Head to Head Analysis: Freehold Royalties (OTCMKTS:FRHLF) versus Arrow Exploration (OTCMKTS:CSTPF)

Arrow Exploration (OTCMKTS:CSTPF) and Freehold Royalties (OTCMKTS:FRHLF) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, risk, earnings, institutional ownership, profitability, analyst recommendations and dividends.

Valuation & Earnings

This table compares Arrow Exploration and Freehold Royalties”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Arrow Exploration	N/A	N/A	N/A	C($0.04)	-3.80
Freehold Royalties	$225.88 million	7.72	$109.07 million	$0.58	18.34

Freehold Royalties has higher revenue and earnings than Arrow Exploration. Arrow Exploration is trading at a lower price-to-earnings ratio than Freehold Royalties, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Arrow Exploration and Freehold Royalties’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Arrow Exploration	N/A	N/A	N/A
Freehold Royalties	37.26%	11.47%	8.56%

Institutional and Insider Ownership

25.3% of Arrow Exploration shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Arrow Exploration and Freehold Royalties, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Arrow Exploration	0	0	0	0	0.00
Freehold Royalties	0	2	1	0	2.33

Summary

Freehold Royalties beats Arrow Exploration on 8 of the 9 factors compared between the two stocks.

About Arrow Exploration

Arrow Exploration Corp., a junior oil and gas company, engages in the acquisition, exploration, development, and production of oil and gas properties in Colombia and Western Canada. The company is headquartered in Calgary, Canada.

About Freehold Royalties

Freehold Royalties Ltd. engages in the acquiring and managing royalty interests in the crude oil, natural gas, natural gas liquids, and potash properties in Western Canada and the United States. Freehold Royalties Ltd. was founded in 1996 and is headquartered in Calgary, Canada.