Pharos Energy (OTCMKTS:SOCLF) & Kosmos Energy (NYSE:KOS) Head-To-Head Survey

Kosmos Energy (NYSE:KOS) and Pharos Energy (OTCMKTS:SOCLF) are both small-cap energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, profitability, institutional ownership, earnings, valuation, risk and analyst recommendations.

Analyst Ratings

This is a summary of recent ratings for Kosmos Energy and Pharos Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kosmos Energy	2	5	2	0	2.00
Pharos Energy	0	0	0	0	0.00

Kosmos Energy presently has a consensus price target of $2.08, indicating a potential upside of 40.92%. Given Kosmos Energy’s stronger consensus rating and higher probable upside, research analysts clearly believe Kosmos Energy is more favorable than Pharos Energy.

Profitability

This table compares Kosmos Energy and Pharos Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kosmos Energy	-23.64%	-26.28%	-5.31%
Pharos Energy	N/A	N/A	N/A

Risk and Volatility

Kosmos Energy has a beta of 0.9, indicating that its stock price is 10% less volatile than the S&P 500. Comparatively, Pharos Energy has a beta of 0.17, indicating that its stock price is 83% less volatile than the S&P 500.

Insider & Institutional Ownership

95.3% of Kosmos Energy shares are held by institutional investors. 2.0% of Kosmos Energy shares are held 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.

Valuation & Earnings

This table compares Kosmos Energy and Pharos Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kosmos Energy	$1.68 billion	0.42	$189.85 million	($0.68)	-2.17
Pharos Energy	$136.00 million	0.90	N/A	N/A	N/A

Kosmos Energy has higher revenue and earnings than Pharos Energy.

Summary

Kosmos Energy beats Pharos Energy on 7 of the 11 factors compared between the two stocks.

About Kosmos Energy

Kosmos Energy Ltd., together with its subsidiaries, engages in the exploration, development, and production of oil and gas along the Atlantic Margins in the United States. The company’s primary assets include production projects located in offshore Ghana, Equatorial Guinea, and the U.S. Gulf of Mexico, as well as gas projects located in offshore Mauritania and Senegal. It undertakes a proven basin exploration program in Equatorial Guinea and the U.S. Gulf of Mexico. Kosmos Energy Ltd. was founded in 2003 and is headquartered in Dallas, Texas.

About Pharos Energy

Pharos Energy plc, an independent energy company, engages in the exploration, development, and production of oil and gas properties in Vietnam, Egypt, and China. The company was formerly known as SOCO International plc and changed its name to Pharos Energy plc in October 2019. Pharos Energy plc was incorporated in 1997 and is headquartered in London, the United Kingdom.