Reviewing Murphy Oil (NYSE:MUR) & Topaz Resources (OTCMKTS:TOPZ)

Topaz Resources (OTCMKTS:TOPZ) and Murphy Oil (NYSE:MUR) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, earnings, valuation, dividends, risk, profitability and institutional ownership.

Valuation & Earnings

This table compares Topaz Resources and Murphy Oil”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Topaz Resources	N/A	N/A	N/A	N/A	N/A
Murphy Oil	$3.03 billion	1.54	$407.17 million	$0.98	33.44

Murphy Oil has higher revenue and earnings than Topaz Resources.

Profitability

This table compares Topaz Resources and Murphy Oil’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Topaz Resources	N/A	N/A	N/A
Murphy Oil	5.16%	4.30%	2.34%

Institutional and Insider Ownership

78.3% of Murphy Oil shares are owned by institutional investors. 6.5% of Murphy Oil shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Risk & Volatility

Topaz Resources has a beta of -1.03, suggesting that its stock price is 203% less volatile than the S&P 500. Comparatively, Murphy Oil has a beta of 0.78, suggesting that its stock price is 22% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Topaz Resources and Murphy Oil, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Topaz Resources	0	0	0	0	0.00
Murphy Oil	2	13	0	0	1.87

Murphy Oil has a consensus price target of $29.58, indicating a potential downside of 9.74%. Given Topaz Resources’ higher possible upside, equities analysts plainly believe Topaz Resources is more favorable than Murphy Oil.

Summary

Murphy Oil beats Topaz Resources on 8 of the 9 factors compared between the two stocks.

About Topaz Resources

Topaz Resources, Inc. operates as an independent oil and gas company. It focuses on production, acquisition, and developmental drilling opportunities within proven producing areas of north, central, and west Texas. The company was formerly known as Kids Germ Defense Corp. and changed its name to Topaz Resources, Inc. in April 2010. Topaz Resources, Inc. was founded in 2009 and is headquartered in Denton, Texas.

About Murphy Oil

Murphy Oil Corporation, together with its subsidiaries, operates as an oil and gas exploration and production company in the United States, Canada, and internationally. It explores for and produces crude oil, natural gas, and natural gas liquids. The company was formerly known as Murphy Corporation and changed its name to Murphy Oil Corporation in 1964. The company was incorporated in 1950 and is headquartered in Houston, Texas.