Coterra Energy (NYSE:CTRA) vs. Avalon Oil & Gas (OTCMKTS:GRVE) Critical Contrast

Avalon Oil & Gas (OTCMKTS:GRVE) and Coterra Energy (NYSE:CTRA) are both energy companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, institutional ownership, analyst recommendations, earnings and valuation.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Avalon Oil & Gas and Coterra Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avalon Oil & Gas	0	0	0	0	0.00
Coterra Energy	1	5	17	0	2.70

Coterra Energy has a consensus price target of $32.67, suggesting a potential upside of 24.49%. Given Coterra Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Coterra Energy is more favorable than Avalon Oil & Gas.

Institutional and Insider Ownership

87.9% of Coterra Energy shares are held by institutional investors. 55.1% of Avalon Oil & Gas shares are held by insiders. Comparatively, 1.7% of Coterra Energy shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Avalon Oil & Gas and Coterra Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avalon Oil & Gas	N/A	N/A	-2,194.15%
Coterra Energy	23.80%	10.99%	6.73%

Earnings and Valuation

This table compares Avalon Oil & Gas and Coterra Energy”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Avalon Oil & Gas	N/A	N/A	-$130,000.00	N/A	N/A
Coterra Energy	$7.08 billion	2.82	$1.12 billion	$2.17	12.09

Coterra Energy has higher revenue and earnings than Avalon Oil & Gas.

Risk & Volatility

Avalon Oil & Gas has a beta of 0.24, suggesting that its share price is 76% less volatile than the S&P 500. Comparatively, Coterra Energy has a beta of 0.3, suggesting that its share price is 70% less volatile than the S&P 500.

Summary

Coterra Energy beats Avalon Oil & Gas on 10 of the 11 factors compared between the two stocks.

About Avalon Oil & Gas

Groove Botanicals, Inc. operates as an independent oil and gas producer. It also focuses on assembling a portfolio of EV battery technologies. The company was formerly known as Avalon Oil & Gas, Inc. and changed its name to Groove Botanicals, Inc. in May 2018. Groove Botanicals, Inc. was incorporated in 1991 and is headquartered in Minneapolis, Minnesota.

About Coterra Energy

Coterra Energy Inc., an independent oil and gas company, engages in the development, exploration, and production of oil, natural gas, and natural gas liquids in the United States. The company’s properties include the Marcellus Shale with approximately 186,000 net acres in the dry gas window of the play located in Susquehanna County, Pennsylvania; Permian Basin properties with approximately 296,000 net acres located in west Texas and southeast New Mexico; and Anadarko Basin properties with approximately 182,000 net acres located in Oklahoma. It also operates natural gas and saltwater gathering and disposal systems in Texas. The company sells its natural gas to industrial customers, local distribution companies, oil and gas marketers, major energy companies, pipeline companies, and power generation facilities. Coterra Energy Inc. was incorporated in 1989 and is headquartered in Houston, Texas.