Tourmaline Oil (OTCMKTS:TRMLF) vs. Expand Energy (NASDAQ:EXE) Head to Head Review

Tourmaline Oil (OTCMKTS:TRMLF) and Expand Energy (NASDAQ:EXE) are both large-cap energy companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, institutional ownership, analyst recommendations, valuation, profitability, earnings and risk.

Dividends

Tourmaline Oil pays an annual dividend of $1.47 per share and has a dividend yield of 3.1%. Expand Energy pays an annual dividend of $2.30 per share and has a dividend yield of 2.5%. Tourmaline Oil pays out 204.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Expand Energy pays out 19.9% of its earnings in the form of a dividend.

Analyst Ratings

This is a summary of current ratings and price targets for Tourmaline Oil and Expand Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tourmaline Oil	1	5	3	1	2.40
Expand Energy	0	5	15	3	2.91

Tourmaline Oil currently has a consensus target price of $65.00, suggesting a potential upside of 38.71%. Expand Energy has a consensus target price of $122.89, suggesting a potential upside of 31.56%. Given Tourmaline Oil’s higher probable upside, analysts clearly believe Tourmaline Oil is more favorable than Expand Energy.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Tourmaline Oil	6.05%	9.05%	6.25%
Expand Energy	20.46%	10.33%	6.89%

Insider and Institutional Ownership

1.8% of Tourmaline Oil shares are held by institutional investors. Comparatively, 97.9% of Expand Energy shares are held by institutional investors. 0.2% of Expand Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares Tourmaline Oil and Expand Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tourmaline Oil	$4.72 billion	3.86	$187.99 million	$0.72	65.08
Expand Energy	$12.12 billion	1.78	$1.82 billion	$11.58	8.07

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

Risk & Volatility

Tourmaline Oil has a beta of -0.21, indicating that its share price is 121% less volatile than the S&P 500. Comparatively, Expand Energy has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500.

Summary

Expand Energy beats Tourmaline Oil on 13 of the 17 factors compared between the two stocks.

About Tourmaline Oil

Tourmaline Oil Corp. explores for and develops oil and natural gas properties in the Western Canadian Sedimentary Basin. The company holds interests in properties located in the Alberta Deep Basin, Northeast British Columbia Montney, and the Peace River High Triassic oil complex. Tourmaline Oil Corp. was incorporated in 2008 and is headquartered in Calgary, Canada.

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.