Comparing Northern Oil and Gas (NYSE:NOG) & Antero Resources (NYSE:AR)

Northern Oil and Gas (NYSE:NOG) and Antero Resources (NYSE:AR) are both energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, valuation, risk, dividends and analyst recommendations.

Profitability

This table compares Northern Oil and Gas and Antero Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Northern Oil and Gas	7.61%	20.61%	8.60%
Antero Resources	11.73%	7.51%	4.30%

Risk & Volatility

Northern Oil and Gas has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500. Comparatively, Antero Resources has a beta of 0.57, meaning that its stock price is 43% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Northern Oil and Gas and Antero Resources, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Northern Oil and Gas	1	5	4	1	2.45
Antero Resources	0	8	10	2	2.70

Northern Oil and Gas presently has a consensus target price of $33.25, indicating a potential upside of 47.20%. Antero Resources has a consensus target price of $45.47, indicating a potential upside of 32.64%. Given Northern Oil and Gas’ higher possible upside, equities analysts plainly believe Northern Oil and Gas is more favorable than Antero Resources.

Insider & Institutional Ownership

98.8% of Northern Oil and Gas shares are owned by institutional investors. Comparatively, 83.0% of Antero Resources shares are owned by institutional investors. 2.9% of Northern Oil and Gas shares are owned by insiders. Comparatively, 6.3% of Antero 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 and Valuation

This table compares Northern Oil and Gas and Antero Resources”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Northern Oil and Gas	$2.23 billion	0.99	$520.31 million	$1.77	12.76
Antero Resources	$4.88 billion	2.17	$57.23 million	$1.88	18.24

Northern Oil and Gas has higher earnings, but lower revenue than Antero Resources. Northern Oil and Gas is trading at a lower price-to-earnings ratio than Antero Resources, indicating that it is currently the more affordable of the two stocks.

Summary

Antero Resources beats Northern Oil and Gas on 9 of the 15 factors compared between the two stocks.

About Northern Oil and Gas

Northern Oil and Gas, Inc., an independent energy company, engages in the acquisition, exploration, exploitation, development, and production of crude oil and natural gas properties in the United States. It primarily holds interests in the Williston Basin, the Appalachian Basin, and the Permian Basin in the United States. The company is based in Minnetonka, Minnesota.

About Antero Resources

Antero Resources Corporation, an independent oil and natural gas company, engages in the development, production, exploration, and acquisition of natural gas, natural gas liquids (NGLs), and oil properties in the United States. It operates in three segments: Exploration and Development; Marketing; and Equity Method Investment in Antero Midstream. As of December 31, 2023, the company had approximately 515,000 net acres in the Appalachian Basin; and approximately 172,000 net acres in the Upper Devonian Shale. Its gathering and compression systems also comprise 631 miles of gas gathering pipelines in the Appalachian Basin. The company was formerly known as Antero Resources Appalachian Corporation and changed its name to Antero Resources Corporation in June 2013. Antero Resources Corporation was incorporated in 2002 and is headquartered in Denver, Colorado.