Head-To-Head Comparison: Okeanis Eco Tankers (NYSE:ECO) and Teekay (NYSE:TK)

Teekay (NYSE:TK) and Okeanis Eco Tankers (NYSE:ECO) are both small-cap energy companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, earnings, analyst recommendations, valuation, institutional ownership, dividends and risk.

Profitability

This table compares Teekay and Okeanis Eco Tankers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Teekay	10.96%	5.67%	5.08%
Okeanis Eco Tankers	27.68%	25.40%	9.58%

Volatility and Risk

Teekay has a beta of 0.56, indicating that its stock price is 44% less volatile than the S&P 500. Comparatively, Okeanis Eco Tankers has a beta of 0.57, indicating that its stock price is 43% less volatile than the S&P 500.

Insider & Institutional Ownership

46.7% of Teekay shares are held by institutional investors. 2.4% of Teekay shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings and target prices for Teekay and Okeanis Eco Tankers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Teekay	0	0	0	0	0.00
Okeanis Eco Tankers	0	0	1	0	3.00

Okeanis Eco Tankers has a consensus price target of $40.00, indicating a potential upside of 76.46%. Given Okeanis Eco Tankers’ stronger consensus rating and higher possible upside, analysts clearly believe Okeanis Eco Tankers is more favorable than Teekay.

Earnings and Valuation

This table compares Teekay and Okeanis Eco Tankers”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Teekay	$1.22 billion	0.51	$150.64 million	$1.41	4.77
Okeanis Eco Tankers	$393.23 million	1.86	$145.25 million	$3.38	6.71

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

Dividends

Teekay pays an annual dividend of $0.25 per share and has a dividend yield of 3.7%. Okeanis Eco Tankers pays an annual dividend of $1.40 per share and has a dividend yield of 6.2%. Teekay pays out 17.7% of its earnings in the form of a dividend. Okeanis Eco Tankers pays out 41.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Summary

Okeanis Eco Tankers beats Teekay on 11 of the 16 factors compared between the two stocks.

About Teekay

Teekay Corporation engages in the international crude oil and other marine transportation services worldwide. The company owns and operates crude oil and refined product tankers. It also provides ship-to-ship support services; tanker commercial management operation services; and operational and maintenance marine services. As of March 1, 2024, the company operated a fleet of approximately 53 owned and chartered-in vessels. It serves energy and utility companies, major oil traders, large oil consumers and petroleum product producers, government agencies, and various other entities that depend upon marine transportation. Teekay Corporation was founded in 1973 and is headquartered in Hamilton, Bermuda.

About Okeanis Eco Tankers

Okeanis Eco Tankers Corp., a shipping company, owns and operates tanker vessels worldwide. It operates a fleet of 14 tanker vessels comprising six modern Suezmax tankers and eight modern VLCC tankers focusing on the transportation of crude oil. The company was incorporated in 2018 and is based in Neo Faliro, Greece.