Financial Analysis: Advantage Energy (OTCMKTS:AAVVF) & Lone Pine Resources (OTCMKTS:LPRIQ)

Advantage Energy (OTCMKTS:AAVVF) and Lone Pine Resources (OTCMKTS:LPRIQ) are both oils/energy companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, profitability, risk, earnings, valuation and institutional ownership.

Earnings & Valuation

This table compares Advantage Energy and Lone Pine Resources”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Advantage Energy	$400.81 million	2.73	$75.26 million	$0.20	32.85
Lone Pine Resources	N/A	N/A	N/A	N/A	N/A

Advantage Energy has higher revenue and earnings than Lone Pine Resources.

Insider and Institutional Ownership

7.9% of Advantage Energy shares are owned by institutional investors. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of recent ratings and recommmendations for Advantage Energy and Lone Pine Resources, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Advantage Energy	0	1	1	1	3.00
Lone Pine Resources	0	0	0	0	0.00

Advantage Energy presently has a consensus price target of $13.75, indicating a potential upside of 109.28%. Given Advantage Energy’s stronger consensus rating and higher probable upside, research analysts plainly believe Advantage Energy is more favorable than Lone Pine Resources.

Profitability

This table compares Advantage Energy and Lone Pine Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Advantage Energy	8.62%	2.88%	1.78%
Lone Pine Resources	N/A	N/A	N/A

Summary

Advantage Energy beats Lone Pine Resources on 9 of the 9 factors compared between the two stocks.

About Advantage Energy

Advantage Energy Ltd., together with its subsidiaries, engages in the acquisition, exploitation, development, and production natural gas, crude oil, and natural gas liquids (NGLs) in the Province of Alberta, Canada. Its assets are located approximately 4 to 80 km northwest of the city of Grande Prairie, Alberta. The company was formerly known as Advantage Oil & Gas Ltd. and changed its name to Advantage Energy Ltd. in May 2021. Advantage Energy Ltd. was founded in 2001 and is headquartered in Calgary, Canada.

About Lone Pine Resources

Lone Pine Resources Inc. (Lone Pine) is an independent oil and gas exploration, development, and production company with operations in Canada within the provinces of Alberta, British Columbia, Quebec and the Northwest Territories. The Company focuses on the Western Canadian Sedimentary Basin, which includes its Narraway/Ojay and Wild River fields in the Deep Basin and its Evi field in the Peace River Arch. Lone Pine is a wholly owned subsidiary of Forest Oil Corporation, which is an independent oil and gas company engaged in the acquisition, exploration, development and production of oil and natural gas. As of December 31, 2009, the Company had approximately 322 billions of cubic feet equivalent of estimated proved reserves of which approximately 69% was natural gas and approximately 64% was classified as proved developed. As of September 30, 2010, it had approximately 1.1 million gross (.8 million net) acres of land (approximately 80% of which is undeveloped).