Critical Survey: OPAL Fuels (OPAL) and The Competition

OPAL Fuels (NASDAQ:OPAL) is one of 1,051 publicly-traded companies in the “Oil, Gas & Consumable Fuels” industry, but how does it contrast to its rivals? We will compare OPAL Fuels to related businesses based on the strength of its analyst recommendations, profitability, valuation, institutional ownership, risk, earnings and dividends.

Institutional and Insider Ownership

12.2% of OPAL Fuels shares are owned by institutional investors. Comparatively, 30.7% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by institutional investors. 85.7% of OPAL Fuels shares are owned by insiders. Comparatively, 15.5% of shares of all “Oil, Gas & Consumable Fuels” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and target prices for OPAL Fuels and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OPAL Fuels	2	1	0	0	1.33
OPAL Fuels Competitors	5982	26994	40850	2423	2.52

OPAL Fuels presently has a consensus price target of $2.40, suggesting a potential upside of 65.52%. As a group, “Oil, Gas & Consumable Fuels” companies have a potential upside of 28.81%. Given OPAL Fuels’ higher probable upside, equities analysts plainly believe OPAL Fuels is more favorable than its rivals.

Risk and Volatility

OPAL Fuels has a beta of 0.82, suggesting that its stock price is 18% less volatile than the S&P 500. Comparatively, OPAL Fuels’ rivals have a beta of -3.75, suggesting that their average stock price is 475% less volatile than the S&P 500.

Earnings and Valuation

This table compares OPAL Fuels and its rivals top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
OPAL Fuels	$348.98 million	$14.75 million	-145.00
OPAL Fuels Competitors	$11.66 billion	$5.51 billion	-1.07

OPAL Fuels’ rivals have higher revenue and earnings than OPAL Fuels. OPAL Fuels is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares OPAL Fuels and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OPAL Fuels	0.65%	15.54%	0.22%
OPAL Fuels Competitors	-455.90%	20.13%	6.34%

Summary

OPAL Fuels rivals beat OPAL Fuels on 9 of the 13 factors compared.

About OPAL Fuels

OPAL Fuels Inc., together with its subsidiaries, engages in the production and distribution of renewable natural gas for use as a vehicle fuel for heavy and medium-duty trucking fleets. It also designs, develops, constructs, operates, and services fueling stations for trucking fleets that use natural gas to displace diesel as transportation fuel. In addition, it offers design, development, and construction services for hydrogen fueling stations. Further, the company engages in the generation and sale of renewable power to utilities. OPAL Fuels Inc. is based in White Plains, New York.