Reviewing Sundance Energy Australia (OTCMKTS:SDCJF) and Mexco Energy (NYSE:MXC)

Mexco Energy (NYSE:MXC) and Sundance Energy Australia (OTCMKTS:SDCJF) are both small-cap oils/energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, risk, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Volatility and Risk

Mexco Energy has a beta of 0.53, meaning that its share price is 47% less volatile than the S&P 500. Comparatively, Sundance Energy Australia has a beta of 3.96, meaning that its share price is 296% more volatile than the S&P 500.

Insider and Institutional Ownership

5.9% of Mexco Energy shares are owned by institutional investors. 51.0% of Mexco Energy shares are owned by company 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.

Valuation & Earnings

This table compares Mexco Energy and Sundance Energy Australia”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mexco Energy	$6.58 million	3.87	$1.35 million	$0.61	20.00
Sundance Energy Australia	$164.93 million	0.06	-$28.14 million	N/A	N/A

Mexco Energy has higher earnings, but lower revenue than Sundance Energy Australia.

Profitability

This table compares Mexco Energy and Sundance Energy Australia’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mexco Energy	17.77%	6.70%	6.21%
Sundance Energy Australia	24.02%	13.45%	6.16%

Analyst Recommendations

This is a summary of current ratings for Mexco Energy and Sundance Energy Australia, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mexco Energy	0	0	0	0	N/A
Sundance Energy Australia	0	0	0	0	N/A

Summary

Mexco Energy beats Sundance Energy Australia on 5 of the 9 factors compared between the two stocks.

About Mexco Energy

Mexco Energy Corporation, an independent oil and gas company, engages in the acquisition, exploration, development, and production of natural gas, crude oil, condensate, and natural gas liquids in the United States. It owns partial interests in approximately 6,400 gross producing wells located in the states of Texas, New Mexico, Oklahoma, Louisiana, Alabama, Mississippi, Arkansas, Wyoming, Kansas, Colorado, Montana, Virginia, North Dakota, and Ohio. It also owned leasehold mineral, royalty, and other interests in approximately 2,768 net acres. The company was formerly known as Miller Oil Company and changed its name to Mexco Energy Corporation in April 1980. Mexco Energy Corporation was incorporated in 1972 and is based in Midland, Texas.

About Sundance Energy Australia

Sundance Energy Australia Limited operates as an onshore oil and gas company in the United States. The company explores for, develops, and produces oil and natural gas. Its exploration and development activities are focused on the Eagle Ford project in the South-Texas-Gulf Coast Basin. Sundance Energy Australia Limited was incorporated in 2004 and is based in Wayville, Australia.