Borr Drilling (NYSE:BORR) & Mammoth Energy Services (NASDAQ:TUSK) Head to Head Comparison

Borr Drilling (NYSE:BORR) and Mammoth Energy Services (NASDAQ:TUSK) are both small-cap energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their institutional ownership, risk, dividends, profitability, analyst recommendations, earnings and valuation.

Analyst Ratings

This is a summary of recent ratings for Borr Drilling and Mammoth Energy Services, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Borr Drilling	2	1	0	2	2.40
Mammoth Energy Services	1	0	0	0	1.00

Borr Drilling currently has a consensus price target of $5.27, indicating a potential upside of 16.13%. Given Borr Drilling’s stronger consensus rating and higher possible upside, research analysts plainly believe Borr Drilling is more favorable than Mammoth Energy Services.

Institutional and Insider Ownership

83.1% of Borr Drilling shares are owned by institutional investors. Comparatively, 79.7% of Mammoth Energy Services shares are owned by institutional investors. 7.9% of Borr Drilling shares are owned by insiders. Comparatively, 2.0% of Mammoth Energy Services shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Dividends

Borr Drilling pays an annual dividend of $0.10 per share and has a dividend yield of 2.2%. Mammoth Energy Services pays an annual dividend of $0.50 per share and has a dividend yield of 18.5%. Borr Drilling pays out -12.8% of its earnings in the form of a dividend. Mammoth Energy Services pays out 2,500.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Earnings and Valuation

This table compares Borr Drilling and Mammoth Energy Services”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Borr Drilling	$1.02 billion	1.41	$45.00 million	($0.78)	-5.81
Mammoth Energy Services	$68.39 million	1.90	$4.60 million	$0.02	135.00

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

Profitability

This table compares Borr Drilling and Mammoth Energy Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Borr Drilling	-23.98%	-5.95%	-1.84%
Mammoth Energy Services	0.98%	-8.10%	-6.14%

Risk & Volatility

Borr Drilling has a beta of 1.08, suggesting that its share price is 8% more volatile than the S&P 500. Comparatively, Mammoth Energy Services has a beta of 1.14, suggesting that its share price is 14% more volatile than the S&P 500.

Summary

Borr Drilling beats Mammoth Energy Services on 10 of the 16 factors compared between the two stocks.

About Borr Drilling

Borr Drilling Limited operates as an offshore shallow-water drilling contractor to the oil and gas industry worldwide. The company owns, contracts, and operates jack-up drilling rigs for operations in shallow-water areas, including the provision of related equipment and work crews to conduct oil and gas drilling and workover operations for exploration and production. It serves oil and gas exploration and production companies, such as integrated oil companies, state-owned national oil companies, and independent oil and gas companies. The company was formerly known as Magni Drilling Limited and changed its name to Borr Drilling Limited in December 2016. Borr Drilling Limited was incorporated in 2016 and is based in Hamilton, Bermuda.

About Mammoth Energy Services

Mammoth Energy Services, Inc. operates as an energy services company in the United States, Canada, and internationally. The company operates in four segments: Well Completion Services, Infrastructure Services, Natural Sand Proppant Services, and Drilling Services. The company offers pressure pumping and hydraulic fracturing, sand hauling, and water transfer services; and master services agreements. It also provides a range of services on electric transmission and distribution, and networks and substation facilities, including engineering, design, construction, upgrade, maintenance, and repair of high voltage transmission lines, substations, and lower voltage overhead and underground distribution systems; storm repair and restoration services; and commercial services comprising installation, maintenance, and repair of commercial wiring. In addition, the company mines, processes, and sells natural sand proppant used for hydraulic fracturing; buys processed sand from suppliers on the spot market for resale; and provides logistics solutions to facilitate delivery of frac sand products. Further, it offers contract land and directional drilling services; and rig moving services. Additionally, the company offers aviation services, equipment rental, remote accommodation, and equipment manufacturing services. It serves government-funded, private, public investor-owned, and co-operative utilities; independent oil and natural gas producers; and land-based drilling contractors. The company was formerly known as Mammoth Energy Partners LP and changed its name to Mammoth Energy Services, Inc. in October 2016. Mammoth Energy Services, Inc. was founded in 2014 and is headquartered in Oklahoma City, Oklahoma.