Analyzing Superior Energy Services (OTCMKTS:SPNX) and Matrix Service (NASDAQ:MTRX)

Superior Energy Services (OTCMKTS:SPNX) and Matrix Service (NASDAQ:MTRX) are both small-cap energy companies, but which is the better business? We will compare the two companies based on the strength of their valuation, institutional ownership, earnings, profitability, risk, analyst recommendations and dividends.

Profitability

This table compares Superior Energy Services and Matrix Service’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Superior Energy Services	N/A	N/A	N/A
Matrix Service	-3.83%	-17.21%	-4.71%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Superior Energy Services and Matrix Service, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Superior Energy Services	0	0	0	0	0.00
Matrix Service	1	0	1	0	2.00

Matrix Service has a consensus target price of $17.00, indicating a potential upside of 20.06%. Given Matrix Service’s stronger consensus rating and higher possible upside, analysts clearly believe Matrix Service is more favorable than Superior Energy Services.

Institutional and Insider Ownership

78.4% of Matrix Service shares are owned by institutional investors. 7.3% of Superior Energy Services shares are owned by company insiders. Comparatively, 4.4% of Matrix Service shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Valuation & Earnings

This table compares Superior Energy Services and Matrix Service”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Superior Energy Services	$919.42 million	0.00	$175.02 million	$6.73	0.02
Matrix Service	$769.29 million	0.52	-$29.46 million	($1.05)	-13.49

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

Summary

Superior Energy Services beats Matrix Service on 8 of the 13 factors compared between the two stocks.

About Superior Energy Services

Superior Energy Services, Inc. provides oilfield services and equipment to oil and natural gas exploration and production companies in the United States and internationally. The company operates in four segments: Drilling Products and Services, Onshore Completion and Workover Services, Production Services, and Technical Solutions. The Drilling Products and Services segment rents downhole drilling tools, including tubulars, such as primary drill pipe strings, landing strings, completion tubulars, and associated accessories, as well as manufactures and rents bottom hole tools comprising stabilizers, non-magnetic drill collars, and hole openers; and surfaces, such as temporary onshore and offshore accommodation modules and accessories. The Onshore Completion and Workover Services segment offers fluid management services used to obtain, move, store, and dispose of fluids that are involved in the exploration, development, and production of oil and gas; and workover services consisting of installations, completions, and sidetracking of wells, as well as support for perforating operations. The Production Services segment provides intervention services, such as coiled tubing, cased hole and mechanical wireline, hydraulic workover and snubbing, pressure control, production testing and optimization, and remedial pumping services. The Technical Solutions segment offers well containment systems; completion tools and services, including sand control systems, well screens and filters, and surface-controlled sub surface safety valves; and well and sand control, and stimulation services. This segment also produces and sells oil and gas. Superior Energy Services, Inc. was founded in 1991 and is headquartered in Houston, Texas. On December 7, 2020, Superior Energy Services, Inc., along with its affiliates, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Southern District of Texas.

About Matrix Service

Matrix Service Company provides engineering, fabrication, construction, and maintenance services to support critical energy infrastructure and industrial markets in the United States, Canada, and internationally. It operates through three segments: Utility and Power Infrastructure; Process and Industrial Facilities; and Storage and Terminal Solutions. The Utility and Power Infrastructure segment offers power delivery services, including construction of new substations, upgrades of existing substations, transmission and distribution line installations, and upgrades and maintenance, and emergency and storm restoration services. This segment also provides engineering, fabrication, and construction services for LNG utility peak shaving facilities; and construction and maintenance services to power generation facilities, including natural gas fired facilities. The Process and Industrial Facilities segment engages in the refining and processing of crude oil; fractionating and marketing of natural, gas and natural gas liquids; and offers plant maintenance, turnarounds, engineering, industrial cleaning services, and capital construction services. The Storage and Terminal Solutions segment undertakes work related to aboveground crude oil and refined product storage tanks and terminals; engineering, procurement, fabrication, and construction services related to cryogenic and other specialty tanks and terminals for LNG, NGLs, hydrogen, ammonia, propane, butane, liquid nitrogen/liquid oxygen, and liquid petroleum; and provides plant work, truck and rail loading/offloading facilities, and marine structures, as well as storage tank and terminal maintenance and repair. This segment also manufactures and sells precision engineered specialty tank products, including geodesic domes, aluminum internal floating roofs, floating suction and skimmer systems, roof drain systems, and floating roof seals. Matrix Service Company was founded in 1984 and is headquartered in Tulsa, Oklahoma.