Contrasting TC Energy (NYSE:TRP) and BKV (NYSE:BKV)

BKV (NYSE:BKV) and TC Energy (NYSE:TRP) are both energy companies, but which is the better investment? We will compare the two businesses based on the strength of their earnings, risk, dividends, valuation, institutional ownership, profitability and analyst recommendations.

Earnings & Valuation

This table compares BKV and TC Energy”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BKV	$580.98 million	4.31	-$142.87 million	$0.52	49.68
TC Energy	$10.05 billion	5.56	$3.43 billion	$2.32	23.16

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

Volatility & Risk

BKV has a beta of 1.57, indicating that its share price is 57% more volatile than the S&P 500. Comparatively, TC Energy has a beta of 0.7, indicating that its share price is 30% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and target prices for BKV and TC Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BKV	0	1	6	1	3.00
TC Energy	0	3	7	2	2.92

BKV currently has a consensus price target of $31.17, suggesting a potential upside of 20.65%. TC Energy has a consensus price target of $84.00, suggesting a potential upside of 56.34%. Given TC Energy’s higher probable upside, analysts plainly believe TC Energy is more favorable than BKV.

Profitability

This table compares BKV and TC Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BKV	5.67%	6.91%	4.59%
TC Energy	23.86%	10.61%	3.16%

Insider and Institutional Ownership

83.1% of TC Energy shares are held by institutional investors. 4.1% of BKV shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

TC Energy beats BKV on 10 of the 15 factors compared between the two stocks.

About BKV

BKV Corporation engages in the acquisition, operation, and development of natural gas and NGL properties. It is also involved in the gathering, processing, and transportation of natural gas. The company was founded in 2015 and is based in Denver, Colorado with additional offices in Tunkhannock, Pennsylvania and Fort Worth, Texas. BKV Corporation, LLC operates as a subsidiary of Banpu North America Corporation.

About TC Energy

TC Energy Corporation operates as an energy infrastructure company in North America. It operates through five segments: Canadian Natural Gas Pipelines; U.S. Natural Gas Pipelines; Mexico Natural Gas Pipelines; Liquids Pipelines; and Power and Energy Solutions. The company builds and operates a network of 93,600 kilometers of natural gas pipelines, which transports natural gas from supply basins to local distribution companies, power generation plants, industrial facilities, interconnecting pipelines, LNG export terminals, and other businesses. It also has regulated natural gas storage facilities with a total working gas capacity of 532 billion cubic feet. In addition, it has approximately 4,900 kilometers of liquids pipeline system that connects Alberta crude oil pipeline to refining markets in Illinois, Oklahoma, Texas, and the United States Gulf Coast. Further, the company owns or has interests in power generation facilities with approximately 4,600 megawatts; and owns and operates approximately 118 billion cubic feet of non-regulated natural gas storage facilities in in Alberta, Ontario, Québec, and New Brunswick. The company was formerly known as TransCanada Corporation and changed its name to TC Energy Corporation in May 2019. TC Energy Corporation was founded in 1951 and is headquartered in Calgary, Canada.