	$25.28 million	($0.33)	-53.76
Equinor ASA	$113.65 billion	0.93	$5.04 billion	$3.67	12.07

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

Dividends

Vitesse Energy pays an annual dividend of $1.75 per share and has a dividend yield of 9.9%. Equinor ASA pays an annual dividend of $1.28 per share and has a dividend yield of 2.9%. Vitesse Energy pays out -530.3% of its earnings in the form of a dividend. Equinor ASA pays out 34.9% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Vitesse Energy has raised its dividend for 2 consecutive years. Vitesse Energy is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider and Institutional Ownership

51.6% of Vitesse Energy shares are held by institutional investors. Comparatively, 5.5% of Equinor ASA shares are held by institutional investors. 13.9% of Vitesse Energy shares are held by insiders. Comparatively, 0.0% of Equinor ASA shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Profitability

This table compares Vitesse Energy and Equinor ASA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vitesse Energy	-3.95%	-0.02%	-0.02%
Equinor ASA	7.92%	23.60%	7.21%

Summary

Vitesse Energy beats Equinor ASA on 10 of the 18 factors compared between the two stocks.

About Vitesse Energy

Vitesse Energy, Inc., together with its subsidiaries, engages in the acquisition, development, and production of non-operated oil and natural gas properties in the United States. It owns and acquires non-operated working interest and royalty interest ownership in the Williston Basin properties located in North Dakota and Montana. The company also owns non-operated interests in the Central Rockies properties located in Colorado and Wyoming. Vitesse Energy, Inc. was founded in 2014 and is based in Centennial, Colorado.

About Equinor ASA

Equinor ASA, an energy company, engages in the exploration, production, transportation, refining, and marketing of petroleum and other forms of energy in Norway and internationally. It operates through Exploration & Production Norway; Exploration & Production International; Exploration & Production USA; Marketing, Midstream & Processing; Renewables; and Other segments. The company also transports, processes, manufactures, markets, and trades in oil and gas commodities, such as crude and condensate products, gas liquids, natural gas, and liquefied natural gas; trades in power and emissions; operates refineries, terminals and processing, and power plants; and develops low carbon solutions for oil and gas. In addition, it develops carbon capture and storage projects; provides transportation solutions, including pipelines, shipping, trucking, and rail; and develops and explores for renewable energy, such as offshore wind, green hydrogen, and solar power. The company was formerly known as Statoil ASA and changed its name to Equinor ASA in May 2018. Equinor ASA was incorporated in 1972 and is headquartered in Stavanger, Norway.