Head-To-Head Comparison: SLB (NYSE:SLB) and Tetra Technologies (NYSE:TTI)

SLB (NYSE:SLB) and Tetra Technologies (NYSE:TTI) are both energy companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, institutional ownership, dividends, analyst recommendations, profitability, valuation and risk.

Risk and Volatility

SLB has a beta of 0.69, suggesting that its stock price is 31% less volatile than the S&P 500. Comparatively, Tetra Technologies has a beta of 1.22, suggesting that its stock price is 22% more volatile than the S&P 500.

Profitability

This table compares SLB and Tetra Technologies’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SLB	9.45%	17.45%	8.11%
Tetra Technologies	0.48%	12.56%	5.53%

Earnings and Valuation

This table compares SLB and Tetra Technologies”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SLB	$35.71 billion	2.31	$3.37 billion	$2.37	23.12
Tetra Technologies	$630.93 million	2.04	$3.01 million	$0.02	476.25

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

Analyst Ratings

This is a summary of recent recommendations and price targets for SLB and Tetra Technologies, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SLB	1	3	16	3	2.91
Tetra Technologies	0	2	4	0	2.67

SLB presently has a consensus price target of $54.27, suggesting a potential downside of 0.98%. Tetra Technologies has a consensus price target of $10.25, suggesting a potential upside of 7.61%. Given Tetra Technologies’ higher possible upside, analysts clearly believe Tetra Technologies is more favorable than SLB.

Institutional & Insider Ownership

82.0% of SLB shares are owned by institutional investors. Comparatively, 70.2% of Tetra Technologies shares are owned by institutional investors. 0.2% of SLB shares are owned by insiders. Comparatively, 5.7% of Tetra Technologies shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

SLB beats Tetra Technologies on 11 of the 15 factors compared between the two stocks.

About SLB

Schlumberger Limited engages in the provision of technology for the energy industry worldwide. The company operates through four divisions: Digital & Integration, Reservoir Performance, Well Construction, and Production Systems. The company provides field development and hydrocarbon production, carbon management, and integration of adjacent energy systems; reservoir interpretation and data processing services for exploration data; and well construction and production improvement services and products. It also offers subsurface geology and fluids evaluation information; open and cased hole services; exploration and production pressure, and flow-rate measurement services; and pressure pumping, well stimulation, and coiled tubing equipment solutions. In addition, the company offers mud logging, directional drilling, measurement-while-drilling, and logging-while-drilling services, as well as engineering support services; supplies drilling fluid systems; designs, manufactures, and markets roller cone and fixed cutter drill bits; bottom-hole-assembly and borehole enlargement technologies; well cementing products and services; well planning, well drilling, engineering, supervision, logistics, procurement, and contracting of third parties, as well as drilling rig management solutions; and drilling equipment and services, as well as land drilling rigs and related services. Further, it provides artificial lift production equipment and optimization services; supplies packers, safety valves, sand control technology, and various intelligent well completions technology and equipment; designs and manufactures valves, chokes, actuators, and surface trees; and OneSubsea, an integrated solutions, products, systems, and services, including wellheads, subsea trees, manifolds and flowline connectors, control systems, connectors, and services. The company was formerly known as Socie´te´ de Prospection E´lectrique. Schlumberger Limited was founded in 1926 and is based in Houston, Texas.

About Tetra Technologies

TETRA Technologies, Inc., together with its subsidiaries, operates as an energy services and solutions company. It operates through two segments, Completion Fluids & Products Division and Water & Flowback Services. The Completion Fluids & Products segment manufactures and markets clear brine fluids, additives, and associated products and services to the oil and gas industry for use in well drilling, completion, and workover operations in the United States, as well as in Latin America, Europe, Asia, the Middle East, and Africa. This segment also markets liquid and dry calcium chloride products; and TETRA PureFlow ultra-pure zinc bromide to battery technology companies. The Water & Flowback Services segment provides water management services for onshore oil and gas operators. This segment also offers frac flowback, production well testing, and other associated services in oil and gas producing regions in the United States, as well as in various basins in Latin America, Africa, Europe, and the Middle East. TETRA Technologies, Inc. was incorporated in 1981 and is headquartered in The Woodlands, Texas.