Repsol (OTCMKTS:REPYY) & Permian Basin Royalty Trust (NYSE:PBT) Head-To-Head Review

Permian Basin Royalty Trust (NYSE:PBT) and Repsol (OTCMKTS:REPYY) are both energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their earnings, valuation, dividends, risk, profitability, analyst recommendations and institutional ownership.

Institutional and Insider Ownership

28.9% of Permian Basin Royalty Trust shares are owned by institutional investors. Comparatively, 0.3% of Repsol shares are owned by institutional investors. 1.0% of Repsol shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Volatility & Risk

Permian Basin Royalty Trust has a beta of 0.56, meaning that its share price is 44% less volatile than the S&P 500. Comparatively, Repsol has a beta of 0.07, meaning that its share price is 93% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Permian Basin Royalty Trust and Repsol, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Permian Basin Royalty Trust	0	1	0	0	2.00
Repsol	0	2	7	2	3.00

Repsol has a consensus price target of $87.50, indicating a potential upside of 158.34%. Given Repsol’s stronger consensus rating and higher probable upside, analysts plainly believe Repsol is more favorable than Permian Basin Royalty Trust.

Dividends

Permian Basin Royalty Trust pays an annual dividend of $0.24 per share and has a dividend yield of 0.7%. Repsol pays an annual dividend of $0.99 per share and has a dividend yield of 2.9%. Permian Basin Royalty Trust pays out 68.6% of its earnings in the form of a dividend. Repsol pays out 39.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Repsol is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares Permian Basin Royalty Trust and Repsol’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Permian Basin Royalty Trust	91.96%	9,990.08%	510.19%
Repsol	5.81%	9.96%	4.54%

Valuation & Earnings

This table compares Permian Basin Royalty Trust and Repsol”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Permian Basin Royalty Trust	$16.13 million	100.94	$14.30 million	$0.35	99.81
Repsol	$61.56 billion	0.61	$2.15 billion	$2.54	13.33

Repsol has higher revenue and earnings than Permian Basin Royalty Trust. Repsol is trading at a lower price-to-earnings ratio than Permian Basin Royalty Trust, indicating that it is currently the more affordable of the two stocks.

Summary

Repsol beats Permian Basin Royalty Trust on 10 of the 17 factors compared between the two stocks.

About Permian Basin Royalty Trust

Permian Basin Royalty Trust, an express trust, holds royalty interests in various oil and gas properties in the United States. The company holds a 75% net overriding royalty interest in the Waddell Ranch properties, including Dune, Sand Hills (Judkins), Sand Hills (McKnight), Sand Hills (Tubb), University-Waddell (Devonian) and Waddell fields in Crane County, Texas. It also holds a 95% net overriding royalty in the Texas Royalty properties, which consist of various producing oil fields, such as Yates, Wasson, Sand Hills, East Texas, Kelly-Snyder, Panhandle Regular, N. Cowden, Todd, Keystone, Kermit, McElroy, Howard-Glasscock, Seminole, and others located in Texas. Its Texas Royalty properties comprise approximately 125 separate royalty interests containing approximately 51,000 net producing acres. The company was founded in 1980 and is based in Dallas, Texas.

About Repsol

Repsol, S.A. operates as a multi-e energy company worldwide. Its Upstream segment engages in the exploration, development, and production of crude oil and natural gas reserves, as well as develops low-carbon geological solutions. The company's Industrial segment is involved in refining activities and petrochemicals business; the trading, transport, and sale of crude oil, natural gas, and fuels; and development of hydrogen, biomethane, sustainable biofuels, and synthetic fuels. Its Customer segment is involved in mobility; and sale of fuel products, electricity and gas, lubricants, and other specialties. The company's Low-Carbon Generation segment engages in the low-emissions electricity generation and renewable sources. The company also offers asphalt products; installs, operates, and manages service stations; provides maritime services; constructs and operates oil refineries; explores and produces hydrocarbons; offers human resource; distributes and supplies electricity; and develops new energy projects, solar, and wind projects, as well as produces and sells chemical products and lubricants. In addition, it is involved in fuel and special products sale, research, trading and transport, insurance and reinsurance, safety, and financing activities; development of production processes, storage, transport, use, consumption, and transformation of hydrogen; decarbonization activities; and promotion, design, construction, and operation of molecular recycling facilities. Further, the company produces synthetic oil cloths; and invests in liquefaction plant project. The company was formerly known as Repsol YPF, S.A. and changed its name to Repsol, S.A. in May 2012. Repsol, S.A. was founded in 1927 and is headquartered in Madrid, Spain.