Critical Comparison: Nostrum Oil & Gas (OTCMKTS:NSTRY) versus Repsol (OTCMKTS:REPYY)

Nostrum Oil & Gas (OTCMKTS:NSTRY) and Repsol (OTCMKTS:REPYY) are both oils/energy companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, dividends, analyst recommendations and valuation.

Volatility & Risk

Nostrum Oil & Gas has a beta of -3118.28, suggesting that its stock price is 311,928% less volatile than the S&P 500. Comparatively, Repsol has a beta of 0.75, suggesting that its stock price is 25% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Nostrum Oil & Gas and Repsol, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Nostrum Oil & Gas	0	0	0	0	0.00
Repsol	0	4	1	1	2.50

Valuation & Earnings

This table compares Nostrum Oil & Gas and Repsol”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Nostrum Oil & Gas	$195.29 million	1.13	-$26.12 million	($0.37)	-12.62
Repsol	$63.35 billion	0.24	$3.43 billion	$1.90	6.48

Repsol has higher revenue and earnings than Nostrum Oil & Gas. Nostrum Oil & Gas is trading at a lower price-to-earnings ratio than Repsol, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

0.3% of Repsol shares are owned by institutional investors. 1.0% of Repsol shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Nostrum Oil & Gas and Repsol’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Nostrum Oil & Gas	-8.42%	N/A	-13.93%
Repsol	3.74%	13.09%	6.21%

Summary

Repsol beats Nostrum Oil & Gas on 13 of the 14 factors compared between the two stocks.

About Nostrum Oil & Gas

Nostrum Oil & Gas PLC, an independent oil and gas company, engages in the exploration, development, and production of oil and gas in the pre-Caspian Basin. The company discovers and develops oil and gas reserves, as well as produces and sells crude oil, stabilized condensate, liquefied petroleum gas, and dry gas. Its principal producing asset is 100% owned Chinarevskoye field located in North-western Kazakhstan. As of December 31, 2021, the company had proved and probable reserves of 34 million barrels of oil equivalent (mmboe) and 28 mmboe of contingent resources. Nostrum Oil & Gas PLC was founded in 1997 and is based in London, the United Kingdom.

About Repsol

Repsol, S.A. operates as a multi-e energy company worldwide. Its Upstream segment engages in the exploration, development, and production of crude oil and natural gas reserves, as well as develops low-carbon geological solutions. The company's Industrial segment is involved in refining activities and petrochemicals business; the trading, transport, and sale of crude oil, natural gas, and fuels; and development of hydrogen, biomethane, sustainable biofuels, and synthetic fuels. Its Customer segment is involved in mobility; and sale of fuel products, electricity and gas, lubricants, and other specialties. The company's Low-Carbon Generation segment engages in the low-emissions electricity generation and renewable sources. The company also offers asphalt products; installs, operates, and manages service stations; provides maritime services; constructs and operates oil refineries; explores and produces hydrocarbons; offers human resource; distributes and supplies electricity; and develops new energy projects, solar, and wind projects, as well as produces and sells chemical products and lubricants. In addition, it is involved in fuel and special products sale, research, trading and transport, insurance and reinsurance, safety, and financing activities; development of production processes, storage, transport, use, consumption, and transformation of hydrogen; decarbonization activities; and promotion, design, construction, and operation of molecular recycling facilities. Further, the company produces synthetic oil cloths; and invests in liquefaction plant project. The company was formerly known as Repsol YPF, S.A. and changed its name to Repsol, S.A. in May 2012. Repsol, S.A. was founded in 1927 and is headquartered in Madrid, Spain.