Tetra Technologies (NYSE:TTI) versus Tidewater (NYSE:TDW) Critical Comparison

Tidewater (NYSE:TDW) and Tetra Technologies (NYSE:TTI) are both energy companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, analyst recommendations, profitability, institutional ownership and risk.

Risk and Volatility

Tidewater has a beta of 0.53, suggesting that its share price is 47% less volatile than the S&P 500. Comparatively, Tetra Technologies has a beta of 1.19, suggesting that its share price is 19% more volatile than the S&P 500.

Insider & Institutional Ownership

95.1% of Tidewater shares are owned by institutional investors. Comparatively, 70.2% of Tetra Technologies shares are owned by institutional investors. 5.9% of Tidewater shares are owned by company insiders. Comparatively, 6.3% of Tetra Technologies shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Tidewater and Tetra Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tidewater	0	6	2	1	2.44
Tetra Technologies	0	2	3	0	2.60

Tidewater currently has a consensus price target of $89.33, suggesting a potential upside of 19.13%. Tetra Technologies has a consensus price target of $12.83, suggesting a potential upside of 66.75%. Given Tetra Technologies’ stronger consensus rating and higher probable upside, analysts clearly believe Tetra Technologies is more favorable than Tidewater.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Tidewater	22.16%	8.79%	4.92%
Tetra Technologies	1.15%	10.50%	4.59%

Valuation and Earnings

This table compares Tidewater 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
Tidewater	$1.35 billion	2.77	$334.66 million	$5.97	12.56
Tetra Technologies	$630.93 million	1.62	$3.01 million	$0.05	153.92

Tidewater has higher revenue and earnings than Tetra Technologies. Tidewater is trading at a lower price-to-earnings ratio than Tetra Technologies, indicating that it is currently the more affordable of the two stocks.

Summary

Tidewater beats Tetra Technologies on 8 of the 15 factors compared between the two stocks.

About Tidewater

Tidewater Inc., together with its subsidiaries, provides offshore support vessels and marine support services to the offshore energy industry through the operation of a fleet of marine service vessels worldwide. It provides services in support of offshore oil and gas exploration, field development, and production, as well as windfarm development and maintenance, including towing of and anchor handling for mobile offshore drilling units; transporting supplies and personnel necessary to sustain drilling, workover, and production activities; offshore construction, and seismic and subsea support; geotechnical survey support for windfarm construction; and various specialized services, such as pipe and cable laying. The company operates anchor handling towing supply vessels, platform supply vessels, crew boats, utility vessels, and offshore tugs. The company serves integrated and independent oil and gas exploration, field development, and production companies; mid-sized and smaller independent exploration and production companies; foreign government-owned or government-controlled organizations, and other related companies; offshore drilling contractors; and other companies, such as offshore construction, windfarm development, diving, and well stimulation companies. Tidewater Inc. was incorporated in 1956 and is headquartered in Houston, Texas.

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.