Gran Tierra Energy (NYSE:GTE) and Par Pacific (NYSE:PARR) Financial Contrast

Par Pacific (NYSE:PARR) and Gran Tierra Energy (NYSE:GTE) are both energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their profitability, institutional ownership, risk, valuation, analyst recommendations, dividends and earnings.

Volatility and Risk

Par Pacific has a beta of 0.77, indicating that its share price is 23% less volatile than the S&P 500. Comparatively, Gran Tierra Energy has a beta of 0.19, indicating that its share price is 81% less volatile than the S&P 500.

Profitability

This table compares Par Pacific and Gran Tierra Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Par Pacific	9.94%	56.19%	21.61%
Gran Tierra Energy	7.17%	11.36%	3.28%

Analyst Recommendations

This is a breakdown of recent recommendations for Par Pacific and Gran Tierra Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Par Pacific	0	1	11	1	3.00
Gran Tierra Energy	0	0	2	1	3.33

Par Pacific currently has a consensus price target of $81.57, suggesting a potential downside of 2.42%. Gran Tierra Energy has a consensus price target of $9.72, suggesting a potential downside of 11.67%. Given Par Pacific’s higher possible upside, equities research analysts clearly believe Par Pacific is more favorable than Gran Tierra Energy.

Valuation and Earnings

This table compares Par Pacific and Gran Tierra Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Par Pacific	$7.46 billion	0.56	$369.39 million	$17.14	4.88
Gran Tierra Energy	$638.42 million	0.61	-$6.29 million	($7.25)	-1.52

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

Institutional & Insider Ownership

92.2% of Par Pacific shares are owned by institutional investors. Comparatively, 31.7% of Gran Tierra Energy shares are owned by institutional investors. 3.6% of Par Pacific shares are owned by insiders. Comparatively, 5.8% of Gran Tierra Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Par Pacific beats Gran Tierra Energy on 10 of the 14 factors compared between the two stocks.

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.

About Gran Tierra Energy

Gran Tierra Energy Inc., together with its subsidiaries, engages in the exploration and production of oil and gas properties in Colombia and Ecuador. The company was founded in 2003 and is headquartered in Calgary, Canada.