Analyzing Vital Energy (NYSE:VTLE) and Forest Oil (OTCMKTS:SOGCQ)

Vital Energy (NYSE:VTLE) and Forest Oil (OTCMKTS:SOGCQ) are both small-cap oils/energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, earnings, analyst recommendations, valuation and risk.

Valuation & Earnings

This table compares Vital Energy and Forest Oil”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vital Energy	$1.84 billion	0.55	$695.08 million	$24.13	1.14
Forest Oil	N/A	N/A	N/A	N/A	N/A

Vital Energy has higher revenue and earnings than Forest Oil.

Profitability

This table compares Vital Energy and Forest Oil’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vital Energy	13.97%	11.58%	5.76%
Forest Oil	N/A	N/A	N/A

Institutional and Insider Ownership

86.5% of Vital Energy shares are held by institutional investors. 1.2% of Vital Energy shares are held by 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.

Analyst Recommendations

This is a summary of recent recommendations for Vital Energy and Forest Oil, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vital Energy	3	5	4	0	2.08
Forest Oil	0	0	0	0	N/A

Vital Energy presently has a consensus target price of $47.83, indicating a potential upside of 75.09%. Given Vital Energy’s higher possible upside, research analysts clearly believe Vital Energy is more favorable than Forest Oil.

Summary

Vital Energy beats Forest Oil on 8 of the 8 factors compared between the two stocks.

About Vital Energy

Vital Energy, Inc., an independent energy company, engages in the acquisition, exploration, and development of oil and natural gas properties in the Permian Basin of West Texas, the United States. The company was formerly known as Laredo Petroleum, Inc. and changed its name to Vital Energy, Inc. in January 2023. Vital Energy, Inc. was founded in 2006 and is headquartered in Tulsa, Oklahoma.

About Forest Oil

Sabine Oil & Gas Corporation, formerly Forest Oil Corporation, is an oil and natural gas company. The Company is engaged in the acquisition, development, exploitation and exploration of oil and natural gas properties in North America. The Company operates through the oil and gas exploration and production segment. Its properties are primarily focused in three geographic areas: East Texas, targeting the Cotton Valley Sand, Haynesville Shale and Pettet formations; South Texas, targeting the Eagle Ford Shale formation, and North Texas, targeting the Granite Wash formation. Its East Texas portion of properties is characterized by various productive horizons, such as the Cotton Valley Sand, Haynesville Shale, Haynesville Lime, Pettet, Bossier Shale, Travis Peak and other formations. It holds interests in approximately 272,100 gross (217,000 net) acres in East Texas, over 82,900 gross (53,400 net) acres in South Texas and approximately 33,900 gross (25,300 net) acres in North Texas.