MV Oil Trust (NYSE:MVO) and Kimbell Royalty (NYSE:KRP) Head to Head Survey

Kimbell Royalty (NYSE:KRP) and MV Oil Trust (NYSE:MVO) are both small-cap energy companies, but which is the better business? We will contrast the two companies based on the strength of their dividends, risk, valuation, earnings, institutional ownership, analyst recommendations and profitability.

Volatility and Risk

Kimbell Royalty has a beta of 0.32, meaning that its share price is 68% less volatile than the S&P 500. Comparatively, MV Oil Trust has a beta of -0.13, meaning that its share price is 113% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Kimbell Royalty and MV Oil Trust, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Kimbell Royalty	2	5	1	0	1.88
MV Oil Trust	1	0	0	0	1.00

Kimbell Royalty currently has a consensus price target of $15.80, suggesting a potential upside of 19.52%. Given Kimbell Royalty’s stronger consensus rating and higher probable upside, equities analysts clearly believe Kimbell Royalty is more favorable than MV Oil Trust.

Valuation & Earnings

This table compares Kimbell Royalty and MV Oil Trust”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Kimbell Royalty	$315.52 million	4.52	$12.32 million	($0.07)	-188.86
MV Oil Trust	$18.58 million	1.01	$17.65 million	$1.04	1.57

MV Oil Trust has lower revenue, but higher earnings than Kimbell Royalty. Kimbell Royalty is trading at a lower price-to-earnings ratio than MV Oil Trust, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

25.8% of Kimbell Royalty shares are owned by institutional investors. Comparatively, 3.5% of MV Oil Trust shares are owned by institutional investors. 5.6% of Kimbell Royalty shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Dividends

Kimbell Royalty pays an annual dividend of $1.40 per share and has a dividend yield of 10.6%. MV Oil Trust pays an annual dividend of $0.56 per share and has a dividend yield of 34.3%. Kimbell Royalty pays out -2,000.0% of its earnings in the form of a dividend. MV Oil Trust pays out 53.8% 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.

Profitability

This table compares Kimbell Royalty and MV Oil Trust’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Kimbell Royalty	10.66%	12.51%	6.28%
MV Oil Trust	92.68%	N/A	372.84%

Summary

Kimbell Royalty beats MV Oil Trust on 10 of the 16 factors compared between the two stocks.

About Kimbell Royalty

Kimbell Royalty Partners, LP, together with its subsidiaries, engages in acquiring and owning mineral and royalty interests in oil and natural gas properties in the United States. It serves as the general partner of the company. The company was incorporated in 2015 and is based in Fort Worth, Texas.

About MV Oil Trust

MV Oil Trust acquires and holds term net profits interests in the oil and natural gas properties of MV Partners, LLC. Its properties wells located in the Mid-Continent region in the states of Kansas and Colorado. MV Oil Trust was incorporated in 2006 and is based in Houston, Texas.