Sasol (NYSE: SSL) and American Midstream Partners (NYSE:AMID) are both oils/energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their risk, dividends, profitability, earnings, valuation, institutional ownership and analyst recommendations.
Institutional & Insider Ownership
2.0% of Sasol shares are owned by institutional investors. Comparatively, 43.0% of American Midstream Partners shares are owned by institutional investors. 1.0% of Sasol shares are owned by insiders. Comparatively, 5.4% of American Midstream Partners shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Sasol and American Midstream Partners’ gross revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||Net Income||Earnings Per Share||Price/Earnings Ratio|
|Sasol||$12.68 billion||1.86||$1.50 billion||N/A||N/A|
|American Midstream Partners||$232.68 million||4.43||-$3.47 million||($0.76)||-18.82|
Sasol has higher revenue and earnings than American Midstream Partners.
This table compares Sasol and American Midstream Partners’ net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|American Midstream Partners||0.12%||-11.67%||-2.29%|
Sasol pays an annual dividend of $0.74 per share and has a dividend yield of 2.0%. American Midstream Partners pays an annual dividend of $1.65 per share and has a dividend yield of 11.5%. American Midstream Partners pays out -217.1% of its earnings in the form of a dividend.
Risk & Volatility
Sasol has a beta of 0.9, suggesting that its stock price is 10% less volatile than the S&P 500. Comparatively, American Midstream Partners has a beta of 0.96, suggesting that its stock price is 4% less volatile than the S&P 500.
This is a summary of recent ratings and price targets for Sasol and American Midstream Partners, as provided by MarketBeat.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|American Midstream Partners||0||2||0||0||2.00|
American Midstream Partners has a consensus price target of $15.00, indicating a potential upside of 4.90%. Given American Midstream Partners’ higher possible upside, analysts plainly believe American Midstream Partners is more favorable than Sasol.
American Midstream Partners beats Sasol on 8 of the 14 factors compared between the two stocks.
Sasol Limited is an international integrated chemicals and energy company. The Company develops and commercializes technologies, and builds and operates facilities to produce a range of product streams, including liquid fuels, chemicals and low-carbon electricity. The Company’s operating business units include Mining and, Exploration and Production International. Its Strategic Business Units are energy, base chemicals, performance chemicals and group functions. The Company’s regional operating hubs include Southern Africa Operations and International Operations. The Company operates approximately six coal mines that supply feedstock for its Secunda (Sasol Synfuels) and Sasolburg (Sasolburg Operations) complexes in South Africa. It offers market ready fuels and oils, such as bitumen; industrial heating fuels; naphtha and illuminating paraffin transport fuels; automotive lubricants; industrial lubricants; greases; cleansers and degreasers; automotive fuels, and burner fuels.
About American Midstream Partners
American Midstream Partners, LP owns, operates, develops and acquires a portfolio of midstream energy assets. The Company provides midstream infrastructure that links producers of natural gas, crude oil, natural gas liquids (NGLs), condensate and specialty chemicals to numerous intermediate and end-use markets. Its segments include gathering and processing, transmission and terminals. Through its segments, it is engaged in the business of gathering, treating, processing, and transporting natural gas; gathering, transporting, storing, treating and fractionating NGLs; gathering, storing and transporting crude oil and condensates, and storing specialty chemical products. Its gathering and processing assets are primarily located in the Permian Basin of West Texas; the Cotton Valley/Haynesville Shale of East Texas; the Eagle Ford Shale of South Texas; the Bakken Shale of North Dakota, and offshore in the Gulf of Mexico.
Receive News & Ratings for Sasol Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Sasol and related companies with MarketBeat.com's FREE daily email newsletter.