Mammoth Energy Services (NASDAQ:TUSK) vs. Weatherford International (NASDAQ:WFRD) Critical Analysis

Mammoth Energy Services (NASDAQ:TUSK) and Weatherford International (NASDAQ:WFRD) are both energy companies, but which is the better investment? We will contrast the two companies based on the strength of their risk, earnings, analyst recommendations, institutional ownership, valuation, dividends and profitability.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Mammoth Energy Services and Weatherford International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mammoth Energy Services	1	0	0	0	1.00
Weatherford International	0	3	8	1	2.83

Weatherford International has a consensus target price of $90.20, suggesting a potential upside of 12.27%. Given Weatherford International’s stronger consensus rating and higher probable upside, analysts clearly believe Weatherford International is more favorable than Mammoth Energy Services.

Volatility & Risk

Mammoth Energy Services has a beta of 1.3, suggesting that its stock price is 30% more volatile than the S&P 500. Comparatively, Weatherford International has a beta of 0.79, suggesting that its stock price is 21% less volatile than the S&P 500.

Profitability

This table compares Mammoth Energy Services and Weatherford International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mammoth Energy Services	-13.47%	-25.09%	-17.48%
Weatherford International	8.15%	28.28%	7.85%

Earnings & Valuation

This table compares Mammoth Energy Services and Weatherford International”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mammoth Energy Services	$187.93 million	0.45	-$207.33 million	($0.41)	-4.32
Weatherford International	$4.97 billion	1.16	$506.00 million	$5.52	14.55

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

Institutional & Insider Ownership

79.7% of Mammoth Energy Services shares are held by institutional investors. Comparatively, 97.2% of Weatherford International shares are held by institutional investors. 2.1% of Mammoth Energy Services shares are held by company insiders. Comparatively, 2.1% of Weatherford International shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Summary

Weatherford International beats Mammoth Energy Services on 13 of the 15 factors compared between the two stocks.

About Mammoth Energy Services

Mammoth Energy Services, Inc. operates as an energy services company in the United States, Canada, and internationally. The company operates in four segments: Well Completion Services, Infrastructure Services, Natural Sand Proppant Services, and Drilling Services. The company offers pressure pumping and hydraulic fracturing, sand hauling, and water transfer services; and master services agreements. It also provides a range of services on electric transmission and distribution, and networks and substation facilities, including engineering, design, construction, upgrade, maintenance, and repair of high voltage transmission lines, substations, and lower voltage overhead and underground distribution systems; storm repair and restoration services; and commercial services comprising installation, maintenance, and repair of commercial wiring. In addition, the company mines, processes, and sells natural sand proppant used for hydraulic fracturing; buys processed sand from suppliers on the spot market for resale; and provides logistics solutions to facilitate delivery of frac sand products. Further, it offers contract land and directional drilling services; and rig moving services. Additionally, the company offers aviation services, equipment rental, remote accommodation, and equipment manufacturing services. It serves government-funded, private, public investor-owned, and co-operative utilities; independent oil and natural gas producers; and land-based drilling contractors. The company was formerly known as Mammoth Energy Partners LP and changed its name to Mammoth Energy Services, Inc. in October 2016. Mammoth Energy Services, Inc. was founded in 2014 and is headquartered in Oklahoma City, Oklahoma.

About Weatherford International

Weatherford International plc, an energy services company, provides equipment and services for the drilling, evaluation, completion, production, and intervention of oil, geothermal, and natural gas wells worldwide. The company operates through three segments: Drilling and Evaluation; Well Construction and Completions; and Production and Intervention. It offers artificial lift systems, including reciprocating rod, progressing cavity pumping, gas, hydraulic, plunger, and hybrid lift systems, as well as related automation and control systems; pressure pumping and reservoir stimulation services, such as acidizing, fracturing, cementing, and coiled-tubing intervention; and software, automation and flow measurement solutions. The company also provides safety, downhole reservoir monitoring, flow control, and multistage fracturing systems, as well as sand-control technologies, and production and isolation packers; liner hangers to suspend a casing string in high-temperature and high-pressure wells; cementing products, including plugs, float and stage equipment, and torque-and-drag reduction technology for zonal isolation; and pre-job planning and installation services. In addition, it offers directional drilling services, and logging and measurement services while drilling; services related to rotary-steerable systems, high temperature and high pressure sensors, drilling reamers, and circulation subs; rotating control devices and advanced automated control systems, as well as closed loop drilling, air drilling, managed-pressure drilling, and underbalanced drilling services; open-hole and cased-hole logging services; and intervention and remediation services. Further, it provides tubular handling, management, and connection services; and re-entry, fishing, and well abandonment services, as well as patented bottom hole, tubular-handling equipment, pressure-control equipment, and drill pipe and collars. The company was incorporated in 1972 and is based in Houston, Texas.