Toro (NASDAQ:TORO – Get Free Report) and Viper Energy (NASDAQ:VNOM – Get Free Report) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, valuation, risk, dividends, institutional ownership, analyst recommendations and earnings.
Volatility and Risk
Toro has a beta of 2.59, indicating that its stock price is 159% more volatile than the S&P 500. Comparatively, Viper Energy has a beta of 0.5, indicating that its stock price is 50% less volatile than the S&P 500.
Earnings and Valuation
This table compares Toro and Viper Energy”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Toro | $24.40 million | 4.01 | $5.93 million | ($0.11) | -41.45 |
| Viper Energy | $2.04 billion | 8.20 | -$68.00 million | $0.13 | 357.38 |
Toro has higher earnings, but lower revenue than Viper Energy. Toro is trading at a lower price-to-earnings ratio than Viper Energy, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares Toro and Viper Energy’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Toro | 16.42% | 2.04% | 1.17% |
| Viper Energy | 2.89% | 3.43% | 2.85% |
Insider & Institutional Ownership
1.7% of Toro shares are owned by institutional investors. Comparatively, 87.7% of Viper Energy shares are owned by institutional investors. 0.2% of Viper Energy shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.
Analyst Ratings
This is a summary of recent ratings and price targets for Toro and Viper Energy, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Toro | 0 | 1 | 0 | 0 | 2.00 |
| Viper Energy | 0 | 1 | 17 | 1 | 3.00 |
Viper Energy has a consensus target price of $56.56, suggesting a potential upside of 21.74%. Given Viper Energy’s stronger consensus rating and higher possible upside, analysts clearly believe Viper Energy is more favorable than Toro.
Summary
Viper Energy beats Toro on 12 of the 15 factors compared between the two stocks.
About Toro
Toro Corp., a shipping company, acquires, owns, charters, and operates oceangoing tanker vessels and provides seaborne transportation services for crude oil LPG, and refined petroleum products worldwide. The company operates in three segments: Aframax/LR2 Tanker, Handysize Tanker, and LPG Carrier. As of December 31, 2023, it operated a fleet of one Handysize tanker vessel; one Aframax/LR2 vessel; and four LPG carrier vessels with an aggregate cargo carrying capacity of 0.1 million deadweight ton. Toro Corp. was incorporated in 2022 and is based in Limassol, Cyprus.
About Viper Energy
Viper Energy, Inc. engages in the acquisition of oil and natural gas properties. It owns, acquires, and exploits oil and natural gas properties in North America. The company was founded on February 27, 2014 and is headquartered in Midland, TX.
Receive News & Ratings for Toro Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Toro and related companies with MarketBeat.com's FREE daily email newsletter.
