ProFrac (NASDAQ:ACDC) vs. Seadrill (NYSE:SDRL) Head-To-Head Survey

Seadrill (NYSE:SDRL) and ProFrac (NASDAQ:ACDC) are both energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, earnings, dividends, profitability, risk, valuation and analyst recommendations.

Profitability

This table compares Seadrill and ProFrac’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Seadrill	0.07%	0.64%	0.46%
ProFrac	-22.83%	-45.18%	-13.61%

Analyst Ratings

This is a breakdown of current recommendations for Seadrill and ProFrac, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Seadrill	1	1	3	4	3.11
ProFrac	2	2	1	0	1.80

Seadrill currently has a consensus target price of $59.40, suggesting a potential upside of 31.57%. ProFrac has a consensus target price of $5.25, suggesting a potential upside of 7.69%. Given Seadrill’s stronger consensus rating and higher possible upside, research analysts plainly believe Seadrill is more favorable than ProFrac.

Insider and Institutional Ownership

95.7% of Seadrill shares are owned by institutional investors. Comparatively, 12.8% of ProFrac shares are owned by institutional investors. 0.5% of Seadrill shares are owned by insiders. Comparatively, 2.2% of ProFrac shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Risk & Volatility

Seadrill has a beta of 1.25, suggesting that its share price is 25% more volatile than the S&P 500. Comparatively, ProFrac has a beta of 1.52, suggesting that its share price is 52% more volatile than the S&P 500.

Earnings & Valuation

This table compares Seadrill and ProFrac”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Seadrill	$1.44 billion	1.96	-$77.00 million	$0.03	1,504.87
ProFrac	$1.94 billion	0.46	-$369.00 million	($2.33)	-2.09

Seadrill has higher earnings, but lower revenue than ProFrac. ProFrac is trading at a lower price-to-earnings ratio than Seadrill, indicating that it is currently the more affordable of the two stocks.

Summary

Seadrill beats ProFrac on 12 of the 15 factors compared between the two stocks.

About Seadrill

Seadrill Ltd. engages in the provision of offshore drilling services to the oil and gas industry. It operates through the following segments: Floaters, Jack-up rigs, and Other. The Floaters segment encompasses drilling, completion, and maintenance of offshore exploration and production wells. the Jack-up Rigs segment includes drilling contracts relate to jack-up rigs for operations in harsh and benign environments in shallow water. The Other segment represents management services to third parties and related parties. The company was founded on May 10, 2005 and is headquartered in Hamilton, Bermuda.

About ProFrac

ProFrac Holding Corp. operates as a technology-focused energy services holding company in the United States. It operates through three segments: Stimulation Services, Manufacturing, and Proppant Production. The company offers hydraulic fracturing, well stimulation, in-basin frac sand, and other completion services and complementary products and services to upstream oil and natural gas companies engaged in the exploration and production of unconventional oil and natural gas resources. It also manufactures and sells high horsepower pumps, valves, piping, swivels, large-bore manifold systems, and fluid ends. ProFrac Holding Corp. was founded in 2016 and is headquartered in Willow Park, Texas.