Teekay (NYSE:TK – Get Free Report) and TotalEnergies (NYSE:TTE – Get Free Report) are both energy companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, risk, valuation, dividends, institutional ownership, profitability and analyst recommendations.
Valuation & Earnings
This table compares Teekay and TotalEnergies”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Teekay | $1.15 billion | 0.89 | $98.11 million | $2.08 | 5.66 |
| TotalEnergies | $201.20 billion | 1.04 | $13.13 billion | $7.99 | 10.96 |
Profitability
This table compares Teekay and TotalEnergies’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Teekay | 15.78% | 7.91% | 7.26% |
| TotalEnergies | 8.29% | 15.66% | 6.35% |
Institutional and Insider Ownership
46.7% of Teekay shares are owned by institutional investors. Comparatively, 16.5% of TotalEnergies shares are owned by institutional investors. 2.4% of Teekay 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.
Volatility and Risk
Teekay has a beta of 0.23, indicating that its share price is 77% less volatile than the S&P 500. Comparatively, TotalEnergies has a beta of 0.14, indicating that its share price is 86% less volatile than the S&P 500.
Dividends
Teekay pays an annual dividend of $0.25 per share and has a dividend yield of 2.1%. TotalEnergies pays an annual dividend of $0.74 per share and has a dividend yield of 0.8%. Teekay pays out 12.0% of its earnings in the form of a dividend. TotalEnergies pays out 9.3% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Teekay has increased its dividend for 1 consecutive years. Teekay is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Analyst Recommendations
This is a summary of recent ratings and target prices for Teekay and TotalEnergies, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Teekay | 0 | 0 | 1 | 0 | 3.00 |
| TotalEnergies | 1 | 7 | 11 | 0 | 2.53 |
TotalEnergies has a consensus price target of $87.14, indicating a potential downside of 0.53%. Given TotalEnergies’ higher probable upside, analysts plainly believe TotalEnergies is more favorable than Teekay.
Summary
TotalEnergies beats Teekay on 9 of the 17 factors compared between the two stocks.
About Teekay
Teekay Corporation engages in the international crude oil and other marine transportation services worldwide. The company owns and operates crude oil and refined product tankers. It also provides ship-to-ship support services; tanker commercial management operation services; and operational and maintenance marine services. As of March 1, 2024, the company operated a fleet of approximately 53 owned and chartered-in vessels. It serves energy and utility companies, major oil traders, large oil consumers and petroleum product producers, government agencies, and various other entities that depend upon marine transportation. Teekay Corporation was founded in 1973 and is headquartered in Hamilton, Bermuda.
About TotalEnergies
TotalEnergies SE, a multi-energy company, produces and markets oil and biofuels, natural gas, green gases, renewables, and electricity in France, rest of Europe, North America, Africa, and internationally. It operates through five segments: Exploration & Production, Integrated LNG, Integrated Power, Refining & Chemicals, and Marketing & Services. The Exploration & Production segment is involved in the exploration and production of oil and natural gas. The Integrated LNG segment comprises the integrated gas chain, including upstream and midstream liquified natural gas (LNG) activities, as well as biogas, hydrogen, and gas trading activities. The Integrated Power segment includes generation, storage, electricity trading, and B2B-B2C distribution of gas and electricity. The Refining & Chemicals segment consists of refining, petrochemicals, and specialty chemicals. This segment also includes oil supply, trading, and marine shipping activities. The Marketing & Services segment supplies and markets petroleum products. The company was formerly known as TOTAL SE and changed its name to TotalEnergies SE in June 2021. TotalEnergies SE was founded in 1924 and is headquartered in Courbevoie, France.
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