Critical Comparison: Kodiak Gas Services (NYSE:KGS) & Superior Energy Services (OTCMKTS:SPNX)

Superior Energy Services (OTCMKTS:SPNX) and Kodiak Gas Services (NYSE:KGS) are both energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, profitability, valuation, risk, dividends and analyst recommendations.

Profitability

This table compares Superior Energy Services and Kodiak Gas Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Superior Energy Services	N/A	N/A	N/A
Kodiak Gas Services	5.13%	13.12%	3.72%

Analyst Recommendations

This is a summary of current recommendations for Superior Energy Services and Kodiak Gas Services, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Superior Energy Services	0	0	0	0	0.00
Kodiak Gas Services	0	2	9	0	2.82

Kodiak Gas Services has a consensus price target of $75.22, indicating a potential upside of 15.63%. Given Kodiak Gas Services’ stronger consensus rating and higher probable upside, analysts clearly believe Kodiak Gas Services is more favorable than Superior Energy Services.

Insider & Institutional Ownership

25.0% of Kodiak Gas Services shares are owned by institutional investors. 7.3% of Superior Energy Services shares are owned by company insiders. Comparatively, 0.6% of Kodiak Gas Services shares are owned by company 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.

Valuation and Earnings

This table compares Superior Energy Services and Kodiak Gas Services”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Superior Energy Services	$919.42 million	0.00	$175.02 million	$6.73	0.02
Kodiak Gas Services	$1.31 billion	4.41	$80.52 million	$0.74	87.91

Superior Energy Services has higher earnings, but lower revenue than Kodiak Gas Services. Superior Energy Services is trading at a lower price-to-earnings ratio than Kodiak Gas Services, indicating that it is currently the more affordable of the two stocks.

Summary

Kodiak Gas Services beats Superior Energy Services on 10 of the 13 factors compared between the two stocks.

About Superior Energy Services

Superior Energy Services, Inc. provides oilfield services and equipment to oil and natural gas exploration and production companies in the United States and internationally. The company operates in four segments: Drilling Products and Services, Onshore Completion and Workover Services, Production Services, and Technical Solutions. The Drilling Products and Services segment rents downhole drilling tools, including tubulars, such as primary drill pipe strings, landing strings, completion tubulars, and associated accessories, as well as manufactures and rents bottom hole tools comprising stabilizers, non-magnetic drill collars, and hole openers; and surfaces, such as temporary onshore and offshore accommodation modules and accessories. The Onshore Completion and Workover Services segment offers fluid management services used to obtain, move, store, and dispose of fluids that are involved in the exploration, development, and production of oil and gas; and workover services consisting of installations, completions, and sidetracking of wells, as well as support for perforating operations. The Production Services segment provides intervention services, such as coiled tubing, cased hole and mechanical wireline, hydraulic workover and snubbing, pressure control, production testing and optimization, and remedial pumping services. The Technical Solutions segment offers well containment systems; completion tools and services, including sand control systems, well screens and filters, and surface-controlled sub surface safety valves; and well and sand control, and stimulation services. This segment also produces and sells oil and gas. Superior Energy Services, Inc. was founded in 1991 and is headquartered in Houston, Texas. On December 7, 2020, Superior Energy Services, Inc., along with its affiliates, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Southern District of Texas.

About Kodiak Gas Services

Kodiak Gas Services, Inc. operates contract compression infrastructure for customers in the oil and gas industry in the United States. It operates in two segments, Compression Operations and Other Services. The Compression Operations segment operates company-owned and customer-owned compression infrastructure to enable the production, gathering, and transportation of natural gas and oil. The Other Services segment provides a range of contract services, including station construction, maintenance and overhaul, and other ancillary time and material-based offerings. The company was formerly known as Frontier TopCo, Inc. Kodiak Gas Services, Inc. was founded in 2010 and is headquartered in The Woodlands, Texas.