Contrasting Centrus Energy (NYSE:LEU) & HF Sinclair (NYSE:DINO)

HF Sinclair (NYSE:DINO) and Centrus Energy (NYSE:LEU) are both energy companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, dividends, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Risk & Volatility

HF Sinclair has a beta of 0.73, meaning that its share price is 27% less volatile than the S&P 500. Comparatively, Centrus Energy has a beta of 1.41, meaning that its share price is 41% more volatile than the S&P 500.

Earnings and Valuation

This table compares HF Sinclair and Centrus Energy”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HF Sinclair	$26.87 billion	0.73	$579.00 million	$19.71	5.84
Centrus Energy	$448.70 million	4.58	$77.80 million	$2.20	46.77

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

Analyst Recommendations

This is a summary of recent ratings and price targets for HF Sinclair and Centrus Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HF Sinclair	1	7	6	2	2.56
Centrus Energy	0	10	8	1	2.53

HF Sinclair presently has a consensus target price of $115.75, suggesting a potential upside of 0.64%. Centrus Energy has a consensus target price of $193.12, suggesting a potential upside of 87.68%. Given Centrus Energy’s higher probable upside, analysts plainly believe Centrus Energy is more favorable than HF Sinclair.

Insider & Institutional Ownership

88.3% of HF Sinclair shares are owned by institutional investors. Comparatively, 50.0% of Centrus Energy shares are owned by institutional investors. 0.3% of HF Sinclair shares are owned by company insiders. Comparatively, 0.7% of Centrus Energy shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares HF Sinclair and Centrus Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HF Sinclair	10.12%	32.95%	18.22%
Centrus Energy	10.23%	7.06%	2.01%

Summary

HF Sinclair beats Centrus Energy on 8 of the 15 factors compared between the two stocks.

About HF Sinclair

HF Sinclair Corporation operates as an independent energy company. The company produces and markets gasoline, diesel fuel, jet fuel, renewable diesel, specialty lubricant products, specialty chemicals, specialty and modified asphalt, and others. It owns and operates refineries located in Kansas, Oklahoma, New Mexico, Utah, Washington, and Wyoming; and markets its refined products principally in the Southwest United States and Rocky Mountains, Pacific Northwest, and in other neighboring Plains states. In addition, the company supplies fuels to approximately 1,500 independent Sinclair branded stations and licenses the use of the Sinclair brand at approximately 300 additional locations. Further, it produces base oils and other specialized lubricants; and provides petroleum product and crude oil transportation, terminalling, storage, and throughput services to the petroleum sector. HF Sinclair Corporation is headquartered in Dallas, Texas.

About Centrus Energy

Centrus Energy Corp. supplies nuclear fuel components and services for the nuclear power industry in the United States, Belgium, Japan, and internationally. The company operates through two segments, Low-Enriched Uranium (LEU) and Technical Solutions. The LEU segment sells separative work units (SWU) components of LEU; natural uranium hexafluoride, uranium concentrates, and uranium conversion; and enriched uranium products to utilities that operate nuclear power plants. The Technical Solutions segment offers technical, manufacturing, engineering, and operations services to public and private sector customers. The company was formerly known as USEC Inc. and changed its name to Centrus Energy Corp. in September 2014. Centrus Energy Corp. was incorporated in 1998 and is headquartered in Bethesda, Maryland.