Head-To-Head Review: Mach Natural Resources (NYSE:MNR) vs. Range Resources (NYSE:RRC)

Mach Natural Resources (NYSE:MNR) and Range Resources (NYSE:RRC) are both mid-cap energy companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, dividends, profitability, risk and valuation.

Dividends

Mach Natural Resources pays an annual dividend of $2.12 per share and has a dividend yield of 15.0%. Range Resources pays an annual dividend of $0.40 per share and has a dividend yield of 1.0%. Mach Natural Resources pays out 275.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Range Resources pays out 10.6% of its earnings in the form of a dividend. Mach Natural Resources has increased its dividend for 1 consecutive years and Range Resources has increased its dividend for 1 consecutive years.

Earnings and Valuation

This table compares Mach Natural Resources and Range Resources”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mach Natural Resources	$1.18 billion	2.02	$142.98 million	$0.77	18.33
Range Resources	$3.12 billion	3.11	$658.02 million	$3.78	10.88

Range Resources has higher revenue and earnings than Mach Natural Resources. Range Resources is trading at a lower price-to-earnings ratio than Mach Natural Resources, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Mach Natural Resources and Range Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mach Natural Resources	7.46%	18.46%	9.76%
Range Resources	26.09%	18.64%	11.04%

Risk and Volatility

Mach Natural Resources has a beta of -0.33, suggesting that its stock price is 133% less volatile than the S&P 500. Comparatively, Range Resources has a beta of 0.46, suggesting that its stock price is 54% less volatile than the S&P 500.

Insider and Institutional Ownership

78.4% of Mach Natural Resources shares are owned by institutional investors. Comparatively, 98.9% of Range Resources shares are owned by institutional investors. 87.8% of Mach Natural Resources shares are owned by insiders. Comparatively, 1.1% of Range Resources shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of recent ratings and price targets for Mach Natural Resources and Range Resources, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mach Natural Resources	0	3	2	3	3.00
Range Resources	1	13	4	2	2.35

Mach Natural Resources currently has a consensus target price of $18.50, indicating a potential upside of 31.10%. Range Resources has a consensus target price of $43.41, indicating a potential upside of 5.52%. Given Mach Natural Resources’ stronger consensus rating and higher possible upside, equities analysts clearly believe Mach Natural Resources is more favorable than Range Resources.

Summary

Range Resources beats Mach Natural Resources on 11 of the 17 factors compared between the two stocks.

About Mach Natural Resources

Mach Natural Resources LP, an independent upstream oil and gas company, focuses on the acquisition, development, and production of oil, natural gas, and natural gas liquids reserves in the Anadarko Basin region of Western Oklahoma, Southern Kansas, and the panhandle of Texas. It also owns a portfolio of midstream assets, as well as owns plants and water infrastructure. The company was incorporated in 2023 and is headquartered in Oklahoma City, Oklahoma.

About Range Resources

Range Resources Corporation operates as an independent natural gas, natural gas liquids (NGLs), crude oil, and condensate company in the United States. The company engages in the exploration, development, and acquisition of natural gas and crude oil properties located in the Appalachian region. It sells natural gas to utilities, marketing and midstream companies, and industrial users; NGLs to petrochemical end users, marketers/traders, and natural gas processors; and oil and condensate to crude oil processors, transporters, and refining and marketing companies. The company was formerly known as Lomak Petroleum Inc. and changed its name to Range Resources Corporation in August 1998. Range Resources Corporation was founded in 1976 and is headquartered in Fort Worth, Texas.