Noble Energy (NBL) versus Whiting Petroleum (WLL) Head-To-Head Comparison

Noble Energy (NYSE:NBL) and Whiting Petroleum (NYSE:WLL) are both oils/energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, institutional ownership, dividends, earnings, analyst recommendations and profitability.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Noble Energy and Whiting Petroleum, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Noble Energy 1 8 21 0 2.67
Whiting Petroleum 0 13 17 1 2.61

Noble Energy presently has a consensus price target of $41.76, suggesting a potential upside of 75.90%. Whiting Petroleum has a consensus price target of $51.71, suggesting a potential upside of 78.57%. Given Whiting Petroleum’s higher probable upside, analysts plainly believe Whiting Petroleum is more favorable than Noble Energy.

Earnings & Valuation

This table compares Noble Energy and Whiting Petroleum’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Noble Energy $4.26 billion 2.68 -$1.12 billion $0.31 76.58
Whiting Petroleum $1.48 billion 1.78 -$1.24 billion ($1.31) -22.11

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

Profitability

This table compares Noble Energy and Whiting Petroleum’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Noble Energy 25.09% 4.82% 2.45%
Whiting Petroleum -31.68% 5.30% 2.69%

Insider & Institutional Ownership

99.0% of Noble Energy shares are held by institutional investors. Comparatively, 95.3% of Whiting Petroleum shares are held by institutional investors. 2.0% of Noble Energy shares are held by company insiders. Comparatively, 1.7% of Whiting Petroleum shares are held by company 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

Noble Energy has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500. Comparatively, Whiting Petroleum has a beta of 3.02, indicating that its share price is 202% more volatile than the S&P 500.

Dividends

Noble Energy pays an annual dividend of $0.44 per share and has a dividend yield of 1.9%. Whiting Petroleum does not pay a dividend. Noble Energy pays out 141.9% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Noble Energy beats Whiting Petroleum on 11 of the 17 factors compared between the two stocks.

About Noble Energy

Noble Energy, Inc., an independent energy company, engages in the acquisition, exploration, development, and production of crude oil, natural gas, and natural gas liquids worldwide. It owns, operates, develops, and acquires domestic midstream infrastructure assets in the DJ and Delaware Basins. It principal projects are primarily located in the US unconventional basins and various global offshore conventional basins. As of December 31, 2017, the company had approximately 1,965 million barrels oil equivalent of total proved reserves. Noble Energy, Inc. was founded in 1932 and is headquartered in Houston, Texas.

About Whiting Petroleum

Whiting Petroleum Corporation engages in the acquisition, exploration, development, and production of crude oil, natural gas liquids, and natural gas primarily in the Rocky Mountains region of the United States. The company sells its oil and gas production to end users, marketers, and other purchasers. As of December 31, 2017, it had interests in 1,980 net productive wells on approximately 490,000 net developed acres, as well as total estimated proved reserves of 617.6 million barrels of oil equivalent. The company was founded in 1980 and is headquartered in Denver, Colorado.

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