Analyzing CNX Resources (NYSE:CNX) and Vital Energy (NYSE:VTLE)

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

Volatility & Risk

CNX Resources has a beta of 1.38, meaning that its stock price is 38% more volatile than the S&P 500. Comparatively, Vital Energy has a beta of 3.16, meaning that its stock price is 216% more volatile than the S&P 500.

Earnings and Valuation

This table compares CNX Resources and Vital Energy”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CNX Resources	$1.38 billion	3.94	$1.72 billion	$5.52	6.42
Vital Energy	$1.84 billion	0.55	$695.08 million	$24.13	1.14

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

Insider and Institutional Ownership

95.2% of CNX Resources shares are held by institutional investors. Comparatively, 86.5% of Vital Energy shares are held by institutional investors. 3.1% of CNX Resources shares are held by company insiders. Comparatively, 1.2% of Vital Energy shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
CNX Resources	26.64%	7.51%	3.69%
Vital Energy	13.97%	11.58%	5.76%

Analyst Ratings

This is a breakdown of recent ratings and target prices for CNX Resources and Vital Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CNX Resources	4	7	1	0	1.75
Vital Energy	3	5	4	0	2.08

CNX Resources currently has a consensus target price of $27.10, suggesting a potential downside of 23.51%. Vital Energy has a consensus target price of $47.83, suggesting a potential upside of 74.51%. Given Vital Energy’s stronger consensus rating and higher probable upside, analysts clearly believe Vital Energy is more favorable than CNX Resources.

Summary

Vital Energy beats CNX Resources on 8 of the 14 factors compared between the two stocks.

About CNX Resources

CNX Resources Corporation, an independent natural gas and midstream company, engages in the acquisition, exploration, development, and production of natural gas properties in the Appalachian Basin. The company operates in two segments, Shale and Coalbed Methane (CBM). It produces and sells pipeline quality natural gas primarily for gas wholesalers. The company owns rights to extract natural gas from shale properties in Pennsylvania, West Virginia, and Ohio, as well as rights to extract natural gas from other shale and shallow oil and gas formations in Illinois, Indiana, New York, and Virginia. It also owns rights to extract CBM in Virginia, West Virginia, Pennsylvania, Ohio, Illinois, Indiana, and New Mexico. In addition, the company designs, builds, and operates natural gas gathering systems to move gas from the wellhead to interstate pipelines or other local sales points; owns and operates approximately 2,600 miles of natural gas gathering pipelines, as well as various natural gas processing facilities. It also offers turn-key solutions for water sourcing, delivery, and disposal for its natural gas operations and for third parties. The company was formerly known as CONSOL Energy Inc. and changed its name to CNX Resources Corporation in November 2017. CNX Resources Corporation was founded in 1860 and is headquartered in Canonsburg, Pennsylvania.

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.