Critical Comparison: Viper Energy (NASDAQ:VNOM) vs. Pilgrim Petroleum (OTCMKTS:PGPM)

Viper Energy (NASDAQ:VNOM) and Pilgrim Petroleum (OTCMKTS:PGPM) are both oils/energy companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, earnings, valuation, profitability, risk and dividends.

Analyst Ratings

This is a breakdown of current ratings and price targets for Viper Energy and Pilgrim Petroleum, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Viper Energy	0	0	7	0	3.00
Pilgrim Petroleum	0	0	0	0	N/A

Viper Energy currently has a consensus price target of $43.86, suggesting a potential downside of 6.35%.

Earnings & Valuation

This table compares Viper Energy and Pilgrim Petroleum’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Viper Energy	$827.70 million	10.01	$200.09 million	$2.72	17.22
Pilgrim Petroleum	N/A	N/A	N/A	N/A	N/A

Viper Energy has higher revenue and earnings than Pilgrim Petroleum.

Profitability

This table compares Viper Energy and Pilgrim Petroleum’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Viper Energy	25.63%	8.46%	6.20%
Pilgrim Petroleum	N/A	N/A	N/A

Insider and Institutional Ownership

87.7% of Viper Energy shares are held by institutional investors. 0.3% of Viper Energy shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Viper Energy beats Pilgrim Petroleum on 7 of the 7 factors compared between the two stocks.

About Viper Energy

Viper Energy, Inc. owns and acquires mineral and royalty interests in oil and natural gas properties in the Permian Basin, North America. Viper Energy Partners GP LLC operates as the general partner of the company. The company was formerly known as Viper Energy Partners LP and changed its name to Viper Energy, Inc. in November 2023. The company was founded in 2013 and is based in Midland, Texas. Viper Energy, Inc. is a subsidiary of Diamondback Energy, Inc.

About Pilgrim Petroleum

Pilgrim Petroleum Corporation, an oil and gas exploration and development company, engages in the acquisition, development, and operation of crude oil and natural gas properties with proven reserves in the United States. The company holds interests in various projects located in Northwest Texas; the Electra Rework prospect located in Wichita and Willbarger Counties, Texas; and the City National Bank Discovery Well prospect located in Archer County, Texas. It also provides services to small and medium exploration and development companies. The company was formerly known as BNP Petroleum Corp. and changed its name to Pilgrim Petroleum Corporation in July 2005. Pilgrim Petroleum Corporation was founded in 1997 and is headquartered in Addison, Texas.