Head to Head Contrast: Devon Energy (NYSE:DVN) & Geopark (NYSE:GPRK)

Devon Energy (NYSE:DVN) and Geopark (NYSE:GPRK) are both energy companies, but which is the better business? We will compare the two businesses based on the strength of their risk, analyst recommendations, dividends, institutional ownership, profitability, valuation and earnings.

Volatility & Risk

Devon Energy has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500. Comparatively, Geopark has a beta of 0.36, indicating that its share price is 64% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Devon Energy and Geopark, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Devon Energy	0	5	24	2	2.90
Geopark	0	2	2	0	2.50

Devon Energy presently has a consensus price target of $58.67, suggesting a potential upside of 29.61%. Geopark has a consensus price target of $11.50, suggesting a potential upside of 2.78%. Given Devon Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Devon Energy is more favorable than Geopark.

Profitability

This table compares Devon Energy and Geopark’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Devon Energy	13.71%	15.22%	7.39%
Geopark	11.74%	36.71%	8.06%

Valuation & Earnings

This table compares Devon Energy and Geopark”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Devon Energy	$17.19 billion	1.64	$2.64 billion	$3.59	12.61
Geopark	$492.52 million	1.17	$49.67 million	$1.05	10.66

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

Insider and Institutional Ownership

69.7% of Devon Energy shares are owned by institutional investors. Comparatively, 68.2% of Geopark shares are owned by institutional investors. 4.6% of Devon Energy shares are owned by insiders. Comparatively, 1.5% of Geopark shares are owned by 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.

Dividends

Devon Energy pays an annual dividend of $0.96 per share and has a dividend yield of 2.1%. Geopark pays an annual dividend of $0.09 per share and has a dividend yield of 0.8%. Devon Energy pays out 26.7% of its earnings in the form of a dividend. Geopark pays out 8.6% 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. Devon Energy has raised its dividend for 1 consecutive years and Geopark has raised its dividend for 3 consecutive years.

Summary

Devon Energy beats Geopark on 14 of the 18 factors compared between the two stocks.

About Devon Energy

Devon Energy Corporation, an independent energy company, engages in the exploration, development, and production of oil, natural gas, and natural gas liquids in the United States. It operates in Delaware, Eagle Ford, Anadarko, Williston, and Powder River Basins. The company was founded in 1971 and is headquartered in Oklahoma City, Oklahoma.

About Geopark

GeoPark Limited operates as an oil and natural gas exploration and production company primarily in Chile, Colombia, Brazil, Argentina, Ecuador, and other Latin American countries. It engages in the exploration, development, and production of oil and gas reserves. The company was formerly known as GeoPark Holdings Limited and changed its name to GeoPark Limited in July 2013. GeoPark Limited was founded in 2002 and is based in Bogotá, Colombia.