Reviewing PrimeEnergy Resources (NASDAQ:PNRG) & Crescent Energy (NYSE:CRGY)

PrimeEnergy Resources (NASDAQ:PNRG) and Crescent Energy (NYSE:CRGY) are both energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, analyst recommendations, profitability, earnings and valuation.

Risk & Volatility

PrimeEnergy Resources has a beta of 0.04, meaning that its stock price is 96% less volatile than the S&P 500. Comparatively, Crescent Energy has a beta of 1.88, meaning that its stock price is 88% more volatile than the S&P 500.

Institutional & Insider Ownership

52.1% of Crescent Energy shares are held by institutional investors. 61.1% of PrimeEnergy Resources shares are held by company insiders. Comparatively, 13.2% of Crescent Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares PrimeEnergy Resources and Crescent Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
PrimeEnergy Resources	27.73%	32.76%	18.13%
Crescent Energy	2.17%	12.53%	3.61%

Analyst Recommendations

This is a summary of recent ratings and recommmendations for PrimeEnergy Resources and Crescent Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
PrimeEnergy Resources	0	0	0	0	0.00
Crescent Energy	1	2	8	2	2.85

Crescent Energy has a consensus target price of $17.09, suggesting a potential upside of 118.97%. Given Crescent Energy’s stronger consensus rating and higher possible upside, analysts plainly believe Crescent Energy is more favorable than PrimeEnergy Resources.

Earnings & Valuation

This table compares PrimeEnergy Resources and Crescent Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
PrimeEnergy Resources	$209.65 million	1.53	$28.10 million	$23.26	8.05
Crescent Energy	$2.93 billion	0.69	$67.61 million	($0.69)	-11.31

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

Summary

Crescent Energy beats PrimeEnergy Resources on 9 of the 15 factors compared between the two stocks.

About PrimeEnergy Resources

PrimeEnergy Resources Corporation, through its subsidiaries, engages in acquisition, development, and production of oil and natural gas properties in the United States. The company owns leasehold, mineral, and royalty interests in producing and non-producing oil and gas properties; and operates approximately 534 active wells and owns non-operating interests and royalties in 952 additional wells. It also acquires producing oil and gas properties through joint ventures with industry partners; and provides contract services to third parties, including well-servicing support, site-preparation, and construction services for oil and gas drilling and reworking operations. The company was formerly known as PrimeEnergy Corporation and changed its name to PrimeEnergy Resources Corporation in December 2018. PrimeEnergy Resources Corporation was incorporated in 1973 and is headquartered in Houston, Texas.

About Crescent Energy

Crescent Energy Company acquires, develops, and produces crude oil, natural gas, and natural gas liquids (NGLs) reserves. Its portfolio of assets comprises mid-cycle unconventional and conventional assets in the Eagle Ford and Uinta Basins. It also owns and operates various midstream assets, which provide services to customers. The company is based in Houston, Texas.