Genesis Energy (NYSE:GEL – Get Free Report) and HighPeak Energy (NASDAQ:HPK – Get Free Report) are both small-cap energy companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, earnings, profitability, dividends, analyst recommendations, risk and institutional ownership.
Insider and Institutional Ownership
66.8% of Genesis Energy shares are owned by institutional investors. Comparatively, 24.1% of HighPeak Energy shares are owned by institutional investors. 0.7% of Genesis Energy shares are owned by insiders. Comparatively, 5.6% of HighPeak Energy shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.
Risk and Volatility
Genesis Energy has a beta of 0.83, indicating that its share price is 17% less volatile than the S&P 500. Comparatively, HighPeak Energy has a beta of 0.36, indicating that its share price is 64% less volatile than the S&P 500.
Valuation & Earnings
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Genesis Energy | $1.63 billion | 1.07 | -$440.40 million | $0.19 | 74.98 |
| HighPeak Energy | $863.36 million | 1.45 | $18.96 million | ($0.79) | -12.54 |
HighPeak Energy has lower revenue, but higher earnings than Genesis Energy. HighPeak Energy is trading at a lower price-to-earnings ratio than Genesis Energy, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Genesis Energy and HighPeak Energy’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Genesis Energy | 4.29% | 55.96% | 1.58% |
| HighPeak Energy | -10.52% | -1.44% | -0.71% |
Analyst Ratings
This is a breakdown of current recommendations for Genesis Energy and HighPeak Energy, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Genesis Energy | 0 | 1 | 2 | 0 | 2.67 |
| HighPeak Energy | 1 | 1 | 0 | 0 | 1.50 |
Genesis Energy currently has a consensus target price of $17.50, indicating a potential upside of 22.83%. Given Genesis Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Genesis Energy is more favorable than HighPeak Energy.
Summary
Genesis Energy beats HighPeak Energy on 11 of the 14 factors compared between the two stocks.
About Genesis Energy
Genesis Energy, L.P. provides integrated suite of midstream services in crude oil and natural gas industry in the United States. It operates through Offshore Pipeline Transportation, Soda and Sulfur Services, Marine Transportation, and Onshore Facilities and Transportation segments. The Offshore Pipeline Transportation segment engages in offshore crude oil and natural gas pipeline transportation and handling operations, as well as deep water pipeline servicing. This segment also owns interests in offshore crude oil and natural gas pipeline systems, platforms, and related infrastructure. The Soda and Sulfur Services segment produces, markets, and sells soda ash; and provides sulfur removal services. This segment also owns and operates soda ash production facilities, underground trona ore mines and brine solution mining operations and related equipment, and logistics and other assets; and sells sodium hydrosulfide and caustic soda to industrial and commercial companies involved in the mining of base metals. The Marine Transportation segment offers waterborne transportation of petroleum and crude oil in North America. This segment owns a fleet of 91 barges and 42 push/tow boats. The Onshore Facilities and Transportation segment offers onshore facilities and transportation services to crude oil refineries and producers by purchasing, transporting, storing, blending, and marketing crude oil and refined products; and operates trucks, trailers, railcars, and terminals and tankage in various locations along the Gulf Coast. This segment also transports crude oil, as well as owns four onshore crude oil pipeline systems and four operational crude oil rail unloading facilities. The company was incorporated in 1996 and is headquartered in Houston, Texas.
About HighPeak Energy
HighPeak Energy, Inc., an independent oil and natural gas company, engages in the exploration, development, and production of crude oil, natural gas, and natural gas liquids reserves in the Permian Basin in West Texas and Eastern New Mexico. The company was incorporated in 2019 and is headquartered in Fort Worth, Texas.
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