Comparing Gran Tierra Energy (NYSE:GTE) & Stratex Oil & Gas (OTCMKTS:STTX)

Stratex Oil & Gas (OTCMKTS:STTX) and Gran Tierra Energy (NYSE:GTE) are both oils/energy companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, risk, dividends, institutional ownership, earnings, profitability and valuation.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Stratex Oil & Gas and Gran Tierra Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Stratex Oil & Gas	0	0	0	0	N/A
Gran Tierra Energy	0	1	0	0	2.00

Gran Tierra Energy has a consensus target price of $10.00, suggesting a potential upside of 59.74%. Given Gran Tierra Energy’s higher probable upside, analysts clearly believe Gran Tierra Energy is more favorable than Stratex Oil & Gas.

Volatility & Risk

Stratex Oil & Gas has a beta of 0.77, suggesting that its share price is 23% less volatile than the S&P 500. Comparatively, Gran Tierra Energy has a beta of 1.55, suggesting that its share price is 55% more volatile than the S&P 500.

Profitability

This table compares Stratex Oil & Gas and Gran Tierra Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Stratex Oil & Gas	N/A	N/A	N/A
Gran Tierra Energy	7.68%	12.60%	3.68%

Valuation & Earnings

This table compares Stratex Oil & Gas and Gran Tierra Energy”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Stratex Oil & Gas	N/A	N/A	N/A	N/A	N/A
Gran Tierra Energy	$658.05 million	0.30	-$6.29 million	$0.10	62.60

Stratex Oil & Gas has higher earnings, but lower revenue than Gran Tierra Energy.

Institutional and Insider Ownership

31.7% of Gran Tierra Energy shares are held by institutional investors. 6.5% of Gran Tierra Energy shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Summary

Gran Tierra Energy beats Stratex Oil & Gas on 8 of the 8 factors compared between the two stocks.

About Stratex Oil & Gas

Stratex Oil & Gas Holdings, Inc., an independent energy company, focuses on the acquisition, exploitation, and development of crude oil in Kansas and Texas, as well as non-operated working interests in North Dakota, Montana, Utah, Colorado, and Kansas. The company is also involved in the sale of oil and gas. The company was formerly known as Poway Muffler and Brake, Inc. and changed its name to Stratex Oil & Gas Holdings, Inc. in May 2012. Stratex Oil & Gas Holdings, Inc. is based in Salt Lake City, Utah.

About Gran Tierra Energy

Gran Tierra Energy Inc., together with its subsidiaries, engages in the exploration and production of oil and gas properties in Colombia and Ecuador. The company was founded in 2003 and is headquartered in Calgary, Canada.