Par Pacific (NYSE:PARR) versus Reserve Petroleum (OTCMKTS:RSRV) Head-To-Head Analysis

Reserve Petroleum (OTCMKTS:RSRV) and Par Pacific (NYSE:PARR) are both energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their earnings, risk, valuation, profitability, dividends, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Reserve Petroleum and Par Pacific, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Reserve Petroleum	0	0	0	0	0.00
Par Pacific	0	3	10	0	2.77

Par Pacific has a consensus price target of $81.57, suggesting a potential upside of 0.03%. Given Par Pacific’s stronger consensus rating and higher probable upside, analysts clearly believe Par Pacific is more favorable than Reserve Petroleum.

Profitability

This table compares Reserve Petroleum and Par Pacific’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Reserve Petroleum	N/A	N/A	N/A
Par Pacific	9.94%	56.19%	21.61%

Insider & Institutional Ownership

92.2% of Par Pacific shares are owned by institutional investors. 22.8% of Reserve Petroleum shares are owned by company insiders. Comparatively, 3.6% of Par Pacific shares are owned by company 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 Reserve Petroleum and Par Pacific”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Reserve Petroleum	N/A	N/A	N/A	$44.50	4.75
Par Pacific	$7.46 billion	0.55	$369.39 million	$17.14	4.76

Par Pacific has higher revenue and earnings than Reserve Petroleum. Reserve Petroleum is trading at a lower price-to-earnings ratio than Par Pacific, indicating that it is currently the more affordable of the two stocks.

Summary

Par Pacific beats Reserve Petroleum on 9 of the 11 factors compared between the two stocks.

About Reserve Petroleum

The Reserve Petroleum Company, an independent oil and gas company, engages in oil and natural gas exploration, development, and minerals management with areas of concentration in Arkansas, Kansas, Oklahoma, South Dakota, Texas, and Wyoming. It owns producing properties and non-producing mineral interests in the north and south-central United States. The company also provides water well drilling services. The Reserve Petroleum Company was incorporated in 1931 and is based in Oklahoma City, Oklahoma.

About Par Pacific

Par Pacific Holdings, Inc. owns and operates energy and infrastructure businesses. The company operates through Refining, Retail, and Logistics segments. The Refining segment owns and operates refineries that produce gasoline, distillate, asphalt, and other products primarily for consumption in Kapolei, Hawaii, Newcastle, Wyoming, Tacoma, Washington, and Billings, Montana. The Retail segment operates fuel retail outlets, which sell merchandise, such as soft drinks, prepared foods, and other sundries in Hawaii under the Hele, 76, and nomnom brands; and gasoline, diesel, and retail merchandise in Washington and Idaho. The Logistics segment owns and operates terminals, pipelines, single point mooring, marine vessels, storage facilities, loading and truck racks, and rail facilities to distribute ethanol, petroleum, and refined products throughout Hawaii, the United States West Coast, Washington, the Dakotas, and Wyoming; and a jet fuel storage facility and pipeline that serves Ellsworth Air Force Base in South Dakota. It also holds interest in refined products pipeline. In addition, the company owns and operates a marine terminal, a unit train-capable rail loading terminal; a truck rack, and a proprietary pipeline that serves Joint Base Lewis McChord. The company was formerly known as Par Petroleum Corporation and changed its name to Par Pacific Holdings, Inc. in October 2015. Par Pacific Holdings, Inc. was incorporated in 1984 and is headquartered in Houston, Texas.