Financial Review: China Shenhua Energy (OTCMKTS:CSUAY) and Crescent Energy (NYSE:CRGY)

Crescent Energy (NYSE:CRGY – Get Free Report) and China Shenhua Energy (OTCMKTS:CSUAY – Get Free Report) are both energy companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Valuation & Earnings

This table compares Crescent Energy and China Shenhua Energy”s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Crescent Energy $3.58 billion 1.20 $132.91 million ($0.05) -259.18
China Shenhua Energy $41.03 billion 2.78 $7.54 billion $1.62 14.14

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

Profitability

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

Net Margins Return on Equity Return on Assets
Crescent Energy 1.27% 10.52% 4.44%
China Shenhua Energy 16.90% 11.61% 8.63%

Dividends

Crescent Energy pays an annual dividend of $0.48 per share and has a dividend yield of 3.7%. China Shenhua Energy pays an annual dividend of $0.95 per share and has a dividend yield of 4.1%. Crescent Energy pays out -960.0% of its earnings in the form of a dividend. China Shenhua Energy pays out 58.6% 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. Crescent Energy has increased its dividend for 1 consecutive years.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Crescent Energy and China Shenhua Energy, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Crescent Energy 1 5 10 1 2.65
China Shenhua Energy 0 1 0 0 2.00

Crescent Energy presently has a consensus price target of $17.08, suggesting a potential upside of 31.78%. Given Crescent Energy’s stronger consensus rating and higher probable upside, equities analysts clearly believe Crescent Energy is more favorable than China Shenhua Energy.

Risk and Volatility

Crescent Energy has a beta of 1.45, suggesting that its share price is 45% more volatile than the S&P 500. Comparatively, China Shenhua Energy has a beta of 0.18, suggesting that its share price is 82% less volatile than the S&P 500.

Insider & Institutional Ownership

52.1% of Crescent Energy shares are held by institutional investors. 13.2% of Crescent Energy shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

About Crescent Energy

(Get Free Report)

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.

About China Shenhua Energy

(Get Free Report)

China Shenhua Energy Company Limited, together with its subsidiaries, engages in the production and sale of coal and power; railway, port, and shipping transportation; and coal-to-olefins businesses in the People's Republic of China and internationally. It operates through six segments: Coal, Power Generation, Railway, Port, Shipping, and Coal Chemical. The Coal segment produces coal from surface and underground mines; and sells coal to power plants and metallurgical and coal chemical producers. The Power segment generates electric power through thermal, wind, water, and gas; and sells electric power to power grid companies. The Railway segment provides railway transportation services. The Port segment offers loading, transportation, and storage services. The Shipping segment provides shipment transportation services. The Coal Chemical segment produces and sells methanol; and polyethylene and polypropylene, as well as other by-products. The company was incorporated in 2004 and is based in Beijing, the People's Republic of China. China Shenhua Energy Company Limited operates as a subsidiary of China Energy Investment Corporation Limited.

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