Financial Contrast: Murphy Oil (NYSE:MUR) and Carbon Energy (OTCMKTS:CRBO)

Murphy Oil (NYSE:MUR) and Carbon Energy (OTCMKTS:CRBO) are both energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, dividends, institutional ownership, risk, profitability, analyst recommendations and earnings.

Volatility & Risk

Murphy Oil has a beta of 0.99, indicating that its stock price is 1% less volatile than the S&P 500. Comparatively, Carbon Energy has a beta of -1.74, indicating that its stock price is 274% less volatile than the S&P 500.

Earnings and Valuation

This table compares Murphy Oil and Carbon Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Murphy Oil	$2.75 billion	1.50	$407.17 million	$0.98	29.41
Carbon Energy	N/A	N/A	N/A	N/A	N/A

Murphy Oil has higher revenue and earnings than Carbon Energy.

Insider and Institutional Ownership

78.3% of Murphy Oil shares are held by institutional investors. 6.5% of Murphy Oil shares are held by company insiders. Comparatively, 7.1% of Carbon Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and target prices for Murphy Oil and Carbon Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Murphy Oil	3	11	1	0	1.87
Carbon Energy	0	0	0	0	0.00

Murphy Oil presently has a consensus price target of $28.33, suggesting a potential downside of 1.69%. Given Murphy Oil’s stronger consensus rating and higher possible upside, research analysts plainly believe Murphy Oil is more favorable than Carbon Energy.

Profitability

This table compares Murphy Oil and Carbon Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Murphy Oil	10.20%	5.25%	2.88%
Carbon Energy	N/A	N/A	N/A

Summary

Murphy Oil beats Carbon Energy on 9 of the 10 factors compared between the two stocks.

About Murphy Oil

Murphy Oil Corporation, together with its subsidiaries, operates as an oil and gas exploration and production company in the United States, Canada, and internationally. It explores for and produces crude oil, natural gas, and natural gas liquids. The company was formerly known as Murphy Corporation and changed its name to Murphy Oil Corporation in 1964. The company was incorporated in 1950 and is headquartered in Houston, Texas.

About Carbon Energy

Carbon Energy Corporation, an independent oil and natural gas company, engages in the acquisition, exploration, development, and production of oil, natural gas, and natural gas liquids properties in the United States. It focuses on conventional and unconventional reservoirs, including shale, tight sand, and coalbed methane located in the Appalachian, Illinois, and Ventura Basins. It owns working interests and royalty interests in wells located in California, Illinois, Indiana, Kentucky, Ohio, Tennessee, Virginia, and West Virginia, as well as had leasehold positions. The company was formerly known as Carbon Natural Gas Company and changed its name to Carbon Energy Corporation in June 2018. Carbon Energy Corporation was founded in 2007 and is based in Denver, Colorado.