Critical Contrast: CNX Resources (NYSE:CNX) & Carbon Energy (OTCMKTS:CRBO)

CNX Resources (NYSE:CNX) and Carbon Energy (OTCMKTS:CRBO) are both energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, valuation, analyst recommendations, risk, institutional ownership, profitability and earnings.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for CNX Resources and Carbon Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CNX Resources	5	9	1	0	1.73
Carbon Energy	0	0	0	0	0.00

CNX Resources presently has a consensus target price of $32.67, suggesting a potential downside of 3.98%. Given CNX Resources’ stronger consensus rating and higher possible upside, analysts plainly believe CNX Resources is more favorable than Carbon Energy.

Earnings and Valuation

This table compares CNX Resources and Carbon Energy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CNX Resources	$2.02 billion	2.27	-$90.49 million	$1.43	23.79
Carbon Energy	N/A	N/A	N/A	N/A	N/A

Carbon Energy has lower revenue, but higher earnings than CNX Resources.

Risk & Volatility

CNX Resources has a beta of 0.56, suggesting that its stock price is 44% less volatile than the S&P 500. Comparatively, Carbon Energy has a beta of -1.74, suggesting that its stock price is 274% less volatile than the S&P 500.

Profitability

This table compares CNX Resources and Carbon Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CNX Resources	9.70%	8.93%	4.13%
Carbon Energy	N/A	N/A	N/A

Insider and Institutional Ownership

95.2% of CNX Resources shares are owned by institutional investors. 4.6% of CNX Resources shares are owned by insiders. Comparatively, 7.1% of Carbon Energy shares are owned by 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.

Summary

CNX Resources beats Carbon Energy on 9 of the 10 factors compared between the two stocks.

About CNX Resources

CNX Resources Corporation, an independent natural gas and midstream company, engages in the acquisition, exploration, development, and production of natural gas properties in the Appalachian Basin. The company operates in two segments, Shale and Coalbed Methane (CBM). It produces and sells pipeline quality natural gas primarily for gas wholesalers. The company owns rights to extract natural gas from shale properties in Pennsylvania, West Virginia, and Ohio, as well as rights to extract natural gas from other shale and shallow oil and gas formations in Illinois, Indiana, New York, and Virginia. It also owns rights to extract CBM in Virginia, West Virginia, Pennsylvania, Ohio, Illinois, Indiana, and New Mexico. In addition, the company designs, builds, and operates natural gas gathering systems to move gas from the wellhead to interstate pipelines or other local sales points; owns and operates approximately 2,600 miles of natural gas gathering pipelines, as well as various natural gas processing facilities. It also offers turn-key solutions for water sourcing, delivery, and disposal for its natural gas operations and for third parties. The company was formerly known as CONSOL Energy Inc. and changed its name to CNX Resources Corporation in November 2017. CNX Resources Corporation was founded in 1860 and is headquartered in Canonsburg, Pennsylvania.

About Carbon Energy

Carbon Energy Corporation, an independent oil and natural gas company, engages in the acquisition, exploration, development, and production of oil, natural gas, and natural gas liquids properties in the United States. It focuses on conventional and unconventional reservoirs, including shale, tight sand, and coalbed methane located in the Appalachian, Illinois, and Ventura Basins. It owns working interests and royalty interests in wells located in California, Illinois, Indiana, Kentucky, Ohio, Tennessee, Virginia, and West Virginia, as well as had leasehold positions. The company was formerly known as Carbon Natural Gas Company and changed its name to Carbon Energy Corporation in June 2018. Carbon Energy Corporation was founded in 2007 and is based in Denver, Colorado.