Diversified Energy (DEC) & The Competition Head to Head Contrast

Diversified Energy (NYSE:DEC) is one of 75 publicly-traded companies in the “Other Alt Energy” industry, but how does it compare to its rivals? We will compare Diversified Energy to similar companies based on the strength of its analyst recommendations, institutional ownership, risk, earnings, valuation, dividends and profitability.

Profitability

This table compares Diversified Energy and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Diversified Energy	N/A	N/A	N/A
Diversified Energy Competitors	-27.37%	-21.31%	-3.67%

Earnings and Valuation

This table compares Diversified Energy and its rivals revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Diversified Energy	$794.84 million	-$88.27 million	8.52
Diversified Energy Competitors	$3.59 billion	$321.02 million	56.38

Diversified Energy’s rivals have higher revenue and earnings than Diversified Energy. Diversified Energy is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Institutional & Insider Ownership

26.5% of Diversified Energy shares are held by institutional investors. Comparatively, 40.6% of shares of all “Other Alt Energy” companies are held by institutional investors. 17.5% of shares of all “Other Alt Energy” companies are held 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.

Analyst Ratings

This is a breakdown of recent recommendations for Diversified Energy and its rivals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Diversified Energy	1	0	4	0	2.60
Diversified Energy Competitors	419	1176	1821	80	2.45

Diversified Energy currently has a consensus price target of $21.50, indicating a potential upside of 71.70%. As a group, “Other Alt Energy” companies have a potential upside of 2.55%. Given Diversified Energy’s stronger consensus rating and higher possible upside, research analysts plainly believe Diversified Energy is more favorable than its rivals.

Volatility and Risk

Diversified Energy has a beta of 0.65, suggesting that its stock price is 35% less volatile than the S&P 500. Comparatively, Diversified Energy’s rivals have a beta of -74.83, suggesting that their average stock price is 7,583% less volatile than the S&P 500.

Dividends

Diversified Energy pays an annual dividend of $0.81 per share and has a dividend yield of 6.5%. Diversified Energy pays out 55.1% of its earnings in the form of a dividend. As a group, “Other Alt Energy” companies pay a dividend yield of 1.0% and pay out 53.1% of their earnings in the form of a dividend.

Summary

Diversified Energy beats its rivals on 8 of the 15 factors compared.

About Diversified Energy

Diversified Energy Company PLC operates as an independent owner and operator of producing natural gas and oil wells primarily in the Appalachian Basin of the United States. The company is involved in the production, marketing, and transportation of natural gas, natural gas liquids, crude oil, and condensates. Its assets consist of natural gas wells and gathering systems located in the states of Tennessee, Kentucky, Virginia, West Virginia, Ohio, Pennsylvania, Oklahoma, Texas, and Louisiana. The company was formerly known as Diversified Gas & Oil PLC and changed its name to Diversified Energy Company PLC in May 2021. Diversified Energy Company PLC was founded in 2001 and is headquartered in Birmingham, Alabama.