Reviewing Permex Petroleum (OTCMKTS:OILCF) and Birchcliff Energy (OTCMKTS:BIREF)

Permex Petroleum (OTCMKTS:OILCF) and Birchcliff Energy (OTCMKTS:BIREF) are both small-cap energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Profitability

This table compares Permex Petroleum and Birchcliff Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Permex Petroleum	-1,332.97%	-145.91%	-53.90%
Birchcliff Energy	21.85%	6.09%	3.97%

Volatility & Risk

Permex Petroleum has a beta of 2.71, meaning that its share price is 171% more volatile than the S&P 500. Comparatively, Birchcliff Energy has a beta of 0.6, meaning that its share price is 40% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for Permex Petroleum and Birchcliff Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Permex Petroleum	0	0	0	0	0.00
Birchcliff Energy	0	0	1	6	3.86

Institutional and Insider Ownership

9.5% of Permex Petroleum shares are held by institutional investors. Comparatively, 0.8% of Birchcliff Energy shares are held by institutional investors. 1.5% of Birchcliff Energy shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares Permex Petroleum and Birchcliff Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Permex Petroleum	$120,000.00	18.33	-$3.99 million	($11.00)	-0.36
Birchcliff Energy	$428.33 million	3.25	$40.94 million	$0.35	14.56

Birchcliff Energy has higher revenue and earnings than Permex Petroleum. Permex Petroleum is trading at a lower price-to-earnings ratio than Birchcliff Energy, indicating that it is currently the more affordable of the two stocks.

Summary

Birchcliff Energy beats Permex Petroleum on 11 of the 14 factors compared between the two stocks.

About Permex Petroleum

Permex Petroleum Corporation, a junior oil and gas company, engages in the acquisition, development, and production of oil and gas properties in the United States. The company holds interests in the Pittcock North property, Pittcock South property, Windy Jones property, and Mary Bullard property located in Stonewall County. It also holds interests in the West Henshaw property located in Eddy County, New Mexico; Oxy Yates property located in Eddy County; and Breedlove B Clearfork property located in Martin Country, Texas. In addition, the company has royalty interests in the Permian Basin of West Texas and southeast New Mexico. Permex Petroleum Corporation was incorporated in 2017 and is headquartered in Dallas, Texas.

About Birchcliff Energy

Birchcliff Energy Ltd., an intermediate oil and natural gas company, explores for, develops, and produces natural gas, light oil, condensate, and other natural gas liquids in Western Canada. The company holds interests in the areas of Montney/Doig Resource Play, including the Pouce Coupe and Gordondale properties in Alberta. Birchcliff Energy Ltd. was founded in 2004 and is headquartered in Calgary, Canada.