Head-To-Head Survey: Magnolia Oil & Gas (NYSE:MGY) versus Par Pacific (NYSE:PARR)

Magnolia Oil & Gas (NYSE:MGY) and Par Pacific (NYSE:PARR) are both oils/energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, dividends, risk, earnings, profitability and valuation.

Profitability

This table compares Magnolia Oil & Gas and Par Pacific’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Magnolia Oil & Gas	31.65%	21.21%	14.69%
Par Pacific	8.85%	47.63%	13.66%

Insider & Institutional Ownership

94.7% of Magnolia Oil & Gas shares are held by institutional investors. Comparatively, 92.2% of Par Pacific shares are held by institutional investors. 1.4% of Magnolia Oil & Gas shares are held by company insiders. Comparatively, 4.4% of Par Pacific shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Magnolia Oil & Gas and Par Pacific’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Magnolia Oil & Gas	$1.23 billion	4.27	$388.30 million	$2.05	12.52
Par Pacific	$8.23 billion	0.22	$728.64 million	$11.95	2.54

Par Pacific has higher revenue and earnings than Magnolia Oil & Gas. Par Pacific is trading at a lower price-to-earnings ratio than Magnolia Oil & Gas, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Magnolia Oil & Gas has a beta of 2.03, indicating that its stock price is 103% more volatile than the S&P 500. Comparatively, Par Pacific has a beta of 1.98, indicating that its stock price is 98% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and price targets for Magnolia Oil & Gas and Par Pacific, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Magnolia Oil & Gas	1	4	4	0	2.33
Par Pacific	0	2	1	0	2.33

Magnolia Oil & Gas currently has a consensus target price of $27.63, suggesting a potential upside of 7.59%. Par Pacific has a consensus target price of $39.67, suggesting a potential upside of 30.78%. Given Par Pacific’s higher possible upside, analysts clearly believe Par Pacific is more favorable than Magnolia Oil & Gas.

Summary

Magnolia Oil & Gas beats Par Pacific on 7 of the 13 factors compared between the two stocks.

About Magnolia Oil & Gas

Magnolia Oil & Gas Corporation, an independent oil and natural gas company, engages in the acquisition, development, exploration, and production of oil, natural gas, and natural gas liquids reserves in the United States. Its properties are located primarily in Karnes County and the Giddings area in South Texas principally comprising the Eagle Ford Shale and the Austin Chalk formation. The company was incorporated in 2017 and is headquartered in Houston, Texas.

About Par Pacific

Par Pacific Holdings, Inc. owns and operates energy and infrastructure businesses. The company operates through Refining, Retail, and Logistics segments. The Refining segment owns and operates refineries that produce gasoline, distillate, asphalt, and other products primarily for consumption in Kapolei, Hawaii, Newcastle, Wyoming, Tacoma, Washington, and Billings, Montana. The Retail segment operates fuel retail outlets, which sell merchandise, such as soft drinks, prepared foods, and other sundries in Hawaii under the Hele, 76, and nomnom brands; and gasoline, diesel, and retail merchandise in Washington and Idaho. The Logistics segment owns and operates terminals, pipelines, single point mooring, marine vessels, storage facilities, loading and truck racks, and rail facilities to distribute ethanol, petroleum, and refined products throughout Hawaii, the United States West Coast, Washington, the Dakotas, and Wyoming; and a jet fuel storage facility and pipeline that serves Ellsworth Air Force Base in South Dakota. It also holds interest in refined products pipeline. In addition, the company owns and operates a marine terminal, a unit train-capable rail loading terminal; a truck rack, and a proprietary pipeline that serves Joint Base Lewis McChord. The company was formerly known as Par Petroleum Corporation and changed its name to Par Pacific Holdings, Inc. in October 2015. Par Pacific Holdings, Inc. was incorporated in 1984 and is headquartered in Houston, Texas.