Analyzing Diamondback Energy (NASDAQ:FANG) & Trans-Pacific Aerospace (OTCMKTS:TPAC)

Trans-Pacific Aerospace (OTCMKTS:TPAC) and Diamondback Energy (NASDAQ:FANG) are both aerospace companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, risk, analyst recommendations, valuation, profitability, earnings and dividends.

Profitability

This table compares Trans-Pacific Aerospace and Diamondback Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Trans-Pacific Aerospace	N/A	N/A	N/A
Diamondback Energy	33.64%	13.68%	7.93%

Institutional & Insider Ownership

90.0% of Diamondback Energy shares are owned by institutional investors. 0.1% of Trans-Pacific Aerospace shares are owned by insiders. Comparatively, 0.5% of Diamondback Energy shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares Trans-Pacific Aerospace and Diamondback Energy”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Trans-Pacific Aerospace	N/A	N/A	N/A	N/A	N/A
Diamondback Energy	$11.02 billion	3.65	$3.14 billion	$15.80	8.66

Diamondback Energy has higher revenue and earnings than Trans-Pacific Aerospace.

Risk & Volatility

Trans-Pacific Aerospace has a beta of -0.15, meaning that its stock price is 115% less volatile than the S&P 500. Comparatively, Diamondback Energy has a beta of 1.44, meaning that its stock price is 44% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings for Trans-Pacific Aerospace and Diamondback Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Trans-Pacific Aerospace	0	0	0	0	0.00
Diamondback Energy	0	2	18	2	3.00

Diamondback Energy has a consensus price target of $200.96, indicating a potential upside of 46.94%. Given Diamondback Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Diamondback Energy is more favorable than Trans-Pacific Aerospace.

Summary

Diamondback Energy beats Trans-Pacific Aerospace on 11 of the 11 factors compared between the two stocks.

About Trans-Pacific Aerospace

Trans-Pacific Aerospace Company, Inc. designs, manufactures, and sells aerospace component parts for commercial and military aircrafts, space vehicles, power plants, and surface and undersea vessels in the United States. It primarily offers self-lubricating spherical bearings, which are integral to the operation of commercial aircrafts and help with various flight-critical tasks, including aircraft flight controls and landing gear. The company was formerly known as Pinnacle Energy Corp. and changed its name to Trans-Pacific Aerospace Company, Inc. in March 2010. Trans-Pacific Aerospace Company, Inc. was founded in 2007 and is based in San Marino, California.

About Diamondback Energy

Diamondback Energy, Inc., an independent oil and natural gas company, acquires, develops, explores, and exploits unconventional, onshore oil and natural gas reserves in the Permian Basin in West Texas. It focuses on the development of the Spraberry and Wolfcamp formations of the Midland basin; and the Wolfcamp and Bone Spring formations of the Delaware basin, which are part of the Permian Basin in West Texas and New Mexico. The company also owns and operates midstream infrastructure assets, in the Midland and Delaware Basins of the Permian Basin. Diamondback Energy, Inc. was founded in 2007 and is headquartered in Midland, Texas.