Kimbell Royalty Partners (NYSE:KRP) vs. Sable Offshore (NYSE:SOC) Head-To-Head Review

Sable Offshore (NYSE:SOC) and Kimbell Royalty Partners (NYSE:KRP) are both small-cap oils/energy companies, but which is the better stock? We will compare the two businesses based on the strength of their institutional ownership, risk, valuation, earnings, analyst recommendations, profitability and dividends.

Valuation and Earnings

This table compares Sable Offshore and Kimbell Royalty Partners’ revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sable Offshore	N/A	N/A	-$32.18 million	N/A	N/A
Kimbell Royalty Partners	$294.07 million	5.47	$66.54 million	$0.60	28.10

Kimbell Royalty Partners has higher revenue and earnings than Sable Offshore.

Risk and Volatility

Sable Offshore has a beta of 0.26, suggesting that its share price is 74% less volatile than the S&P 500. Comparatively, Kimbell Royalty Partners has a beta of 1.13, suggesting that its share price is 13% more volatile than the S&P 500.

Institutional & Insider Ownership

26.2% of Sable Offshore shares are owned by institutional investors. Comparatively, 25.8% of Kimbell Royalty Partners shares are owned by institutional investors. 14.3% of Sable Offshore shares are owned by company insiders. Comparatively, 5.6% of Kimbell Royalty Partners shares are owned by company 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.

Profitability

This table compares Sable Offshore and Kimbell Royalty Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sable Offshore	N/A	-480.87%	-53.14%
Kimbell Royalty Partners	12.93%	5.74%	3.23%

Analyst Ratings

This is a summary of current ratings and target prices for Sable Offshore and Kimbell Royalty Partners, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sable Offshore	0	0	1	0	3.00
Kimbell Royalty Partners	1	0	4	1	2.83

Sable Offshore currently has a consensus price target of $20.00, indicating a potential upside of 26.98%. Kimbell Royalty Partners has a consensus price target of $20.67, indicating a potential upside of 22.58%. Given Sable Offshore’s stronger consensus rating and higher probable upside, equities analysts clearly believe Sable Offshore is more favorable than Kimbell Royalty Partners.

Summary

Kimbell Royalty Partners beats Sable Offshore on 8 of the 12 factors compared between the two stocks.

About Sable Offshore

Sable Offshore Corp. engages in the oil and gas exploration and development activities in the United States. The company operates through three platforms located in federal waters offshore California. It owns and operates 16 federal leases across approximately 76,000 acres and subsea pipelines, which transport crude oil, natural gas, and produced water from the platforms to the onshore processing facilities. The company was formerly known as Flame Acquisition Corp. and changed its name to Sable Offshore Corp. in February 2024. Sable Offshore Corp. was incorporated in 2020 and is based in Houston, Texas.

About Kimbell Royalty Partners

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.