Head-To-Head Review: Pilgrim Petroleum (OTCMKTS:PGPM) and Range Resources (NYSE:RRC)

Range Resources (NYSE:RRC) and Pilgrim Petroleum (OTCMKTS:PGPM) are both energy companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, earnings, valuation, profitability, dividends, institutional ownership and analyst recommendations.

Institutional and Insider Ownership

98.9% of Range Resources shares are owned by institutional investors. 1.0% of Range Resources shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk and Volatility

Range Resources has a beta of 0.51, suggesting that its share price is 49% less volatile than the S&P 500. Comparatively, Pilgrim Petroleum has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and price targets for Range Resources and Pilgrim Petroleum, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Range Resources	2	13	3	1	2.16
Pilgrim Petroleum	0	0	0	0	0.00

Range Resources currently has a consensus target price of $41.22, suggesting a potential upside of 13.36%. Given Range Resources’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Range Resources is more favorable than Pilgrim Petroleum.

Earnings and Valuation

This table compares Range Resources and Pilgrim Petroleum”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Range Resources	$2.88 billion	2.99	$266.34 million	$2.38	15.28
Pilgrim Petroleum	N/A	N/A	N/A	N/A	N/A

Range Resources has higher revenue and earnings than Pilgrim Petroleum.

Profitability

This table compares Range Resources and Pilgrim Petroleum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Range Resources	19.64%	15.99%	8.93%
Pilgrim Petroleum	N/A	N/A	N/A

Summary

Range Resources beats Pilgrim Petroleum on 10 of the 11 factors compared between the two stocks.

About Range Resources

Range Resources Corporation operates as an independent natural gas, natural gas liquids (NGLs), crude oil, and condensate company in the United States. The company engages in the exploration, development, and acquisition of natural gas and crude oil properties located in the Appalachian region. It sells natural gas to utilities, marketing and midstream companies, and industrial users; NGLs to petrochemical end users, marketers/traders, and natural gas processors; and oil and condensate to crude oil processors, transporters, and refining and marketing companies. The company was formerly known as Lomak Petroleum Inc. and changed its name to Range Resources Corporation in August 1998. Range Resources Corporation was founded in 1976 and is headquartered in Fort Worth, Texas.

About Pilgrim Petroleum

Pilgrim Petroleum Corporation, an oil and gas exploration and development company, engages in the acquisition, development, and operation of crude oil and natural gas properties with proven reserves in the United States. The company holds interests in various projects located in Northwest Texas; the Electra Rework prospect located in Wichita and Willbarger Counties, Texas; and the City National Bank Discovery Well prospect located in Archer County, Texas. It also provides services to small and medium exploration and development companies. The company was formerly known as BNP Petroleum Corp. and changed its name to Pilgrim Petroleum Corporation in July 2005. Pilgrim Petroleum Corporation was founded in 1997 and is headquartered in Addison, Texas.