World Kinect (NYSE:WKC – Get Free Report) and HF Sinclair (NYSE:DINO – Get Free Report) are both energy companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, profitability, analyst recommendations, institutional ownership, earnings, risk and valuation.
Insider & Institutional Ownership
97.1% of World Kinect shares are owned by institutional investors. Comparatively, 88.3% of HF Sinclair shares are owned by institutional investors. 3.2% of World Kinect shares are owned by company insiders. Comparatively, 0.3% of HF Sinclair shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.
Analyst Ratings
This is a breakdown of recent ratings and recommmendations for World Kinect and HF Sinclair, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| World Kinect | 3 | 2 | 1 | 0 | 1.67 |
| HF Sinclair | 1 | 7 | 5 | 1 | 2.43 |
Profitability
This table compares World Kinect and HF Sinclair’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| World Kinect | -1.16% | 7.11% | 1.99% |
| HF Sinclair | -0.32% | 1.89% | 1.06% |
Valuation and Earnings
This table compares World Kinect and HF Sinclair”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| World Kinect | $37.65 billion | 0.03 | $67.40 million | ($7.74) | -2.99 |
| HF Sinclair | $26.91 billion | 0.36 | $177.00 million | $2.09 | 25.32 |
HF Sinclair has lower revenue, but higher earnings than World Kinect. World Kinect is trading at a lower price-to-earnings ratio than HF Sinclair, indicating that it is currently the more affordable of the two stocks.
Volatility and Risk
World Kinect has a beta of 1.32, suggesting that its stock price is 32% more volatile than the S&P 500. Comparatively, HF Sinclair has a beta of 0.99, suggesting that its stock price is 1% less volatile than the S&P 500.
Dividends
World Kinect pays an annual dividend of $0.80 per share and has a dividend yield of 3.5%. HF Sinclair pays an annual dividend of $2.00 per share and has a dividend yield of 3.8%. World Kinect pays out -10.3% of its earnings in the form of a dividend. HF Sinclair pays out 95.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. World Kinect has increased its dividend for 6 consecutive years and HF Sinclair has increased its dividend for 3 consecutive years.
Summary
World Kinect beats HF Sinclair on 10 of the 18 factors compared between the two stocks.
About World Kinect
World Kinect Corporation operates as an energy management company in the United States, the Americas, Europe, the Middle East, Africa, and the Asia Pacific. This segment also offers fuel management, price risk management, ground handling, dispatch services, and trip planning services, such as flight planning and scheduling, weather reports and overflight permits; payment and processing services; and operates a web-based marketplace platform. The Land segment offers fuel, lubricants, heating oil, and related products and services to retail petroleum operators, as well as industrial, commercial, residential and government customers. This segment also provides sustainability solutions, such as renewable fuel products, carbon management, and renewable energy solutions; distributes fuel under long-term contracts to branded and unbranded distributors, convenience stores, and retail fuel outlets operated by third parties; distributes heating oil and unbranded fuel; and transportation logistics. The Marine segment markets fuel, lubricants, and related products and services to international container, dry bulk and tanker fleets, commercial cruise lines, yachts and time charter operators, offshore rig owners and operators, the U.S. and foreign governments, and other fuel suppliers. This segment also offers marine fuel-related services include management services to procurement of fuel, price risk management, cost control, quality control, and claims management services; and engages in the fueling of vessels, and transportation and delivery of fuel and fuel-related products. The company was formerly known as World Fuel Services Corporation and changed its name to World Kinect Corporation in June 2023. World Kinect Corporation was incorporated in 1984 and is headquartered in Miami, Florida.
About HF Sinclair
HF Sinclair Corporation operates as an independent energy company. The company produces and markets gasoline, diesel fuel, jet fuel, renewable diesel, specialty lubricant products, specialty chemicals, specialty and modified asphalt, and others. It owns and operates refineries located in Kansas, Oklahoma, New Mexico, Utah, Washington, and Wyoming; and markets its refined products principally in the Southwest United States and Rocky Mountains, Pacific Northwest, and in other neighboring Plains states. In addition, the company supplies fuels to approximately 1,500 independent Sinclair branded stations and licenses the use of the Sinclair brand at approximately 300 additional locations. Further, it produces base oils and other specialized lubricants; and provides petroleum product and crude oil transportation, terminalling, storage, and throughput services to the petroleum sector. HF Sinclair Corporation is headquartered in Dallas, Texas.
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