Reviewing New Fortress Energy (NASDAQ:NFE) and Sasol (NYSE:SSL)

Sasol (NYSE:SSL) and New Fortress Energy (NASDAQ:NFE) are both energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their valuation, earnings, profitability, dividends, risk, analyst recommendations and institutional ownership.

Profitability

This table compares Sasol and New Fortress Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sasol	N/A	N/A	N/A
New Fortress Energy	-48.94%	-22.72%	-3.15%

Valuation and Earnings

This table compares Sasol and New Fortress Energy”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sasol	$249.10 billion	0.02	$372.86 million	N/A	N/A
New Fortress Energy	$2.36 billion	0.13	-$249.04 million	($3.83)	-0.27

Sasol has higher revenue and earnings than New Fortress Energy.

Risk & Volatility

Sasol has a beta of 0.68, suggesting that its stock price is 32% less volatile than the S&P 500. Comparatively, New Fortress Energy has a beta of 1.2, suggesting that its stock price is 20% more volatile than the S&P 500.

Institutional and Insider Ownership

1.2% of Sasol shares are owned by institutional investors. Comparatively, 58.6% of New Fortress Energy shares are owned by institutional investors. 1.0% of Sasol shares are owned by company insiders. Comparatively, 29.4% of New Fortress Energy shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations and price targets for Sasol and New Fortress Energy, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sasol	1	2	0	0	1.67
New Fortress Energy	3	4	3	0	2.00

New Fortress Energy has a consensus target price of $7.88, suggesting a potential upside of 650.00%. Given New Fortress Energy’s stronger consensus rating and higher possible upside, analysts plainly believe New Fortress Energy is more favorable than Sasol.

Summary

New Fortress Energy beats Sasol on 7 of the 12 factors compared between the two stocks.

About Sasol

Sasol Limited operates as a chemical and energy company in South Africa and internationally. It offers alumina, such as battery materials, catalyst supports, abrasives and polishing, and polymer additives; cobalt fischer-tropsch catalysts; carbon-based and recarburiser products; graphite electrodes; and mono-ethylene glycol and chlor-alkali products, monomers, mining chemicals and reagents, blends and hydrocarbons, methanol products, polymers, phenolics, and fertilizers. The company also provides linear alkyl benzene, sulfonate, macrogol/polyethylene glycol, ethanol, isopropyl, acetone, and MIBK and ethyl acetate products; and fatty alcohols, alkoxylates, ether sulfates, solvents, dispersants, diluents esters, alpha-hydroxy acids ester, waxes, diluents, guerbet alcohols, biosurfactants, C6-C20+ alcohols, ethoxylates, propoxylates, paraffins/isoparaffins, parafols, amines, alkylphenols, and sulfates. In addition, it offers alcohols, esters, ethers, carboxylic acids, surfactants, oil and water soluble polyglycols, formulation and surface modifiers, solvents and coalescents, wax cuts, blends and forms, FT hard waxes, blends, lubrication packages, nucleators, release agents, emulsifiers, wetting agents, tank-mix adjuvant components, fertilizer additives, and specialty solvents. Further, the company explores, develops, produces, markets, and distributes natural oil and gas, and associated products; markets fuels and lubricants; develops and implements GTL and CTL ventures; operates coal mines; trades and transports oil, petrochemicals, and chemical products and derivatives; and provides engineering, research and development, and technology transfer services. Sasol Limited was founded in 1950 and is based in Johannesburg, South Africa.

About New Fortress Energy

New Fortress Energy Inc. operates as an integrated gas-to-power energy infrastructure company that provides energy and development services to end-users worldwide. The company operates in two segments, Terminals and Infrastructure, and Ships. The Terminals and Infrastructure segment engages in the natural gas procurement and liquefaction; and shipping, logistics, facilities and conversion, or development of natural gas-fired power generation. The Ships segment offers floating storage and regasification units (FRSU) and liquefied natural gas (LNG) carriers which are leased to customers under long-term or spot arrangements. The company operates LNG storage and regasification facility at the Port of Montego Bay, Jamaica; marine LNG storage and regasification facility in Old Harbour, Jamaica; Dual-fired combined heat and power facility in Clarendon, Jamaica; landed micro-fuel handling facility in San Juan, Puerto Rico; and LNG receiving facility and gas-fired power plant in Baja Califrnia Sur, Mexico, as well as a Miami facility. New Fortress Energy Inc. was founded in 1998 and is based in New York, New York.