Safe Bulkers (NYSE: SB) and Pyxis Tankers (NASDAQ:PXS) are both small-cap transportation companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, dividends, earnings, valuation, risk, analyst recommendations and institutional ownership.

Volatility and Risk

Safe Bulkers has a beta of 2.34, suggesting that its stock price is 134% more volatile than the S&P 500. Comparatively, Pyxis Tankers has a beta of 6.1, suggesting that its stock price is 510% more volatile than the S&P 500.

Profitability

This table compares Safe Bulkers and Pyxis Tankers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Safe Bulkers -26.74% -3.34% -1.61%
Pyxis Tankers -31.98% -19.86% -7.47%

Analyst Recommendations

This is a breakdown of current ratings and target prices for Safe Bulkers and Pyxis Tankers, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Safe Bulkers 0 4 3 0 2.43
Pyxis Tankers 0 0 2 0 3.00

Safe Bulkers presently has a consensus price target of $3.19, indicating a potential downside of 3.12%. Pyxis Tankers has a consensus price target of $3.75, indicating a potential upside of 115.69%. Given Pyxis Tankers’ stronger consensus rating and higher possible upside, analysts clearly believe Pyxis Tankers is more favorable than Safe Bulkers.

Valuation & Earnings

This table compares Safe Bulkers and Pyxis Tankers’ revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Safe Bulkers $127.17 million 2.62 $59.75 million ($0.57) -5.77
Pyxis Tankers $30.54 million 1.04 $2.41 million ($0.53) -3.28

Safe Bulkers has higher revenue and earnings than Pyxis Tankers. Safe Bulkers is trading at a lower price-to-earnings ratio than Pyxis Tankers, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

19.0% of Safe Bulkers shares are owned by institutional investors. Comparatively, 0.1% of Pyxis Tankers shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

Safe Bulkers beats Pyxis Tankers on 8 of the 12 factors compared between the two stocks.

Safe Bulkers Company Profile

Safe Bulkers, Inc. is a holding company. The Company’s principal business is the acquisition, ownership and operation of drybulk vessels. The Company’s vessels operate across the world, carrying drybulk cargo for the consumers of marine drybulk transportation services. The Company is an international provider of marine drybulk transportation services, transporting bulk cargoes, particularly coal, grain and iron ore, along shipping routes across the world. As of February 17, 2017 the Company’s fleet included 38 vessels, of which 14 are Panamax class vessels, nine are Kamsarmax class vessels, 12 are Post-Panamax class vessels and three are Capesize class vessels, with an aggregate carrying capacity of 3,421,800 deadweight tonnage (dwt). The Company’s fleet of Post-Panamax vessels includes Marina, Xenia, Sophia, Eleni, Martine, Andreas K, Panayiota K, Venus Heritage, Venus History, Venus Horizon and Troodos Sun. Its fleet of Capesize vessels includes Kanaris, Pelopidas and Lake Despina.

Pyxis Tankers Company Profile

Pyxis Tankers Inc. is a holding company. The Company is an international maritime transportation company focused on the product tanker sector. It owns a fleet of six double hull product tankers: Pyxis Epsilon with carrying capacity of approximately 50,300 deadweight tonnage (dwt); Pyxis Theta with carrying capacity of approximately 51,800 dwt, Pyxis Malou with carrying capacity of over 50,670 dwt; Pyxis Delta with carrying capacity of approximately 46,620 dwt; Northsea Beta with carrying capacity of over 8,650 dwt, and Northsea Alpha with carrying capacity of approximately 8,615 dwt. Four of the Company’s vessels in the fleet are medium-range (MR), product tankers, three have eco-efficient or eco-modified designs, and two of them are short-range tanker sister ships. Its fleet is capable of transporting refined petroleum products, such as naphtha, gasoline, jet fuel, kerosene, diesel and fuel oil, as well as other liquid bulk items, such as vegetable oils and organic chemicals.

Receive News & Ratings for Safe Bulkers Inc Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Safe Bulkers Inc and related companies with Analyst Ratings Network's FREE daily email newsletter.