PEDEVCO (NYSE:PED) vs. SandRidge Energy (OTCMKTS:SDOCQ) Critical Analysis

PEDEVCO (NYSE:PED) and SandRidge Energy (OTCMKTS:SDOCQ) are both small-cap energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their earnings, dividends, institutional ownership, risk, profitability, analyst recommendations and valuation.

Analyst Recommendations

This is a summary of current recommendations and price targets for PEDEVCO and SandRidge Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PEDEVCO	0	1	1	1	3.00
SandRidge Energy	0	0	0	0	0.00

PEDEVCO currently has a consensus price target of $1.50, indicating a potential upside of 150.42%. Given PEDEVCO’s stronger consensus rating and higher possible upside, research analysts clearly believe PEDEVCO is more favorable than SandRidge Energy.

Valuation & Earnings

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PEDEVCO	$33.25 million	1.72	$260,000.00	$0.11	5.45
SandRidge Energy	N/A	N/A	N/A	N/A	N/A

PEDEVCO has higher revenue and earnings than SandRidge Energy.

Profitability

This table compares PEDEVCO and SandRidge Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PEDEVCO	6.57%	1.58%	1.39%
SandRidge Energy	N/A	N/A	N/A

Insider & Institutional Ownership

3.3% of PEDEVCO shares are owned by institutional investors. 70.4% of PEDEVCO shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

PEDEVCO beats SandRidge Energy on 10 of the 10 factors compared between the two stocks.

About PEDEVCO

PEDEVCO Corp., an oil and gas company, focuses on the acquisition, development, and production of oil and natural gas assets in the United States. It holds interests in the Permian Basin asset covering an area of approximately 22,721 net acres located in New Mexico; and D-J Basin asset covering an area of approximately 19,214 net acres located in Wyoming. The company is headquartered in Houston, Texas.

About SandRidge Energy

SandRidge Energy, Inc. is an oil and natural gas company. The Company focuses on exploration and production activities in the Mid-Continent and Rockies regions of the United States. As of December 31, 2016, the Company had 3,122 gross producing wells and approximately 1,364,000 gross total acres under lease. The Company’s primary areas of operation are the Mid-Continent area of Oklahoma and Kansas and the Niobrara Shale in the Colorado Rockies. As of December 31, 2016, the Company held interests in approximately 1,185,000 gross leasehold acres located primarily in Oklahoma and Kansas. As of December 31, 2016, the Company’s interests in the Mid-Continent included 1,972 gross producing wells. As of December 31, 2016, the Company had approximately 1,087,000 gross acres under lease and 1,471 gross producing wells in the Mississippian formation. As of December 31, 2016, the Company’s Rockies properties consisted of approximately 140,000 gross acres and 25 gross producing wells.