Montauk Renewables (MNTK) & Its Peers Financial Analysis

Montauk Renewables (NASDAQ:MNTK) is one of 1,051 publicly-traded companies in the “Oil, Gas & Consumable Fuels” industry, but how does it contrast to its competitors? We will compare Montauk Renewables to similar companies based on the strength of its valuation, institutional ownership, dividends, analyst recommendations, risk, profitability and earnings.

Valuation and Earnings

This table compares Montauk Renewables and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Montauk Renewables	$176.38 million	$1.75 million	44.33
Montauk Renewables Competitors	$14.79 billion	$5.51 billion	-0.36

Montauk Renewables’ competitors have higher revenue and earnings than Montauk Renewables. Montauk Renewables is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Insider & Institutional Ownership

16.4% of Montauk Renewables shares are owned by institutional investors. Comparatively, 30.8% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by institutional investors. 54.3% of Montauk Renewables shares are owned by insiders. Comparatively, 15.3% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Montauk Renewables has a beta of 0.7, suggesting that its stock price is 30% less volatile than the S&P 500. Comparatively, Montauk Renewables’ competitors have a beta of -3.72, suggesting that their average stock price is 472% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for Montauk Renewables and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Montauk Renewables	1	4	0	0	1.80
Montauk Renewables Competitors	5968	26957	40797	2410	2.52

Montauk Renewables presently has a consensus price target of $1.80, suggesting a potential downside of 32.33%. As a group, “Oil, Gas & Consumable Fuels” companies have a potential upside of 26.25%. Given Montauk Renewables’ competitors stronger consensus rating and higher possible upside, analysts clearly believe Montauk Renewables has less favorable growth aspects than its competitors.

Profitability

This table compares Montauk Renewables and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Montauk Renewables	3.40%	2.45%	1.47%
Montauk Renewables Competitors	-470.80%	19.34%	6.40%

Summary

Montauk Renewables competitors beat Montauk Renewables on 9 of the 13 factors compared.

About Montauk Renewables

Montauk Renewables, Inc., a renewable energy company, engages in recovery and processing of biogas from landfills and other non-fossil fuel sources. It operates in two segments, Renewable Natural Gas and Renewable Electricity Generation. The company develops, owns, and operates renewable natural gas (RNG) projects that captures methane and prevents it from being released into the atmosphere by converting it into either RNG or electrical power for the electrical grid. Its customers for RNG and renewable identification numbers (RIN) include large, long-term owner-operators of landfills and livestock farms, local utilities, and large refiners in the natural gas and refining sectors. Montauk Renewables, Inc. was founded in 1980 and is headquartered in Pittsburgh, Pennsylvania.