Gulfport Energy (NYSE:GPOR) versus Magnolia Oil & Gas (NYSE:MGY) Critical Survey

Gulfport Energy (NYSE:GPORGet Free Report) and Magnolia Oil & Gas (NYSE:MGYGet Free Report) are both mid-cap energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their earnings, analyst recommendations, dividends, institutional ownership, valuation, risk and profitability.

Profitability

This table compares Gulfport Energy and Magnolia Oil & Gas’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Gulfport Energy 1.68% 20.95% 12.47%
Magnolia Oil & Gas 25.90% 18.10% 12.56%

Analyst Recommendations

This is a summary of recent recommendations and price targets for Gulfport Energy and Magnolia Oil & Gas, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Gulfport Energy 0 6 6 1 2.62
Magnolia Oil & Gas 2 7 5 0 2.21

Gulfport Energy currently has a consensus price target of $221.25, indicating a potential upside of 6.53%. Magnolia Oil & Gas has a consensus price target of $26.25, indicating a potential upside of 14.06%. Given Magnolia Oil & Gas’ higher probable upside, analysts clearly believe Magnolia Oil & Gas is more favorable than Gulfport Energy.

Volatility and Risk

Gulfport Energy has a beta of 0.6, suggesting that its share price is 40% less volatile than the S&P 500. Comparatively, Magnolia Oil & Gas has a beta of 0.93, suggesting that its share price is 7% less volatile than the S&P 500.

Valuation and Earnings

This table compares Gulfport Energy and Magnolia Oil & Gas”s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Gulfport Energy $958.13 million 4.19 -$261.39 million ($1.90) -109.31
Magnolia Oil & Gas $1.32 billion 3.30 $366.03 million $1.79 12.86

Magnolia Oil & Gas has higher revenue and earnings than Gulfport Energy. Gulfport Energy is trading at a lower price-to-earnings ratio than Magnolia Oil & Gas, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

94.7% of Magnolia Oil & Gas shares are held by institutional investors. 0.3% of Gulfport Energy shares are held by insiders. Comparatively, 0.9% of Magnolia Oil & Gas shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Magnolia Oil & Gas beats Gulfport Energy on 10 of the 15 factors compared between the two stocks.

About Gulfport Energy

(Get Free Report)

Gulfport Energy Corporation engages in the exploration, development, acquisition, production of natural gas, crude oil, and natural gas liquids (NGL) in the United States. Its principal properties include Utica Shale covering an area approximately 187,000 net reservoir acres primarily located in Eastern Ohio; and SCOOP covering an area approximately 74,000 net reservoir acres primarily located in Garvin, Grady, and Stephens. As of December 31, 2021, it had 3.9 trillion cubic feet of natural gas equivalent to proved reserves; and proved undeveloped reserves comprising 8 MMbbl oil and 22 MMBbl NGL, and 1,550 Bcf natural gas. The company was incorporated in 1997 and is headquartered in Oklahoma City, Oklahoma.

About Magnolia Oil & Gas

(Get Free Report)

Magnolia Oil & Gas Corp. engages in the acquisition, development, exploration, and production of oil and natural gas properties. It operates assets located in the Eagle Ford Shale and Austin Chalk formations in South Texas. The company was founded on February 14, 2017 and is headquartered in Houston, TX.

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