Analyzing Vital Energy (NYSE:VTLE) and Excelerate Energy (NYSE:EE)

Excelerate Energy (NYSE:EE) and Vital Energy (NYSE:VTLE) are both energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their valuation, risk, dividends, institutional ownership, analyst recommendations, profitability and earnings.

Profitability

This table compares Excelerate Energy and Vital Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Excelerate Energy	3.46%	4.34%	2.55%
Vital Energy	-69.28%	13.40%	5.79%

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Excelerate Energy and Vital Energy, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Excelerate Energy	0	4	4	1	2.67
Vital Energy	4	7	1	0	1.75

Excelerate Energy currently has a consensus price target of $31.71, suggesting a potential upside of 12.85%. Vital Energy has a consensus price target of $27.22, suggesting a potential upside of 50.31%. Given Vital Energy’s higher probable upside, analysts plainly believe Vital Energy is more favorable than Excelerate Energy.

Valuation and Earnings

This table compares Excelerate Energy and Vital Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Excelerate Energy	$851.44 million	3.76	$32.88 million	$1.44	19.52
Vital Energy	$1.95 billion	0.36	-$173.52 million	($34.87)	-0.52

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

Institutional and Insider Ownership

21.8% of Excelerate Energy shares are owned by institutional investors. Comparatively, 86.5% of Vital Energy shares are owned by institutional investors. 1.8% of Excelerate Energy shares are owned by company insiders. Comparatively, 1.2% of Vital Energy shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Excelerate Energy has a beta of 1.36, meaning that its share price is 36% more volatile than the S&P 500. Comparatively, Vital Energy has a beta of 1.12, meaning that its share price is 12% more volatile than the S&P 500.

Summary

Excelerate Energy beats Vital Energy on 10 of the 15 factors compared between the two stocks.

About Excelerate Energy

Excelerate Energy, Inc. provides flexible liquefied natural gas (LNG) solutions worldwide. The company offers regasification services, including floating storage and regasification units (FSRUs), infrastructure development, and LNG and natural gas supply, procurement, and distribution services; LNG terminal services; and natural gas supply to-power projects. Excelerate Energy, Inc. was founded in 2003 and is headquartered in The Woodlands, Texas. Excelerate Energy, Inc. is a subsidiary of Excelerate Energy Holdings, LLC.

About Vital Energy

Vital Energy, Inc., an independent energy company, engages in the acquisition, exploration, and development of oil and natural gas properties in the Permian Basin of West Texas, the United States. The company was formerly known as Laredo Petroleum, Inc. and changed its name to Vital Energy, Inc. in January 2023. Vital Energy, Inc. was founded in 2006 and is headquartered in Tulsa, Oklahoma.