Contrasting Mongolia Energy (OTCMKTS:MOAEF) and China Shenhua Energy (OTCMKTS:CSUAY)

China Shenhua Energy (OTCMKTS:CSUAY) and Mongolia Energy (OTCMKTS:MOAEF) are both energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, earnings, risk, profitability and valuation.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for China Shenhua Energy and Mongolia Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Shenhua Energy	1	1	0	0	1.50
Mongolia Energy	0	0	0	0	0.00

China Shenhua Energy presently has a consensus target price of $32.50, indicating a potential upside of 66.33%. Given China Shenhua Energy’s stronger consensus rating and higher possible upside, equities analysts plainly believe China Shenhua Energy is more favorable than Mongolia Energy.

Volatility and Risk

China Shenhua Energy has a beta of 0.26, meaning that its share price is 74% less volatile than the S&P 500. Comparatively, Mongolia Energy has a beta of 0.22, meaning that its share price is 78% less volatile than the S&P 500.

Profitability

This table compares China Shenhua Energy and Mongolia Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Shenhua Energy	18.27%	11.13%	8.50%
Mongolia Energy	N/A	N/A	N/A

Valuation & Earnings

This table compares China Shenhua Energy and Mongolia Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Shenhua Energy	$47.07 billion	N/A	$8.68 billion	$1.57	12.45
Mongolia Energy	$367.15 million	N/A	-$176.62 million	N/A	N/A

China Shenhua Energy has higher revenue and earnings than Mongolia Energy.

Summary

China Shenhua Energy beats Mongolia Energy on 8 of the 8 factors compared between the two stocks.

About China Shenhua Energy

China Shenhua Energy Company Limited, together with its subsidiaries, engages in the production and sale of coal and power; railway, port, and shipping transportation; and coal-to-olefins businesses in the People's Republic of China and internationally. It operates through six segments: Coal, Power Generation, Railway, Port, Shipping, and Coal Chemical. The Coal segment produces coal from surface and underground mines; and sells coal to power plants and metallurgical and coal chemical producers. The Power segment generates electric power through thermal, wind, water, and gas; and sells electric power to power grid companies. The Railway segment provides railway transportation services. The Port segment offers loading, transportation, and storage services. The Shipping segment provides shipment transportation services. The Coal Chemical segment produces and sells methanol; and polyethylene and polypropylene, as well as other by-products. The company was incorporated in 2004 and is based in Beijing, the People's Republic of China. China Shenhua Energy Company Limited operates as a subsidiary of China Energy Investment Corporation Limited.

About Mongolia Energy

Mongolia Energy Corporation Limited, an investment holding company, engages in the coal mining, exploration, processing, and other resources related operations in the People's Republic of China and Mongolia. It sells coking and thermal coal. The company's principal project is the Khushuut coking coal project in Western Mongolia. It holds approximately 12,807 hectares of exploration and mining concession areas located in Khushuut, Gobi Altay, and Olon Bulag, Western Mongolia. It also offers management, secretarial and nominee, and coal transportation services, as well as mining and exploration advisory services. In addition, the company explores and mines minerals; trades in coal; and operates coal washing plants. Mongolia Energy Corporation Limited was incorporated in 2006 and is headquartered in Hong Kong.