PrimeEnergy (NASDAQ:PNRG) vs. Par Pacific (NYSE:PARR) Head to Head Comparison

Par Pacific (NYSE:PARR) and PrimeEnergy (NASDAQ:PNRG) are both energy companies, but which is the better investment? We will compare the two companies based on the strength of their risk, dividends, earnings, profitability, valuation, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Par Pacific and PrimeEnergy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Par Pacific	0	1	11	1	3.00
PrimeEnergy	0	2	0	0	2.00

Par Pacific currently has a consensus price target of $84.29, suggesting a potential upside of 7.54%. Given Par Pacific’s stronger consensus rating and higher probable upside, equities analysts plainly believe Par Pacific is more favorable than PrimeEnergy.

Insider and Institutional Ownership

92.2% of Par Pacific shares are owned by institutional investors. 3.6% of Par Pacific shares are owned by insiders. Comparatively, 65.3% of PrimeEnergy shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Volatility and Risk

Par Pacific has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500. Comparatively, PrimeEnergy has a beta of -0.24, suggesting that its share price is 124% less volatile than the S&P 500.

Profitability

This table compares Par Pacific and PrimeEnergy’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%
PrimeEnergy	13.87%	11.47%	7.67%

Valuation & Earnings

This table compares Par Pacific and PrimeEnergy”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Par Pacific	$8.62 billion	0.46	$369.39 million	$17.14	4.57
PrimeEnergy	$176.29 million	1.79	$26.31 million	$10.38	19.22

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

Summary

Par Pacific beats PrimeEnergy on 11 of the 15 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 PrimeEnergy

PrimeEnergy Resources Corporation, through its subsidiaries, engages in acquisition, development, and production of oil and natural gas properties in the United States. The company owns leasehold, mineral, and royalty interests in producing and non-producing oil and gas properties; and operates approximately 534 active wells and owns non-operating interests and royalties in 952 additional wells. It also acquires producing oil and gas properties through joint ventures with industry partners; and provides contract services to third parties, including well-servicing support, site-preparation, and construction services for oil and gas drilling and reworking operations. The company was formerly known as PrimeEnergy Corporation and changed its name to PrimeEnergy Resources Corporation in December 2018. PrimeEnergy Resources Corporation was incorporated in 1973 and is headquartered in Houston, Texas.