Financial Comparison: Oklo (NYSE:OKLO) and Gevo (NASDAQ:GEVO)

Gevo (NASDAQ:GEVO) and Oklo (NYSE:OKLO) are both energy companies, but which is the better investment? We will compare the two companies based on the strength of their valuation, institutional ownership, profitability, earnings, dividends, risk and analyst recommendations.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Gevo and Oklo, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Gevo	2	1	2	0	2.00
Oklo	2	7	11	2	2.59

Gevo currently has a consensus target price of $6.58, indicating a potential upside of 291.87%. Oklo has a consensus target price of $85.33, indicating a potential upside of 37.06%. Given Gevo’s higher probable upside, analysts clearly believe Gevo is more favorable than Oklo.

Valuation & Earnings

This table compares Gevo and Oklo”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Gevo	$160.58 million	2.55	-$33.84 million	($0.13)	-12.92
Oklo	N/A	N/A	-$105.66 million	($0.84)	-74.12

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

Profitability

This table compares Gevo and Oklo’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Gevo	-19.38%	-5.06%	-3.41%
Oklo	N/A	-8.57%	-8.30%

Institutional & Insider Ownership

35.2% of Gevo shares are held by institutional investors. Comparatively, 85.0% of Oklo shares are held by institutional investors. 7.1% of Gevo shares are held by insiders. Comparatively, 18.9% of Oklo 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.

Volatility & Risk

Gevo has a beta of 1, indicating that its share price has a similar volatility profile to the S&P 500.Comparatively, Oklo has a beta of 1.16, indicating that its share price is 16% more volatile than the S&P 500.

About Gevo

Gevo, Inc. operates as a carbon abatement company. It operates through three segments: Gevo, Agri-Energy, and Renewable Natural Gas. The company focuses on transforming renewable energy into energy-dense liquid hydrocarbons that can be used as renewable fuels. It offers renewable gasoline and diesel, isobutanol, sustainable aviation fuel, renewable natural gas, isobutylene, ethanol, and animal feed and protein. The company was formerly known as Methanotech, Inc. and changed its name to Gevo, Inc. in March 2006. Gevo, Inc. was incorporated in 2005 and is headquartered in Englewood, Colorado.

About Oklo

Oklo Inc. designs and develops fission power plants to provide reliable and commercial-scale energy to customers in the United States. It also provides used nuclear fuel recycling services. The company was founded in 2013 and is based in Santa Clara, California.