Comparing Tenaris (NYSE:TS) & Atlas Energy Solutions (NYSE:AESI)

Atlas Energy Solutions (NYSE:AESI) and Tenaris (NYSE:TS) are both energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, valuation, risk, earnings and dividends.

Profitability

This table compares Atlas Energy Solutions and Tenaris’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Atlas Energy Solutions	-12.98%	-12.38%	-5.87%
Tenaris	16.24%	11.53%	9.66%

Institutional & Insider Ownership

34.6% of Atlas Energy Solutions shares are owned by institutional investors. Comparatively, 10.4% of Tenaris shares are owned by institutional investors. 16.4% of Atlas Energy Solutions shares are owned by insiders. Comparatively, 0.2% of Tenaris shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Atlas Energy Solutions and Tenaris, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Atlas Energy Solutions	3	3	6	0	2.25
Tenaris	0	5	5	2	2.75

Atlas Energy Solutions presently has a consensus target price of $15.80, indicating a potential upside of 194.94%. Tenaris has a consensus target price of $65.09, indicating a potential upside of 6.30%. Given Atlas Energy Solutions’ higher possible upside, equities analysts clearly believe Atlas Energy Solutions is more favorable than Tenaris.

Valuation and Earnings

This table compares Atlas Energy Solutions and Tenaris”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Atlas Energy Solutions	$1.10 billion	0.61	-$50.30 million	($1.12)	-4.78
Tenaris	$11.98 billion	2.58	$1.93 billion	$3.90	15.70

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

Risk and Volatility

Atlas Energy Solutions has a beta of 1.29, meaning that its share price is 29% more volatile than the S&P 500. Comparatively, Tenaris has a beta of 0.89, meaning that its share price is 11% less volatile than the S&P 500.

Summary

Tenaris beats Atlas Energy Solutions on 10 of the 15 factors compared between the two stocks.

About Atlas Energy Solutions

Atlas Energy Solutions Inc. is a U.S. energy-services company that supplies proppant, primarily frac sand, used in hydraulic fracturing. The company mines, processes and distributes sand for oil and natural gas operators. Atlas also provides logistics services to move proppant from its facilities to well sites, including transportation and storage. Its operations are focused on the Permian Basin in West Texas and southeastern New Mexico, a major oil and gas producing region. Founded in 2017, the company has developed an integrated supply and logistics network serving energy producers in the region.

About Tenaris

Tenaris S.A. is a global manufacturer and supplier of steel pipe products and related services, with a primary focus on the energy industry. Its products include casing and tubing used in oil and gas wells, line pipe for transporting fluids, and other tubular products for industrial applications. The company also provides services such as pipe processing, engineering support, logistics, and assistance at drilling sites. Tenaris serves customers across a broad range of international markets, including the Americas, Europe, the Middle East, Africa, and Asia.