CNX Resources (NYSE:CNX) vs. Chord Energy (NASDAQ:CHRD) Critical Analysis

CNX Resources (NYSE:CNX) and Chord Energy (NASDAQ:CHRD) are both mid-cap energy companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, risk, valuation, institutional ownership, profitability and dividends.

Dividends

CNX Resources pays an annual dividend of $0.13 per share and has a dividend yield of 0.3%. Chord Energy pays an annual dividend of $5.20 per share and has a dividend yield of 3.9%. CNX Resources pays out 3.4% of its earnings in the form of a dividend. Chord Energy pays out 825.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Chord Energy has raised its dividend for 1 consecutive years. Chord Energy is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Valuation and Earnings

This table compares CNX Resources and Chord Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CNX Resources	$2.14 billion	2.69	$633.16 million	$3.68	11.00
Chord Energy	$4.88 billion	1.53	$44.46 million	$0.63	209.38

CNX Resources has higher earnings, but lower revenue than Chord Energy. CNX Resources is trading at a lower price-to-earnings ratio than Chord Energy, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares CNX Resources and Chord Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CNX Resources	28.28%	9.29%	4.21%
Chord Energy	0.91%	6.71%	4.26%

Institutional and Insider Ownership

95.2% of CNX Resources shares are owned by institutional investors. Comparatively, 97.8% of Chord Energy shares are owned by institutional investors. 3.1% of CNX Resources shares are owned by insiders. Comparatively, 0.7% of Chord Energy shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings for CNX Resources and Chord Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CNX Resources	4	7	1	0	1.75
Chord Energy	0	6	8	0	2.57

CNX Resources presently has a consensus price target of $34.78, indicating a potential downside of 14.11%. Chord Energy has a consensus price target of $131.27, indicating a potential downside of 0.48%. Given Chord Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Chord Energy is more favorable than CNX Resources.

Risk & Volatility

CNX Resources has a beta of 0.66, indicating that its share price is 34% less volatile than the S&P 500. Comparatively, Chord Energy has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500.

Summary

Chord Energy beats CNX Resources on 10 of the 17 factors compared between the two stocks.

About CNX Resources

CNX Resources Corporation, an independent natural gas and midstream company, engages in the acquisition, exploration, development, and production of natural gas properties in the Appalachian Basin. The company operates in two segments, Shale and Coalbed Methane (CBM). It produces and sells pipeline quality natural gas primarily for gas wholesalers. The company owns rights to extract natural gas from shale properties in Pennsylvania, West Virginia, and Ohio, as well as rights to extract natural gas from other shale and shallow oil and gas formations in Illinois, Indiana, New York, and Virginia. It also owns rights to extract CBM in Virginia, West Virginia, Pennsylvania, Ohio, Illinois, Indiana, and New Mexico. In addition, the company designs, builds, and operates natural gas gathering systems to move gas from the wellhead to interstate pipelines or other local sales points; owns and operates approximately 2,600 miles of natural gas gathering pipelines, as well as various natural gas processing facilities. It also offers turn-key solutions for water sourcing, delivery, and disposal for its natural gas operations and for third parties. The company was formerly known as CONSOL Energy Inc. and changed its name to CNX Resources Corporation in November 2017. CNX Resources Corporation was founded in 1860 and is headquartered in Canonsburg, Pennsylvania.

About Chord Energy

Chord Energy Corporation operates as an independent exploration and production company in the United States. It acquires, explores, develops, and produces crude oil, natural gas, and natural gas liquids in the Williston Basin. The company sells its products to refiners, marketers, and other purchasers that have access to nearby pipeline and rail facilities. The company was formerly known as Oasis Petroleum Inc. and changed its name to Chord Energy Corporation in July 2022. Chord Energy Corporation was founded in 2007 and is headquartered in Houston, Texas.