Reviewing SilverBow Resources (NYSE:SBOW) & Groove Botanicals (OTCMKTS:GRVE)

SilverBow Resources (NYSE:SBOW) and Groove Botanicals (OTCMKTS:GRVE) are both small-cap oils/energy companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, profitability, valuation, analyst recommendations, earnings, risk and institutional ownership.

Analyst Ratings

This is a summary of recent ratings for SilverBow Resources and Groove Botanicals, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SilverBow Resources	0	4	3	0	2.43
Groove Botanicals	0	0	0	0	N/A

SilverBow Resources presently has a consensus price target of $45.33, suggesting a potential upside of 23.12%. Given SilverBow Resources’ higher probable upside, equities research analysts clearly believe SilverBow Resources is more favorable than Groove Botanicals.

Profitability

This table compares SilverBow Resources and Groove Botanicals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SilverBow Resources	24.41%	16.48%	7.66%
Groove Botanicals	N/A	N/A	N/A

Institutional and Insider Ownership

91.8% of SilverBow Resources shares are held by institutional investors. 4.0% of SilverBow Resources shares are held by insiders. Comparatively, 55.1% of Groove Botanicals shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility and Risk

SilverBow Resources has a beta of 2.58, meaning that its stock price is 158% more volatile than the S&P 500. Comparatively, Groove Botanicals has a beta of 1.48, meaning that its stock price is 48% more volatile than the S&P 500.

Valuation & Earnings

This table compares SilverBow Resources and Groove Botanicals’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SilverBow Resources	$652.36 million	1.44	$297.72 million	$7.40	4.98
Groove Botanicals	N/A	N/A	N/A	N/A	N/A

SilverBow Resources has higher revenue and earnings than Groove Botanicals.

Summary

SilverBow Resources beats Groove Botanicals on 8 of the 9 factors compared between the two stocks.

About SilverBow Resources

SilverBow Resources, Inc., an independent oil and gas company, exploration, develops, acquires, and operates oil and natural gas properties in the Eagle Ford shale and Austin Chalk located in South Texas. The company was formerly known as Swift Energy Company and changed its name to SilverBow Resources, Inc. in May 2017. SilverBow Resources, Inc. was founded in 1979 and is headquartered in Houston, Texas.

About Groove Botanicals

Groove Botanicals, Inc. operates as an independent oil and gas producer. It also focuses on assembling a portfolio of EV battery technologies. The company was formerly known as Avalon Oil & Gas, Inc. and changed its name to Groove Botanicals, Inc. in May 2018. Groove Botanicals, Inc. was incorporated in 1991 and is headquartered in Minneapolis, Minnesota.