Analyzing PrimeEnergy Resources (NASDAQ:PNRG) & Houston American Energy (NYSE:HUSA)

Profitability

This table compares Houston American Energy and PrimeEnergy Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Houston American Energy	-544.15%	-6.10%	-5.86%
PrimeEnergy Resources	27.73%	32.76%	18.13%

Earnings & Valuation

This table compares Houston American Energy and PrimeEnergy Resources”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Houston American Energy	$560,180.00	16.05	-$3.21 million	($0.73)	-0.78
PrimeEnergy Resources	$209.65 million	1.36	$28.10 million	$22.00	7.55

PrimeEnergy Resources has higher revenue and earnings than Houston American Energy. Houston American Energy is trading at a lower price-to-earnings ratio than PrimeEnergy Resources, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

12.2% of Houston American Energy shares are owned by institutional investors. 15.4% of Houston American Energy shares are owned by insiders. Comparatively, 61.1% of PrimeEnergy Resources shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Risk and Volatility

Houston American Energy has a beta of 0.58, indicating that its stock price is 42% less volatile than the S&P 500. Comparatively, PrimeEnergy Resources has a beta of 0.04, indicating that its stock price is 96% less volatile than the S&P 500.

Summary

PrimeEnergy Resources beats Houston American Energy on 8 of the 11 factors compared between the two stocks.

About Houston American Energy

Houston American Energy Corp., an independent oil and gas company, engages in the acquisition, exploration, exploitation, development, and production of natural gas, crude oil, and condensate. Its principal properties are located primarily in the Texas Permian Basin, the South American country of Colombia, and the onshore Louisiana Gulf Coast region. The company is based in Houston, Texas.

About PrimeEnergy Resources

PrimeEnergy Resources Corporation, through its subsidiaries, engages in acquisition, development, and production of oil and natural gas properties in the United States. The company owns leasehold, mineral, and royalty interests in producing and non-producing oil and gas properties; and operates approximately 534 active wells and owns non-operating interests and royalties in 952 additional wells. It also acquires producing oil and gas properties through joint ventures with industry partners; and provides contract services to third parties, including well-servicing support, site-preparation, and construction services for oil and gas drilling and reworking operations. The company was formerly known as PrimeEnergy Corporation and changed its name to PrimeEnergy Resources Corporation in December 2018. PrimeEnergy Resources Corporation was incorporated in 1973 and is headquartered in Houston, Texas.