China Coal Energy (OTCMKTS:CCOZY) & China Shenhua Energy (OTCMKTS:CSUAY) Head-To-Head Survey

China Coal Energy (OTCMKTS:CCOZY) and China Shenhua Energy (OTCMKTS:CSUAY) are both large-cap energy companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, dividends, earnings, risk, profitability, analyst recommendations and institutional ownership.

Profitability

This table compares China Coal Energy and China Shenhua Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
China Coal Energy	N/A	N/A	N/A
China Shenhua Energy	17.88%	10.69%	7.91%

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for China Coal Energy and China Shenhua Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
China Coal Energy	1	0	0	0	1.00
China Shenhua Energy	1	1	0	0	1.50

China Shenhua Energy has a consensus price target of $32.50, indicating a potential upside of 42.17%. Given China Shenhua Energy’s stronger consensus rating and higher possible upside, analysts clearly believe China Shenhua Energy is more favorable than China Coal Energy.

Earnings & Valuation

This table compares China Coal Energy and China Shenhua Energy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
China Coal Energy	$26.35 billion	0.69	$2.53 billion	$3.98	6.91
China Shenhua Energy	$47.07 billion	2.41	$8.68 billion	$1.48	15.45

China Shenhua Energy has higher revenue and earnings than China Coal Energy. China Coal Energy is trading at a lower price-to-earnings ratio than China Shenhua Energy, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

China Coal Energy has a beta of -0.21, indicating that its share price is 121% less volatile than the S&P 500. Comparatively, China Shenhua Energy has a beta of 0.26, indicating that its share price is 74% less volatile than the S&P 500.

Dividends

China Coal Energy pays an annual dividend of $0.71 per share and has a dividend yield of 2.6%. China Shenhua Energy pays an annual dividend of $1.48 per share and has a dividend yield of 6.5%. China Coal Energy pays out 17.8% of its earnings in the form of a dividend. China Shenhua Energy pays out 100.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

China Shenhua Energy beats China Coal Energy on 11 of the 13 factors compared between the two stocks.

About China Coal Energy

China Coal Energy Company Limited primarily engages in the coal production and trading and coal chemical businesses in the People's Republic of China and internationally. The company offers polyolefin, methanol, urea, and other coal chemical products. It is also involved in the coal mining equipment manufacturing, pithead power generation, and other activities. The company was founded in 2006 and is based in Beijing, the People's Republic of China. China Coal Energy Company Limited operates as a subsidiary of China National Coal Group Co., Ltd.

About China Shenhua Energy

China Shenhua Energy Company Limited, together with its subsidiaries, engages in the production and sale of coal and power; railway, port, and shipping transportation; and coal-to-olefins businesses in the People's Republic of China and internationally. It operates through six segments: Coal, Power Generation, Railway, Port, Shipping, and Coal Chemical. The Coal segment produces coal from surface and underground mines; and sells coal to power plants and metallurgical and coal chemical producers. The Power segment generates electric power through thermal, wind, water, and gas; and sells electric power to power grid companies. The Railway segment provides railway transportation services. The Port segment offers loading, transportation, and storage services. The Shipping segment provides shipment transportation services. The Coal Chemical segment produces and sells methanol; and polyethylene and polypropylene, as well as other by-products. The company was incorporated in 2004 and is based in Beijing, the People's Republic of China. China Shenhua Energy Company Limited operates as a subsidiary of China Energy Investment Corporation Limited.