Obsidian Energy (OTCMKTS:OBELF) & CNX Resources (NYSE:CNX) Financial Survey

Obsidian Energy (OTCMKTS:OBELFGet Free Report) and CNX Resources (NYSE:CNXGet Free Report) are both oils/energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, earnings, valuation, risk, institutional ownership, dividends and analyst recommendations.

Insider and Institutional Ownership

0.0% of Obsidian Energy shares are held by institutional investors. Comparatively, 95.2% of CNX Resources shares are held by institutional investors. 3.1% of CNX Resources 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.

Analyst Recommendations

This is a summary of recent ratings for Obsidian Energy and CNX Resources, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Obsidian Energy 0 0 0 0 0.00
CNX Resources 8 6 1 0 1.53

CNX Resources has a consensus target price of $30.38, suggesting a potential downside of 5.00%. Given CNX Resources’ stronger consensus rating and higher probable upside, analysts clearly believe CNX Resources is more favorable than Obsidian Energy.

Earnings & Valuation

This table compares Obsidian Energy and CNX Resources”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Obsidian Energy $220.00 million 2.07 -$576.07 million $4.17 1.35
CNX Resources $1.44 billion 3.31 -$90.49 million ($0.68) -47.03

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

Profitability

This table compares Obsidian Energy and CNX Resources’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Obsidian Energy 99.13% 78.07% 35.32%
CNX Resources -7.14% 6.72% 3.31%

Volatility and Risk

Obsidian Energy has a beta of 2.47, meaning that its stock price is 147% more volatile than the S&P 500. Comparatively, CNX Resources has a beta of 1.26, meaning that its stock price is 26% more volatile than the S&P 500.

Summary

CNX Resources beats Obsidian Energy on 8 of the 14 factors compared between the two stocks.

About Obsidian Energy

(Get Free Report)

Obsidian Energy Ltd. is an exploration and production company. The firm engages in exploring, developing, and holds interests in oil and natural gas properties and related production infrastructure in the Western Canada Sedimentary Basin directly and through investments in securities of subsidiaries holding such interests. Its property portfolio includes Cardium, Viking, and Peace River. The company was founded on December 27, 1979 and is headquartered in Calgary, Canada.

About CNX Resources

(Get Free Report)

CNX Resources Corporation, an independent natural gas and midstream company, engages in the acquisition, exploration, development, and production of natural gas properties in the Appalachian Basin. The company operates in two segments, Shale and Coalbed Methane (CBM). It produces and sells pipeline quality natural gas primarily for gas wholesalers. The company owns rights to extract natural gas from shale properties in Pennsylvania, West Virginia, and Ohio, as well as rights to extract natural gas from other shale and shallow oil and gas formations in Illinois, Indiana, New York, and Virginia. It also owns rights to extract CBM in Virginia, West Virginia, Pennsylvania, Ohio, Illinois, Indiana, and New Mexico. In addition, the company designs, builds, and operates natural gas gathering systems to move gas from the wellhead to interstate pipelines or other local sales points; owns and operates approximately 2,600 miles of natural gas gathering pipelines, as well as various natural gas processing facilities. It also offers turn-key solutions for water sourcing, delivery, and disposal for its natural gas operations and for third parties. The company was formerly known as CONSOL Energy Inc. and changed its name to CNX Resources Corporation in November 2017. CNX Resources Corporation was founded in 1860 and is headquartered in Canonsburg, Pennsylvania.

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