Head to Head Contrast: SandRidge Energy (NYSE:SD) & Amplify Energy (NYSE:AMPY)

Amplify Energy (NYSE:AMPY) and SandRidge Energy (NYSE:SD) are both small-cap oils/energy companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, institutional ownership, valuation, dividends and analyst recommendations.

Volatility and Risk

Amplify Energy has a beta of 1.93, meaning that its stock price is 93% more volatile than the S&P 500. Comparatively, SandRidge Energy has a beta of 2.1, meaning that its stock price is 110% more volatile than the S&P 500.

Profitability

This table compares Amplify Energy and SandRidge Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amplify Energy	20.99%	16.22%	8.79%
SandRidge Energy	39.25%	7.92%	6.34%

Insider and Institutional Ownership

42.8% of Amplify Energy shares are held by institutional investors. Comparatively, 61.8% of SandRidge Energy shares are held by institutional investors. 2.0% of Amplify Energy shares are held by insiders. Comparatively, 1.2% of SandRidge Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of recent ratings for Amplify Energy and SandRidge Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amplify Energy	0	0	3	0	3.00
SandRidge Energy	0	0	0	0	0.00

Amplify Energy presently has a consensus price target of $10.00, suggesting a potential upside of 49.03%. Given Amplify Energy’s stronger consensus rating and higher probable upside, equities analysts plainly believe Amplify Energy is more favorable than SandRidge Energy.

Valuation & Earnings

This table compares Amplify Energy and SandRidge Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amplify Energy	$307.60 million	0.87	$392.75 million	$1.54	4.36
SandRidge Energy	$148.64 million	2.94	$60.86 million	$1.28	9.16

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

Summary

Amplify Energy beats SandRidge Energy on 9 of the 14 factors compared between the two stocks.

About Amplify Energy

Amplify Energy Corp., together with its subsidiaries, engages in the acquisition, development, exploitation, and production of oil and natural gas properties in the United States. The company’s properties consist of operated and non-operated working interests in producing and undeveloped leasehold acreage, as well as working interests in identified producing wells located in Oklahoma, the Rockies, federal waters offshore Southern California, East Texas/North Louisiana, and Eagle Ford. The company is based in Houston, Texas.

About SandRidge Energy

SandRidge Energy, Inc. engages in the acquisition, development, and production of oil, natural gas, and natural gas liquids in the United States Mid-Continent. The company was incorporated in 2006 and is headquartered in Oklahoma City, Oklahoma.