Financial Contrast: Yankuang Energy Group (OTCMKTS:YZCAY) and Expand Energy (NASDAQ:EXE)

Expand Energy (NASDAQ:EXE) and Yankuang Energy Group (OTCMKTS:YZCAY) are both large-cap energy companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, earnings, analyst recommendations, risk, valuation, dividends and institutional ownership.

Volatility & Risk

Expand Energy has a beta of 0.46, suggesting that its share price is 54% less volatile than the S&P 500. Comparatively, Yankuang Energy Group has a beta of 0.25, suggesting that its share price is 75% less volatile than the S&P 500.

Dividends

Expand Energy pays an annual dividend of $2.30 per share and has a dividend yield of 2.3%. Yankuang Energy Group pays an annual dividend of $0.36 per share and has a dividend yield of 2.5%. Expand Energy pays out 65.3% of its earnings in the form of a dividend. Yankuang Energy Group pays out 21.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Yankuang Energy Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Recommendations

This is a breakdown of recent recommendations for Expand Energy and Yankuang Energy Group, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Expand Energy	0	3	17	1	2.90
Yankuang Energy Group	0	0	0	1	4.00

Expand Energy currently has a consensus target price of $129.83, indicating a potential upside of 29.99%. Given Expand Energy’s higher probable upside, equities research analysts clearly believe Expand Energy is more favorable than Yankuang Energy Group.

Profitability

This table compares Expand Energy and Yankuang Energy Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Expand Energy	7.99%	6.31%	4.02%
Yankuang Energy Group	N/A	N/A	N/A

Institutional and Insider Ownership

97.9% of Expand Energy shares are held by institutional investors. 0.2% of Expand Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Expand Energy and Yankuang Energy Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Expand Energy	$4.24 billion	5.62	-$714.00 million	$3.52	28.38
Yankuang Energy Group	$17.32 billion	N/A	$1.96 billion	$1.65	8.67

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

Summary

Expand Energy beats Yankuang Energy Group on 10 of the 15 factors compared between the two stocks.

About Expand Energy

Expand Energy Corporation is an independent natural gas producer principally in the United States. Expand Energy Corporation, formerly known as Chesapeake Energy Corporation, is based in OKLAHOMA CITY.

About Yankuang Energy Group

Yankuang Energy Group Company Limited engages in the mining, preparation, and sale of coal in China and internationally. It offers thermal, PCI, and coking coal for electric power, metallurgy, chemical industry, etc.; manufactures, installs, and sells mining equipment and machinery; manufactures and sells coal mining and excavating equipment, cable, and rubber products; manufactures and sells methanol, acetic acid, ethyl acetate, caprolactam, naphtha, crude liquid wax, etc.; produces and sells chemicals and synthesis catalyst; explores for potash mineral; and sells coal mine machinery equipment and accessories, construction materials, petroleum products, and mineral products. The company also provides electricity and related heat supply; railway, river, and lakes transportation; coal mining technology development, transfer, and consultation; underground mines and coal mine management; supply chain management; factoring; engineering; water pollution control; equity investment fund and corporate asset management, investment advisory and corporate management, foreign investment fund, and trading services; solar and wind power, and production management; and financial services, as well as operates as a trade broker and agent. In addition, it engages in the processing, sale, and transportation of coal; coal resource exploration development; LTCC technology development and equipment rental activities; house and financial leasing; wholesale of coal and non-ferrous metals; real estate development and operation, and property management; investment and management of mineral resources; and logistics storage and leasing activities. The company was formerly known as Yanzhou Coal Mining Company Limited and changed its name to Yankuang Energy Group Company Limited in December 2021. The company was founded in 1973 and is based in Zoucheng, the People's Republic of China. Yankuang Energy Group Company Limited is a subsidiary of Shandong Energy Group Co.,Ltd.