Sasol (NYSE:SSL) & Vista Energy (NYSE:VIST) Critical Survey

Vista Energy (NYSE:VIST) and Sasol (NYSE:SSL) are both mid-cap energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, risk, valuation, institutional ownership, profitability, analyst recommendations and dividends.

Analyst Recommendations

This is a summary of current ratings for Vista Energy and Sasol, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vista Energy	0	0	4	2	3.33
Sasol	0	1	0	0	2.00

Vista Energy currently has a consensus target price of $65.68, suggesting a potential upside of 58.49%. Given Vista Energy’s stronger consensus rating and higher probable upside, research analysts clearly believe Vista Energy is more favorable than Sasol.

Earnings & Valuation

This table compares Vista Energy and Sasol”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vista Energy	$1.65 billion	2.39	$477.52 million	$5.55	7.47
Sasol	$262.30 billion	0.01	-$2.37 billion	$2.27	2.53

Vista Energy has higher earnings, but lower revenue than Sasol. Sasol is trading at a lower price-to-earnings ratio than Vista Energy, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Vista Energy has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500. Comparatively, Sasol has a beta of 0.76, meaning that its share price is 24% less volatile than the S&P 500.

Insider and Institutional Ownership

63.8% of Vista Energy shares are owned by institutional investors. Comparatively, 1.2% of Sasol shares are owned by institutional investors. 1.0% of Sasol shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Vista Energy and Sasol’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vista Energy	29.12%	12.02%	4.55%
Sasol	N/A	N/A	N/A

Summary

Vista Energy beats Sasol on 13 of the 15 factors compared between the two stocks.

About Vista Energy

Vista Energy, S.A.B. de C.V., through its subsidiaries, engages in the exploration and production of oil and gas in Latin America. The company's principal assets located in Neuquina basin, Argentina and Vaca Muerta. It owns producing assets in Argentina and Mexico. In addition, the company involved in drilling and workover activities located in Argentina. The company was formerly known as Vista Oil & Gas, S.A.B. de C.V. and changed its name to Vista Energy, S.A.B. de C.V. in April 2022. Vista Energy, S.A.B. de C.V. was incorporated in 2017 and is based in Mexico City, Mexico.

About Sasol

Sasol Limited operates as a chemical and energy company in South Africa and internationally. It offers alumina, such as battery materials, catalyst supports, abrasives and polishing, and polymer additives; cobalt fischer-tropsch catalysts; carbon-based and recarburiser products; graphite electrodes; and mono-ethylene glycol and chlor-alkali products, monomers, mining chemicals and reagents, blends and hydrocarbons, methanol products, polymers, phenolics, and fertilizers. The company also provides linear alkyl benzene, sulfonate, macrogol/polyethylene glycol, ethanol, isopropyl, acetone, and MIBK and ethyl acetate products; and fatty alcohols, alkoxylates, ether sulfates, solvents, dispersants, diluents esters, alpha-hydroxy acids ester, waxes, diluents, guerbet alcohols, biosurfactants, C6-C20+ alcohols, ethoxylates, propoxylates, paraffins/isoparaffins, parafols, amines, alkylphenols, and sulfates. In addition, it offers alcohols, esters, ethers, carboxylic acids, surfactants, oil and water soluble polyglycols, formulation and surface modifiers, solvents and coalescents, wax cuts, blends and forms, FT hard waxes, blends, lubrication packages, nucleators, release agents, emulsifiers, wetting agents, tank-mix adjuvant components, fertilizer additives, and specialty solvents. Further, the company explores, develops, produces, markets, and distributes natural oil and gas, and associated products; markets fuels and lubricants; develops and implements GTL and CTL ventures; operates coal mines; trades and transports oil, petrochemicals, and chemical products and derivatives; and provides engineering, research and development, and technology transfer services. Sasol Limited was founded in 1950 and is based in Johannesburg, South Africa.