Analyzing Shawcor (OTCMKTS:SAWLF) and Tgs Asa (OTCMKTS:TGSGY)

Shawcor (OTCMKTS:SAWLF) and Tgs Asa (OTCMKTS:TGSGY) are both energy companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, analyst recommendations, dividends, institutional ownership, earnings, risk and valuation.

Profitability

This table compares Shawcor and Tgs Asa’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Shawcor	N/A	N/A	N/A
Tgs Asa	N/A	N/A	N/A

Insider and Institutional Ownership

61.8% of Shawcor shares are owned by institutional investors. Comparatively, 0.0% of Tgs Asa shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Dividends

Shawcor pays an annual dividend of $0.55 per share and has a dividend yield of 4.4%. Tgs Asa pays an annual dividend of $1.17 per share and has a dividend yield of 9.2%. Shawcor pays out 24.2% of its earnings in the form of a dividend. Tgs Asa pays out 45.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Valuation and Earnings

This table compares Shawcor and Tgs Asa’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Shawcor	N/A	N/A	N/A	$2.27	5.54
Tgs Asa	N/A	N/A	N/A	$2.59	4.92

Tgs Asa is trading at a lower price-to-earnings ratio than Shawcor, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for Shawcor and Tgs Asa, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shawcor	0	1	2	0	2.67
Tgs Asa	0	1	1	0	2.50

Shawcor currently has a consensus target price of $7.67, indicating a potential downside of 39.11%. Given Shawcor’s stronger consensus rating and higher possible upside, equities analysts clearly believe Shawcor is more favorable than Tgs Asa.

Summary

Shawcor beats Tgs Asa on 6 of the 8 factors compared between the two stocks.

About Shawcor

Shawcor Ltd., doing business as Mattr Infratech, operates as a material sciences company that serves the infrastructure, energy, and transportation markets worldwide. It operates through three segments: Composite Technologies, Connection Technologies, and Pipeline and Pipe Services. The Composite Technologies segment manufactures flexible composite that are used for oil and gas gathering, and other applications; fiberglass reinforced plastic underground storage tanks for the retail fuel, water and wastewater, and oil and gas markets. The Connection Technologies segment manufactures heat-shrinkable products, including thin, medium, and heavy-walled tubing; sleeves and molded products, as well as heat-shrink accessories and equipment; and low-voltage wires and cables for control, instrumentation, thermocouple, power, and industrial applications. The Pipeline and Pipe Services segment offers ultrasonic and radiographic pipeline girth weld inspection services to pipeline operators and construction contractors. The company was formerly known as Shaw Industries Ltd. and changed its name to Shawcor Ltd. in 2001. Shawcor Ltd. was founded in 1930 and is headquartered in Toronto, Canada.

About Tgs Asa

TGS ASA provides geoscience data services to the oil and gas industry worldwide. The company offers geophysical data, including multi-client seismic data; geological data comprising well data products, and interpretive studies and services; and interpretation products and data integration solutions. It also provides imaging services, which include 2D and 3D seismic imaging solution in depth and time domains; marine, land, and ocean bottom nodes; and transition zone, multi component, and 4D time-lapse processing. The company was formerly known as TGS-NOPEC Geophysical Company ASA and changed its name to TGS ASA in June 2021. TGS ASA was founded in 1981 and is headquartered in Oslo, Norway.