Vantage Drilling (OTCMKTS:VTGDF) & Permex Petroleum (OTCMKTS:OILCF) Critical Review

Permex Petroleum (OTCMKTS:OILCF) and Vantage Drilling (OTCMKTS:VTGDF) are both oils/energy companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, earnings, valuation, dividends, profitability, risk and analyst recommendations.

Volatility and Risk

Permex Petroleum has a beta of 1.48, indicating that its share price is 48% more volatile than the S&P 500. Comparatively, Vantage Drilling has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500.

Profitability

This table compares Permex Petroleum and Vantage Drilling’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Permex Petroleum	N/A	N/A	N/A
Vantage Drilling	-4.01%	-5.98%	-2.65%

Institutional & Insider Ownership

9.5% of Permex Petroleum shares are owned by institutional investors. 7.5% of Vantage Drilling shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and price targets for Permex Petroleum and Vantage Drilling, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Permex Petroleum	0	0	0	0	N/A
Vantage Drilling	0	0	0	0	N/A

Valuation & Earnings

This table compares Permex Petroleum and Vantage Drilling’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Permex Petroleum	$880,000.00	2.50	-$2.71 million	N/A	N/A
Vantage Drilling	$383.14 million	0.00	-$15.38 million	($1.16)	N/A

Permex Petroleum has higher earnings, but lower revenue than Vantage Drilling.

Summary

Permex Petroleum beats Vantage Drilling on 6 of the 8 factors compared between the two stocks.

About Permex Petroleum

Permex Petroleum Corporation, a junior oil and gas company, engages in the acquisition, development, and production of oil and gas properties in the United States. The company holds interests in the Pittcock North property, Pittcock South property, Windy Jones property, and Mary Bullard property located in Stonewall County. It also holds interests in the West Henshaw property located in Eddy County, New Mexico; Oxy Yates property located in Eddy County; and Breedlove B Clearfork property located in Martin Country, Texas. In addition, the company has royalty interests in the Permian Basin of West Texas and southeast New Mexico. Permex Petroleum Corporation was incorporated in 2017 and is headquartered in Dallas, Texas.

About Vantage Drilling

Vantage Drilling Company is in liquidation. Previously, the company was engaged in the provision of offshore contract drilling services for multinational oil and natural gas companies, government owned oil and natural gas companies, and independent oil and natural gas producers in the United States and internationally. Vantage Drilling Company was founded in 2007 and is based in Houston, Texas.