John Wood Group (OTCMKTS:WDGJF) and Chevron (NYSE:CVX) Head to Head Analysis

John Wood Group (OTCMKTS:WDGJF) and Chevron (NYSE:CVX) are both energy companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, risk, valuation, institutional ownership, earnings, analyst recommendations and profitability.

Institutional & Insider Ownership

45.3% of John Wood Group shares are owned by institutional investors. Comparatively, 72.4% of Chevron shares are owned by institutional investors. 0.2% of Chevron shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares John Wood Group and Chevron’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
John Wood Group	N/A	N/A	N/A	$0.75	3.10
Chevron	$200.95 billion	1.45	$21.37 billion	$10.87	14.51

Chevron has higher revenue and earnings than John Wood Group. John Wood Group is trading at a lower price-to-earnings ratio than Chevron, indicating that it is currently the more affordable of the two stocks.

Dividends

John Wood Group pays an annual dividend of $0.22 per share and has a dividend yield of 9.5%. Chevron pays an annual dividend of $6.52 per share and has a dividend yield of 4.1%. John Wood Group pays out 29.5% of its earnings in the form of a dividend. Chevron pays out 60.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Chevron has increased its dividend for 37 consecutive years. John Wood Group is clearly the better dividend stock, given its higher yield and lower payout ratio.

Profitability

This table compares John Wood Group and Chevron’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
John Wood Group	N/A	N/A	N/A
Chevron	10.21%	14.40%	9.00%

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for John Wood Group and Chevron, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
John Wood Group	0	1	1	0	2.50
Chevron	0	5	14	0	2.74

Chevron has a consensus target price of $186.10, indicating a potential upside of 18.00%. Given Chevron’s stronger consensus rating and higher probable upside, analysts clearly believe Chevron is more favorable than John Wood Group.

Summary

Chevron beats John Wood Group on 12 of the 14 factors compared between the two stocks.

About John Wood Group

John Wood Group PLC, together with its subsidiaries, engages in the provision of consulting, project management, and engineering solutions to energy and built environment worldwide. It operates through Projects, Operations, Consulting, and Investment Services segments. The Projects segment provides engineering design and project management services across energy and materials markets including oil and gas, chemicals, mining, minerals, and life sciences. The Operations segment offers maintenance, modifications, brownfield engineering, asset management, repair and overhaul, and decommissioning services. The Consulting segment provides technical consulting, digital consulting, decarbonization, and energy asset and technology solutions. The Investment Services segment engages in industrial power and heavy civil engineering activities. The company was incorporated in 1961 and is headquartered in Aberdeen, the United Kingdom.

About Chevron

Chevron Corporation, through its subsidiaries, engages in the integrated energy and chemicals operations in the United States and internationally. The company operates in two segments, Upstream and Downstream. The Upstream segment is involved in the exploration, development, production, and transportation of crude oil and natural gas; processing, liquefaction, transportation, and regasification of liquefied natural gas; transportation of crude oil through pipelines; transportation, storage, and marketing of natural gas; and carbon capture and storage, as well as a gas-to-liquids plant. The Downstream segment refines crude oil into petroleum products; markets crude oil, refined products, and lubricants; manufactures and markets renewable fuels, commodity petrochemicals, plastics for industrial uses, and fuel and lubricant additives; and transports crude oil and refined products by pipeline, marine vessel, motor equipment, and rail car. The company was formerly known as ChevronTexaco Corporation and changed its name to Chevron Corporation in 2005. Chevron Corporation was founded in 1879 and is headquartered in San Ramon, California.