Reviewing Imperial Petroleum (NASDAQ:IMPP) & Teekay Tankers (NYSE:TNK)

Teekay Tankers (NYSE:TNK) and Imperial Petroleum (NASDAQ:IMPP) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, valuation, profitability, institutional ownership, analyst recommendations, risk and dividends.

Profitability

This table compares Teekay Tankers and Imperial Petroleum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teekay Tankers	51.35%	22.11%	20.23%
Imperial Petroleum	36.76%	16.92%	15.92%

Valuation & Earnings

This table compares Teekay Tankers and Imperial Petroleum”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teekay Tankers	$951.80 million	3.61	$351.19 million	$16.97	5.85
Imperial Petroleum	$161.00 million	1.41	$49.98 million	$1.91	2.60

Teekay Tankers has higher revenue and earnings than Imperial Petroleum. Imperial Petroleum is trading at a lower price-to-earnings ratio than Teekay Tankers, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

52.7% of Teekay Tankers shares are held by institutional investors. Comparatively, 94.4% of Imperial Petroleum shares are held by institutional investors. 1.9% of Teekay Tankers shares are held by insiders. Comparatively, 1.5% of Imperial Petroleum shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Teekay Tankers and Imperial Petroleum, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teekay Tankers	1	3	3	0	2.29
Imperial Petroleum	0	1	1	0	2.50

Teekay Tankers presently has a consensus target price of $77.00, indicating a potential downside of 22.48%. Imperial Petroleum has a consensus target price of $9.00, indicating a potential upside of 81.45%. Given Imperial Petroleum’s stronger consensus rating and higher probable upside, analysts plainly believe Imperial Petroleum is more favorable than Teekay Tankers.

Volatility and Risk

Teekay Tankers has a beta of -0.09, meaning that its share price is 109% less volatile than the S&P 500. Comparatively, Imperial Petroleum has a beta of 1.27, meaning that its share price is 27% more volatile than the S&P 500.

Summary

Teekay Tankers beats Imperial Petroleum on 10 of the 14 factors compared between the two stocks.

About Teekay Tankers

Teekay Tankers Ltd. provides crude oil and other marine transportation services to oil industries in Bermuda and internationally. The company offers voyage and time charter services; offshore ship-to-ship transfer services of commodities primarily crude oil and refined oil products; and tanker commercial and technical management services. It also engages management of vessels, procurement, and equipment rental businesses. Teekay Tankers Ltd. was incorporated in 2007 and is headquartered in Hamilton, Bermuda.

About Imperial Petroleum

Imperial Petroleum Inc. provides international seaborne transportation services to oil producers, refineries, and commodities traders. It carries refined petroleum products, such as gasoline, diesel, fuel oil, and jet fuel, as well as edible oils and chemicals, crude oils, iron ore, coal and grains, and minor bulks, such as bauxite, phosphate, and fertilizers. As of April 1, 2024, the company owned and operated a fleet of six medium range refined petroleum product tankers; one Aframax tanker; two suezmax tankers; and two handysize drybulk carriers with a total capacity of 791,000 deadweight tons. The company was incorporated in 2021 and is based in Athens, Greece.