Analyzing Rancher Energy (OTCMKTS:TRXO) and EOG Resources (NYSE:EOG)

EOG Resources (NYSE:EOG) and Rancher Energy (OTCMKTS:TRXO) are both energy companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, valuation, profitability and risk.

Institutional and Insider Ownership

89.9% of EOG Resources shares are owned by institutional investors. 0.1% of EOG Resources shares are owned by company insiders. Comparatively, 18.4% of Rancher Energy shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
EOG Resources	25.25%	20.51%	12.93%
Rancher Energy	N/A	N/A	N/A

Risk and Volatility

EOG Resources has a beta of 0.74, suggesting that its share price is 26% less volatile than the S&P 500. Comparatively, Rancher Energy has a beta of -72.76, suggesting that its share price is 7,376% less volatile than the S&P 500.

Earnings and Valuation

This table compares EOG Resources and Rancher Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
EOG Resources	$23.70 billion	2.55	$6.40 billion	$10.29	10.75
Rancher Energy	N/A	N/A	N/A	N/A	N/A

EOG Resources has higher revenue and earnings than Rancher Energy.

Analyst Ratings

This is a breakdown of recent ratings and price targets for EOG Resources and Rancher Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
EOG Resources	0	14	9	1	2.46
Rancher Energy	0	0	0	0	0.00

EOG Resources currently has a consensus price target of $143.14, indicating a potential upside of 29.35%. Given EOG Resources’ stronger consensus rating and higher possible upside, equities research analysts clearly believe EOG Resources is more favorable than Rancher Energy.

Summary

EOG Resources beats Rancher Energy on 10 of the 11 factors compared between the two stocks.

About EOG Resources

EOG Resources, Inc., together with its subsidiaries, explores for, develops, produces, and markets crude oil, natural gas liquids, and natural gas primarily in producing basins in the United States, the Republic of Trinidad and Tobago and internationally. The company was formerly known as Enron Oil & Gas Company. EOG Resources, Inc. was incorporated in 1985 and is headquartered in Houston, Texas.

About Rancher Energy

Columbine Valley Resources, Inc. engages in the acquisition, exploration, and development of oil and gas properties in the United States. The company owns various properties, which are primarily located in the Rocky Mountain region of Wyoming, as well as Nebraska. Columbine Valley Resources, Inc. is headquartered in Broomfield, Colorado.