Head-To-Head Contrast: RGC Resources (NASDAQ:RGCO) vs. TotalEnergies (NYSE:TTE)

TotalEnergies (NYSE:TTE) and RGC Resources (NASDAQ:RGCO) are both energy companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, risk, valuation, institutional ownership, profitability and dividends.

Risk & Volatility

TotalEnergies has a beta of 0.57, indicating that its share price is 43% less volatile than the S&P 500. Comparatively, RGC Resources has a beta of 0.45, indicating that its share price is 55% less volatile than the S&P 500.

Valuation and Earnings

This table compares TotalEnergies and RGC Resources”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TotalEnergies	$214.55 billion	0.71	$15.76 billion	$5.94	10.62
RGC Resources	$84.64 million	2.77	$11.76 million	$1.28	17.75

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

Analyst Recommendations

This is a summary of recent ratings for TotalEnergies and RGC Resources, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TotalEnergies	0	4	8	3	2.93
RGC Resources	0	0	0	0	0.00

TotalEnergies presently has a consensus price target of $69.96, indicating a potential upside of 10.85%. Given TotalEnergies’ stronger consensus rating and higher probable upside, research analysts clearly believe TotalEnergies is more favorable than RGC Resources.

Dividends

TotalEnergies pays an annual dividend of $2.84 per share and has a dividend yield of 4.5%. RGC Resources pays an annual dividend of $0.83 per share and has a dividend yield of 3.7%. TotalEnergies pays out 47.8% of its earnings in the form of a dividend. RGC Resources pays out 64.8% 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. RGC Resources has raised its dividend for 22 consecutive years. TotalEnergies is clearly the better dividend stock, given its higher yield and lower payout ratio.

Institutional and Insider Ownership

16.5% of TotalEnergies shares are owned by institutional investors. Comparatively, 35.8% of RGC Resources shares are owned by institutional investors. 6.6% of RGC Resources shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares TotalEnergies and RGC Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TotalEnergies	6.60%	14.47%	6.09%
RGC Resources	14.50%	11.86%	4.09%

Summary

TotalEnergies beats RGC Resources on 12 of the 18 factors compared between the two stocks.

About TotalEnergies

TotalEnergies SE, a multi-energy company, produces and markets oil and biofuels, natural gas, green gases, renewables, and electricity in France, rest of Europe, North America, Africa, and internationally. It operates through five segments: Exploration & Production, Integrated LNG, Integrated Power, Refining & Chemicals, and Marketing & Services. The Exploration & Production segment is involved in the exploration and production of oil and natural gas. The Integrated LNG segment comprises the integrated gas chain, including upstream and midstream liquified natural gas (LNG) activities, as well as biogas, hydrogen, and gas trading activities. The Integrated Power segment includes generation, storage, electricity trading, and B2B-B2C distribution of gas and electricity. The Refining & Chemicals segment consists of refining, petrochemicals, and specialty chemicals. This segment also includes oil supply, trading, and marine shipping activities. The Marketing & Services segment supplies and markets petroleum products. The company was formerly known as TOTAL SE and changed its name to TotalEnergies SE in June 2021. TotalEnergies SE was founded in 1924 and is headquartered in Courbevoie, France.

About RGC Resources

RGC Resources, Inc., through its subsidiaries, operates as an energy services company. It sells and distributes natural gas to residential, commercial, and industrial customers in Roanoke, Virginia, and the surrounding localities. The company also provides various unregulated services. It operates approximately 1,179 miles of transmission and distribution pipeline; and a liquefied natural gas storage facility, as well as owns and operates six metering stations. In addition, it produces biogas. RGC Resources, Inc. was founded in 1883 and is based in Roanoke, Virginia.