Critical Review: HF Sinclair (NYSE:DINO) and Devon Energy (NYSE:DVN)

HF Sinclair (NYSE:DINO) and Devon Energy (NYSE:DVN) are both energy companies, but which is the better business? We will compare the two businesses based on the strength of their risk, earnings, profitability, dividends, valuation, analyst recommendations and institutional ownership.

Profitability

This table compares HF Sinclair and Devon Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HF Sinclair	N/A	N/A	N/A
Devon Energy	N/A	N/A	N/A

Earnings and Valuation

This table compares HF Sinclair and Devon Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HF Sinclair	$31.23 billion	0.65	$1.86 billion	$10.48	10.86
Devon Energy	N/A	N/A	N/A	$4.21	12.16

HF Sinclair has higher revenue and earnings than Devon Energy. HF Sinclair is trading at a lower price-to-earnings ratio than Devon Energy, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for HF Sinclair and Devon Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HF Sinclair	1	7	6	2	2.56
Devon Energy	0	3	25	2	2.97

HF Sinclair presently has a consensus target price of $114.92, indicating a potential upside of 0.96%. Devon Energy has a consensus target price of $60.72, indicating a potential upside of 18.65%. Given Devon Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Devon Energy is more favorable than HF Sinclair.

Institutional & Insider Ownership

88.3% of HF Sinclair shares are held by institutional investors. Comparatively, 69.7% of Devon Energy shares are held by institutional investors. 0.3% of HF Sinclair shares are held by company insiders. Comparatively, 4.6% of Devon Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Devon Energy beats HF Sinclair on 5 of the 8 factors compared between the two stocks.

About HF Sinclair

HF Sinclair Corporation operates as an independent energy company. The company produces and markets gasoline, diesel fuel, jet fuel, renewable diesel, specialty lubricant products, specialty chemicals, specialty and modified asphalt, and others. It owns and operates refineries located in Kansas, Oklahoma, New Mexico, Utah, Washington, and Wyoming; and markets its refined products principally in the Southwest United States and Rocky Mountains, Pacific Northwest, and in other neighboring Plains states. In addition, the company supplies fuels to approximately 1,500 independent Sinclair branded stations and licenses the use of the Sinclair brand at approximately 300 additional locations. Further, it produces base oils and other specialized lubricants; and provides petroleum product and crude oil transportation, terminalling, storage, and throughput services to the petroleum sector. HF Sinclair Corporation is headquartered in Dallas, Texas.

About Devon Energy

Devon Energy Corporation, an independent energy company, engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. It operates in Delaware, Eagle Ford, Anadarko, Williston, and Powder River Basins. The company was founded in 1971 and is headquartered in Oklahoma City, Oklahoma.