Contrasting ARC Resources (OTCMKTS:AETUF) and Tamboran Resources (NYSE:TBN)

ARC Resources (OTCMKTS:AETUF) and Tamboran Resources (NYSE:TBN) are both oils/energy companies, but which is the better stock? We will compare the two companies based on the strength of their profitability, dividends, valuation, risk, institutional ownership, analyst recommendations and earnings.

Earnings & Valuation

This table compares ARC Resources and Tamboran Resources”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ARC Resources	$2.98 billion	3.74	$1.18 billion	$1.37	13.77
Tamboran Resources	N/A	N/A	-$21.92 million	N/A	N/A

ARC Resources has higher revenue and earnings than Tamboran Resources.

Profitability

This table compares ARC Resources and Tamboran Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ARC Resources	24.40%	14.61%	8.83%
Tamboran Resources	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current ratings and price targets for ARC Resources and Tamboran Resources, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ARC Resources	0	0	0	2	4.00
Tamboran Resources	0	1	4	0	2.80

Tamboran Resources has a consensus price target of $36.60, suggesting a potential upside of 50.02%. Given Tamboran Resources’ higher probable upside, analysts plainly believe Tamboran Resources is more favorable than ARC Resources.

Institutional and Insider Ownership

2.5% of ARC Resources shares are held by institutional investors. 0.3% of ARC Resources shares are held by insiders. Comparatively, 5.1% of Tamboran Resources shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

ARC Resources beats Tamboran Resources on 8 of the 11 factors compared between the two stocks.

About ARC Resources

ARC Resources Ltd. engages in the acquiring and developing crude oil, natural gas, condensate, and natural gas liquids in Canada. It primarily holds interests in the Montney basin located in Alberta and northeast British Columbia. ARC Resources Ltd. was founded in 1996 and is based in Calgary, Canada.

About Tamboran Resources

Tamboran Resources Corporation, a natural gas company, focuses on developing unconventional gas resources in the northern territory of Australia. Its assets include a 25% non-operated working interest in EP 161; a 38.75% working interest in EPs 76, 98, and 117; and a 100% working interest in EPs 136 and 143, as well as EP (A) 197, located in the Betaloo Basin. Tamboran Resources Corporation was founded in 2009 and is headquartered in Sydney, Australia.