Critical Review: Callon Petroleum (NYSE:CPE) & MMEX Resources (OTCMKTS:MMEX)

MMEX Resources (OTCMKTS:MMEX) and Callon Petroleum (NYSE:CPE) are both energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their risk, analyst recommendations, dividends, profitability, valuation, institutional ownership and earnings.

Earnings & Valuation

This table compares MMEX Resources and Callon Petroleum’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
MMEX Resources	N/A	N/A	N/A	-0.11	0.00
Callon Petroleum	$2.34 billion	1.02	$401.20 million	$6.09	5.87

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

Analyst Recommendations

This is a summary of current ratings and target prices for MMEX Resources and Callon Petroleum, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MMEX Resources	0	0	0	0	N/A
Callon Petroleum	0	3	3	0	2.50

Callon Petroleum has a consensus target price of $40.33, suggesting a potential upside of 12.79%. Given Callon Petroleum’s higher probable upside, analysts clearly believe Callon Petroleum is more favorable than MMEX Resources.

Insider & Institutional Ownership

91.1% of Callon Petroleum shares are owned by institutional investors. 5.2% of MMEX Resources shares are owned by insiders. Comparatively, 1.8% of Callon Petroleum 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.

Profitability

This table compares MMEX Resources and Callon Petroleum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MMEX Resources	N/A	N/A	N/A
Callon Petroleum	17.12%	12.65%	7.14%

Summary

Callon Petroleum beats MMEX Resources on 9 of the 10 factors compared between the two stocks.

About MMEX Resources

MMEX Resources Corporation engages in the development, financing, construction, and operation of solar-powered modular refineries producing clean fuels, hydrogen, and carbon capture. It intends to produce green and/or blue hydrogen with the option of hydrogen conversion to ammonia or methanol. MMEX Resources Corporation was founded in 1986 and is based in Austin, Texas.

About Callon Petroleum

Callon Petroleum Company, an independent oil and natural gas company, focuses on the acquisition, exploration, and development of oil and natural gas properties in West Texas. Callon Petroleum Company was founded in 1950 and is headquartered in Houston, Texas.