HF Sinclair (NYSE:DINO) & Centrus Energy (NYSE:LEU) Critical Survey

Centrus Energy (NYSE:LEU) and HF Sinclair (NYSE:DINO) are both energy companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, analyst recommendations, earnings, dividends, risk, institutional ownership and valuation.

Risk and Volatility

Centrus Energy has a beta of 1.4, indicating that its share price is 40% more volatile than the S&P 500. Comparatively, HF Sinclair has a beta of 0.73, indicating that its share price is 27% less volatile than the S&P 500.

Profitability

This table compares Centrus Energy and HF Sinclair’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Centrus Energy	10.23%	7.06%	2.01%
HF Sinclair	10.12%	32.95%	18.22%

Analyst Recommendations

This is a breakdown of recent recommendations for Centrus Energy and HF Sinclair, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Centrus Energy	0	9	9	1	2.58
HF Sinclair	1	7	6	2	2.56

Centrus Energy presently has a consensus price target of $193.06, indicating a potential upside of 84.64%. HF Sinclair has a consensus price target of $116.00, indicating a potential upside of 19.16%. Given Centrus Energy’s stronger consensus rating and higher probable upside, research analysts clearly believe Centrus Energy is more favorable than HF Sinclair.

Earnings and Valuation

This table compares Centrus Energy and HF Sinclair”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Centrus Energy	$448.70 million	4.65	$77.80 million	$3.42	30.57
HF Sinclair	$26.87 billion	0.62	$579.00 million	$19.71	4.94

HF Sinclair has higher revenue and earnings than Centrus Energy. HF Sinclair is trading at a lower price-to-earnings ratio than Centrus Energy, indicating that it is currently the more affordable of the two stocks.

Insider and Institutional Ownership

50.0% of Centrus Energy shares are owned by institutional investors. Comparatively, 88.3% of HF Sinclair shares are owned by institutional investors. 0.7% of Centrus Energy shares are owned by insiders. Comparatively, 0.3% of HF Sinclair shares are owned by 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.

Summary

Centrus Energy beats HF Sinclair on 8 of the 15 factors compared between the two stocks.

About Centrus Energy

Centrus Energy Corp. supplies nuclear fuel components and services for the nuclear power industry in the United States, Belgium, Japan, and internationally. The company operates through two segments, Low-Enriched Uranium (LEU) and Technical Solutions. The LEU segment sells separative work units (SWU) components of LEU; natural uranium hexafluoride, uranium concentrates, and uranium conversion; and enriched uranium products to utilities that operate nuclear power plants. The Technical Solutions segment offers technical, manufacturing, engineering, and operations services to public and private sector customers. The company was formerly known as USEC Inc. and changed its name to Centrus Energy Corp. in September 2014. Centrus Energy Corp. was incorporated in 1998 and is headquartered in Bethesda, Maryland.

About HF Sinclair

HF Sinclair Corporation operates as an independent energy company. The company produces and markets gasoline, diesel fuel, jet fuel, renewable diesel, specialty lubricant products, specialty chemicals, specialty and modified asphalt, and others. It owns and operates refineries located in Kansas, Oklahoma, New Mexico, Utah, Washington, and Wyoming; and markets its refined products principally in the Southwest United States and Rocky Mountains, Pacific Northwest, and in other neighboring Plains states. In addition, the company supplies fuels to approximately 1,500 independent Sinclair branded stations and licenses the use of the Sinclair brand at approximately 300 additional locations. Further, it produces base oils and other specialized lubricants; and provides petroleum product and crude oil transportation, terminalling, storage, and throughput services to the petroleum sector. HF Sinclair Corporation is headquartered in Dallas, Texas.