Analyzing Antero Resources (NYSE:AR) and Allied Resources (OTCMKTS:ALOD)

Antero Resources (NYSE:AR) and Allied Resources (OTCMKTS:ALOD) are both energy companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, risk, analyst recommendations, earnings and profitability.

Insider & Institutional Ownership

83.0% of Antero Resources shares are held by institutional investors. 4.1% of Antero Resources shares are held 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.

Profitability

This table compares Antero Resources and Allied Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Antero Resources	16.39%	7.80%	4.45%
Allied Resources	70.21%	83.32%	65.50%

Volatility and Risk

Antero Resources has a beta of 0.33, meaning that its share price is 67% less volatile than the S&P 500. Comparatively, Allied Resources has a beta of 0.54, meaning that its share price is 46% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for Antero Resources and Allied Resources, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Antero Resources	0	6	9	4	2.89
Allied Resources	0	0	0	0	0.00

Antero Resources presently has a consensus price target of $50.06, indicating a potential upside of 40.80%. Given Antero Resources’ stronger consensus rating and higher probable upside, analysts plainly believe Antero Resources is more favorable than Allied Resources.

Earnings & Valuation

This table compares Antero Resources and Allied Resources”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Antero Resources	$5.28 billion	2.09	$634.42 million	$3.08	11.54
Allied Resources	$2.25 million	0.63	$1.73 million	$0.28	0.89

Antero Resources has higher revenue and earnings than Allied Resources. Allied Resources is trading at a lower price-to-earnings ratio than Antero Resources, indicating that it is currently the more affordable of the two stocks.

Summary

Antero Resources beats Allied Resources on 11 of the 15 factors compared between the two stocks.

About Antero Resources

Antero Resources Corporation, an independent oil and natural gas company, engages in the development, production, exploration, and acquisition of natural gas, natural gas liquids (NGLs), and oil properties in the United States. It operates in three segments: Exploration and Development; Marketing; and Equity Method Investment in Antero Midstream. As of December 31, 2023, the company had approximately 515,000 net acres in the Appalachian Basin; and approximately 172,000 net acres in the Upper Devonian Shale. Its gathering and compression systems also comprise 631 miles of gas gathering pipelines in the Appalachian Basin. The company was formerly known as Antero Resources Appalachian Corporation and changed its name to Antero Resources Corporation in June 2013. Antero Resources Corporation was incorporated in 2002 and is headquartered in Denver, Colorado.

About Allied Resources

Allied Resources, Inc., an independent oil and natural gas producer, engages in the exploration, development, production, and sale of oil and gas in the United States. It owns varying interests in a total of 145 wells situated on acreage of approximately 3,400 acres in Ritchie and Calhoun counties, West Virginia; and 10 wells situated on acreage of approximately 2,510 acres in Goliad, Edwards, and Jackson counties, Texas. The company was formerly known as General Allied Oil and Gas Co and changed its name to Allied Resources, Inc. in August 1998. Allied Resources, Inc. was founded in 1979 and is based in Salt Lake City, Utah.