Contrasting Allied Resources (OTCMKTS:ALOD) and Sable Offshore (NYSE:SOC)

Allied Resources (OTCMKTS:ALOD) and Sable Offshore (NYSE:SOC) are both small-cap oils/energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, analyst recommendations, dividends, earnings and institutional ownership.

Profitability

This table compares Allied Resources and Sable Offshore’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Allied Resources	13.53%	1.60%	1.38%
Sable Offshore	N/A	N/A	-42.39%

Risk & Volatility

Allied Resources has a beta of 0.57, indicating that its stock price is 43% less volatile than the S&P 500. Comparatively, Sable Offshore has a beta of 0.03, indicating that its stock price is 97% less volatile than the S&P 500.

Earnings and Valuation

This table compares Allied Resources and Sable Offshore’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Allied Resources	$560,000.00	1.39	-$90,000.00	N/A	N/A
Sable Offshore	N/A	N/A	-$32.18 million	N/A	N/A

Allied Resources has higher revenue and earnings than Sable Offshore.

Insider and Institutional Ownership

26.2% of Sable Offshore shares are owned by institutional investors. 14.3% of Sable Offshore shares are owned by company 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.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Allied Resources and Sable Offshore, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Allied Resources	0	0	0	0	N/A
Sable Offshore	0	0	1	0	3.00

Sable Offshore has a consensus target price of $20.00, suggesting a potential upside of 90.66%. Given Sable Offshore’s higher possible upside, analysts plainly believe Sable Offshore is more favorable than Allied Resources.

Summary

Allied Resources beats Sable Offshore on 6 of the 10 factors compared between the two stocks.

About Allied Resources

Allied Resources, Inc., an independent oil and natural gas producer, engages in the exploration, development, production, and sale of oil and gas in the United States. It owns varying interests in a total of 145 wells situated on acreage of approximately 3,400 acres in Ritchie and Calhoun counties, West Virginia; and 10 wells situated on acreage of approximately 2,510 acres in Goliad, Edwards, and Jackson counties, Texas. The company was formerly known as General Allied Oil and Gas Co and changed its name to Allied Resources, Inc. in August 1998. Allied Resources, Inc. was founded in 1979 and is based in Salt Lake City, Utah.

About Sable Offshore

Sable Offshore Corp. engages in the oil and gas exploration and development activities in the United States. It operates through three platforms located offshore California and an onshore processing facility comprised of 16 federal leases across approximately 76,000 acres. The company was formerly known as Flame Acquisition Corp. and changed its name to Sable Offshore Corp. in February 2024. Sable Offshore Corp. was incorporated in 2020 and is based in Houston, Texas.