Vermilion Energy (NYSE:VET) and Nordic American Tankers (NYSE:NAT) Head to Head Comparison

Nordic American Tankers (NYSE:NAT) and Vermilion Energy (NYSE:VET) are both energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, dividends, analyst recommendations, earnings, institutional ownership, risk and valuation.

Risk & Volatility

Nordic American Tankers has a beta of -0.56, indicating that its stock price is 156% less volatile than the S&P 500. Comparatively, Vermilion Energy has a beta of 0.58, indicating that its stock price is 42% less volatile than the S&P 500.

Profitability

This table compares Nordic American Tankers and Vermilion Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nordic American Tankers	47.04%	20.58%	10.38%
Vermilion Energy	-22.48%	5.26%	2.15%

Valuation and Earnings

This table compares Nordic American Tankers and Vermilion Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nordic American Tankers	$370.40 million	4.54	$12.27 million	$0.59	13.45
Vermilion Energy	$2.01 billion	1.03	-$467.78 million	($2.11)	-6.47

Nordic American Tankers has higher earnings, but lower revenue than Vermilion Energy. Vermilion Energy is trading at a lower price-to-earnings ratio than Nordic American Tankers, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings and price targets for Nordic American Tankers and Vermilion Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nordic American Tankers	1	2	1	0	2.00
Vermilion Energy	1	6	2	0	2.11

Nordic American Tankers currently has a consensus price target of $6.83, suggesting a potential downside of 13.88%. Vermilion Energy has a consensus price target of $15.00, suggesting a potential upside of 9.85%. Given Vermilion Energy’s stronger consensus rating and higher probable upside, analysts plainly believe Vermilion Energy is more favorable than Nordic American Tankers.

Institutional & Insider Ownership

44.3% of Nordic American Tankers shares are held by institutional investors. Comparatively, 31.9% of Vermilion Energy shares are held by institutional investors. 2.9% of Nordic American Tankers shares are held by company insiders. Comparatively, 2.6% of Vermilion Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Dividends

Nordic American Tankers pays an annual dividend of $1.08 per share and has a dividend yield of 13.6%. Vermilion Energy pays an annual dividend of $0.39 per share and has a dividend yield of 2.9%. Nordic American Tankers pays out 183.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Vermilion Energy pays out -18.5% of its earnings in the form of a dividend. Nordic American Tankers has raised its dividend for 1 consecutive years and Vermilion Energy has raised its dividend for 3 consecutive years.

Summary

Nordic American Tankers beats Vermilion Energy on 10 of the 17 factors compared between the two stocks.

About Nordic American Tankers

Nordic American Tankers Limited, a tanker company, acquires and charters double-hull tankers in Bermuda and internationally. It operates a fleet of 20 Suezmax crude oil tankers. The company was incorporated in 1995 and is headquartered in Hamilton, Bermuda.

About Vermilion Energy

Vermilion Energy Inc., together with its subsidiaries, engages in the acquisition, exploration, development, and production of petroleum and natural gas. The company has properties in West Central Alberta, southeast Saskatchewan, Manitoba, and West Pembina in Canada; Wyoming in the United States; southwest Bordeaux and Paris Basin in France; the Netherlands; Germany; Ireland; Croatia; Slovakia; and Australia. The company was founded in 1994 and is headquartered in Calgary, Canada.