Hyperdynamics (OTCMKTS:HDYNQ) & Occidental Petroleum (NYSE:OXY) Critical Analysis

Occidental Petroleum (NYSE:OXY) and Hyperdynamics (OTCMKTS:HDYNQ) are both oils/energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, profitability, dividends, risk and earnings.

Analyst Recommendations

This is a breakdown of current ratings and price targets for Occidental Petroleum and Hyperdynamics, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Occidental Petroleum	0	8	5	1	2.50
Hyperdynamics	0	0	0	0	N/A

Occidental Petroleum presently has a consensus target price of $72.27, suggesting a potential upside of 41.56%.

Earnings and Valuation

This table compares Occidental Petroleum and Hyperdynamics”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Occidental Petroleum	$28.92 billion	1.60	$4.70 billion	$3.66	13.95
Hyperdynamics	N/A	N/A	N/A	N/A	N/A

Occidental Petroleum has higher revenue and earnings than Hyperdynamics.

Insider and Institutional Ownership

88.7% of Occidental Petroleum shares are held by institutional investors. 0.3% of Occidental Petroleum shares are held by insiders. Comparatively, 5.9% of Hyperdynamics shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Occidental Petroleum and Hyperdynamics’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Occidental Petroleum	16.62%	17.91%	5.42%
Hyperdynamics	N/A	N/A	N/A

Summary

Occidental Petroleum beats Hyperdynamics on 7 of the 8 factors compared between the two stocks.

About Occidental Petroleum

Occidental Petroleum Corporation, together with its subsidiaries, engages in the acquisition, exploration, and development of oil and gas properties in the United States, the Middle East, and North Africa. It operates through three segments: Oil and Gas, Chemical, and Midstream and Marketing. The company's Oil and Gas segment explores for, develops, and produces oil and condensate, natural gas liquids (NGLs), and natural gas. Its Chemical segment manufactures and markets basic chemicals, including chlorine, caustic soda, chlorinated organics, potassium chemicals, ethylene dichloride, chlorinated isocyanurates, sodium silicates, and calcium chloride; and vinyls comprising vinyl chloride monomer, polyvinyl chloride, and ethylene. The Midstream and Marketing segment gathers, processes, transports, stores, purchases, and markets oil, condensate, NGLs, natural gas, carbon dioxide, and power. This segment also invests in entities. Occidental Petroleum Corporation was founded in 1920 and is headquartered in Houston, Texas.

About Hyperdynamics

Hyperdynamics Corporation, together with its subsidiaries, operates as an independent oil and gas exploration company. It engages in the acquisition, exploration, and development of oil and natural gas properties in the Republic of Guinea, Northwest Africa. The company owns a 100% interest in a concession that covers an area of approximately 5,000 square miles in offshore Guinea. Hyperdynamics Corporation was founded in 1983 and is headquartered in Houston, Texas.