Financial Contrast: Petrofac (OTCMKTS:POFCY) & Tetra Technologies (NYSE:TTI)

Petrofac (OTCMKTS:POFCY) and Tetra Technologies (NYSE:TTI) are both small-cap energy companies, but which is the superior stock? We will compare the two companies based on the strength of their earnings, institutional ownership, dividends, risk, valuation, profitability and analyst recommendations.

Risk and Volatility

Petrofac has a beta of 2.79, meaning that its share price is 179% more volatile than the S&P 500. Comparatively, Tetra Technologies has a beta of 1.12, meaning that its share price is 12% more volatile than the S&P 500.

Profitability

This table compares Petrofac and Tetra Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Petrofac	N/A	N/A	N/A
Tetra Technologies	19.75%	13.07%	5.76%

Valuation and Earnings

This table compares Petrofac and Tetra Technologies”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Petrofac	$2.50 billion	0.00	-$505.00 million	N/A	N/A
Tetra Technologies	$599.11 million	2.09	$108.28 million	$0.91	10.27

Tetra Technologies has lower revenue, but higher earnings than Petrofac.

Analyst Ratings

This is a breakdown of current ratings and target prices for Petrofac and Tetra Technologies, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Petrofac	0	0	0	0	0.00
Tetra Technologies	0	1	4	0	2.80

Tetra Technologies has a consensus price target of $9.25, suggesting a potential downside of 1.07%. Given Tetra Technologies’ stronger consensus rating and higher possible upside, analysts plainly believe Tetra Technologies is more favorable than Petrofac.

Insider and Institutional Ownership

70.2% of Tetra Technologies shares are held by institutional investors. 5.7% of Tetra Technologies shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

Tetra Technologies beats Petrofac on 10 of the 12 factors compared between the two stocks.

About Petrofac

Petrofac Limited designs, builds, manages, and maintains infrastructure for the energy industries in the United Kingdom, Algeria, Thailand, Oman, Kuwait, Iraq, the United Arab Emirates, the Netherlands, and internationally. It operates through three segments: Engineering & Construction (E&C); Asset Solutions; and Integrated Energy Services (IES). The E&C segment provides onshore and offshore engineering, procurement, construction, installation, and commissioning services. The Asset Solutions segment offers concept, feasibility, and front-end engineering design services, as well as manages and maintains onshore and offshore operations. The IES segment focuses on delivering value from the existing asset portfolio. The company was founded in 1981 and is based in St Helier, Jersey.

About Tetra Technologies

TETRA Technologies, Inc., together with its subsidiaries, operates as an energy services and solutions company. It operates through two segments, Completion Fluids & Products Division and Water & Flowback Services. The Completion Fluids & Products segment manufactures and markets clear brine fluids, additives, and associated products and services to the oil and gas industry for use in well drilling, completion, and workover operations in the United States, as well as in Latin America, Europe, Asia, the Middle East, and Africa. This segment also markets liquid and dry calcium chloride products; and TETRA PureFlow ultra-pure zinc bromide to battery technology companies. The Water & Flowback Services segment provides water management services for onshore oil and gas operators. This segment also offers frac flowback, production well testing, and other associated services in oil and gas producing regions in the United States, as well as in various basins in Latin America, Africa, Europe, and the Middle East. TETRA Technologies, Inc. was incorporated in 1981 and is headquartered in The Woodlands, Texas.