Delek Group (OTCMKTS:DGRLY) versus BP (NYSE:BP) Critical Review

BP (NYSE:BP) and Delek Group (OTCMKTS:DGRLY) are both energy companies, but which is the better business? We will compare the two companies based on the strength of their valuation, dividends, institutional ownership, analyst recommendations, risk, earnings and profitability.

Earnings and Valuation

This table compares BP and Delek Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BP	$194.63 billion	0.46	$381.00 million	$0.58	58.98
Delek Group	$3.23 billion	N/A	$379.36 million	N/A	N/A

BP has higher revenue and earnings than Delek Group.

Profitability

This table compares BP and Delek Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BP	0.79%	9.07%	2.52%
Delek Group	N/A	N/A	N/A

Insider & Institutional Ownership

11.0% of BP shares are held by institutional investors. 1.0% of BP shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings and price targets for BP and Delek Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BP	3	9	9	2	2.43
Delek Group	0	0	0	0	0.00

BP presently has a consensus price target of $42.71, indicating a potential upside of 24.84%. Given BP’s stronger consensus rating and higher probable upside, equities research analysts plainly believe BP is more favorable than Delek Group.

Summary

BP beats Delek Group on 11 of the 11 factors compared between the two stocks.

About BP

BP p.l.c. provides carbon products and services. The company operates through Gas & Low Carbon Energy, Oil Production & Operations, and Customers & Products segments. It engages in the production of natural gas, and integrated gas and power; trading of gas; operation of onshore and offshore wind power, as well as hydrogen and carbon capture and storage facilities; trading and marketing of renewable and non-renewable power; and production of crude oil. In addition, the company involved in convenience and retail fuel, EV charging, Castrol lubricant, aviation, B2B, and midstream businesses; refining and oil trading; and bioenergy business. The company was founded in 1908 and is headquartered in London, the United Kingdom.

About Delek Group

Delek Group Ltd., an energy company, develops, produces, and sells natural gas in Israel and internationally. The company operates through three segments: Energy in Israel, Energy Abroad, and Fuel Products. It holds interests in Tamar, Leviathan, and Aphrodite projects in the Mediterranean; holds rights to oil assets in the Gulf of Mexico and Canada, as well as oil and gas reserves in the North Sea off the coast of England; and owns production, treatment, and storage facilities. The company also operates gas stations with on-site convenience stores; and provides fuel storage and distribution services in Israel. In addition, it provides fuel products and other services, such as white products, comprising gasoline, diesel fuel, LPG, kerosene, jet fuel, and natural gas/CNG; black products, including fuel oil and bitumen; and industrial products, such as engine oils, lubricants, and greases. Further, the company offers services, such as restaurants, cafes, car wash services, etc.; ship services to refueling services at Israeli ports; and retail products comprising food products, beverages, cigarettes, and other products through Menta convenience stores, as well as sells car accessories. Additionally, it engages in the construction and operation of power plants; orchard management activities; processing, packaging, and marketing of fruits; and leasing activities. The company also supplies water for irrigation; cooling storage systems; and provides drinking water pumping services. As of December 31, 2019, it operated 160 convenience stores, including 25 franchised convenience stores, which have coffee and food sales points under the Cup O' Joe brand name. Delek Group Ltd. was founded in 1951 and is headquartered in Herzliya, Israel.