Financial Analysis: U.S. Energy (NASDAQ:USEG) & Pacific Coast Oil Trust (ROYT)

Share on StockTwits

Pacific Coast Oil Trust (NYSE:ROYT) and U.S. Energy (NASDAQ:USEG) are both small-cap oils/energy companies, but which is the better business? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, analyst recommendations, valuation and profitability.

Insider and Institutional Ownership

13.9% of Pacific Coast Oil Trust shares are owned by institutional investors. Comparatively, 2.6% of U.S. Energy shares are owned by institutional investors. 3.4% of U.S. Energy 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.

Dividends

Pacific Coast Oil Trust pays an annual dividend of $0.33 per share and has a dividend yield of 15.3%. U.S. Energy does not pay a dividend. Pacific Coast Oil Trust 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. Pacific Coast Oil Trust has increased its dividend for 2 consecutive years.

Analyst Ratings

This is a breakdown of current ratings and price targets for Pacific Coast Oil Trust and U.S. Energy, as reported by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Pacific Coast Oil Trust 0 0 0 0 N/A
U.S. Energy 0 0 0 0 N/A

Valuation & Earnings

This table compares Pacific Coast Oil Trust and U.S. Energy’s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Pacific Coast Oil Trust $54.18 million 1.54 $12.62 million $0.33 6.55
U.S. Energy $6.55 million 0.84 -$1.36 million N/A N/A

Pacific Coast Oil Trust has higher revenue and earnings than U.S. Energy.

Volatility & Risk

Pacific Coast Oil Trust has a beta of 2.27, indicating that its stock price is 127% more volatile than the S&P 500. Comparatively, U.S. Energy has a beta of -0.12, indicating that its stock price is 112% less volatile than the S&P 500.

Profitability

This table compares Pacific Coast Oil Trust and U.S. Energy’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Pacific Coast Oil Trust 21.05% 5.41% 5.41%
U.S. Energy -15.20% -8.04% -5.69%

Summary

Pacific Coast Oil Trust beats U.S. Energy on 10 of the 12 factors compared between the two stocks.

Pacific Coast Oil Trust Company Profile

Pacific Coast Oil Trust acquires and holds net profits and royalty interests in various oil and natural gas properties located in California. Its properties include Orcutt properties located in the Santa Maria Basin; and West Pico, East Coyote, and Sawtelle properties located in the Los Angeles Basin of California. As of December 31, 2018, the company had proved reserves of 19.0 million barrels of oil equivalent. Pacific Coast Oil Trust was founded in 2012 and is based in Houston, Texas.

U.S. Energy Company Profile

U.S. Energy Corp., an independent energy company, focuses on the acquisition and development of oil and gas producing properties in the continental United States. It holds interests in various oil and gas projects in Williston Basin of North Dakota; Dimmit County of Texas; and Coastal Louisiana. As of December 31, 2017, the company had estimated proved reserves of 824,115 barrels of oil equivalent. It has interests in oil and gas leases covering 4,744 net acres; and 13.89 net producing wells. The company was founded in 1966 and is based in Denver, Colorado.

Receive News & Ratings for Pacific Coast Oil Trust Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Pacific Coast Oil Trust and related companies with MarketBeat.com's FREE daily email newsletter.