Reviewing Carbon Energy (OTCMKTS:CRBOD) & Whiting USA Trust II (OTCMKTS:WHZT)

Carbon Energy (OTCMKTS:CRBOD) and Whiting USA Trust II (OTCMKTS:WHZT) are both small-cap oils/energy companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, profitability, valuation, dividends, earnings, institutional ownership and analyst recommendations.

Institutional & Insider Ownership

10.5% of Carbon Energy shares are held by institutional investors. 7.1% of Carbon Energy shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of current ratings for Carbon Energy and Whiting USA Trust II, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Carbon Energy	0	0	0	0	N/A
Whiting USA Trust II	0	0	0	0	N/A

Risk and Volatility

Carbon Energy has a beta of 0.15, meaning that its stock price is 85% less volatile than the S&P 500. Comparatively, Whiting USA Trust II has a beta of 1.54, meaning that its stock price is 54% more volatile than the S&P 500.

Valuation & Earnings

This table compares Carbon Energy and Whiting USA Trust II”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Carbon Energy	$116.63 million	0.00	$1.10 million	N/A	N/A
Whiting USA Trust II	$30.93 million	0.10	$270,000.00	N/A	N/A

Carbon Energy has higher revenue and earnings than Whiting USA Trust II.

Profitability

This table compares Carbon Energy and Whiting USA Trust II’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Carbon Energy	-38.38%	-8.44%	-2.43%
Whiting USA Trust II	N/A	1,607.92%	588.52%

Summary

Whiting USA Trust II beats Carbon Energy on 5 of the 9 factors compared between the two stocks.

About Carbon Energy

Carbon Energy Corporation, an independent oil and natural gas company, engages in the acquisition, exploration, development, and production of oil, natural gas, and natural gas liquids properties in the United States. It focuses on conventional and unconventional reservoirs, including shale, tight sand, and coalbed methane located in the Appalachian, Illinois, and Ventura Basins. As of December 31, 2018, it owned working interests in 7,100 net wells and royalty interests in approximately 900 wells located in California, Illinois, Indiana, Kentucky, Ohio, Tennessee, Virginia, and West Virginia, as well as had leasehold positions in approximately 340,700 net developed acres and approximately 1,319,200 net undeveloped acres. The company was formerly known as Carbon Natural Gas Company and changed its name to Carbon Energy Corporation in June 2018. Carbon Energy Corporation was founded in 2007 and is based in Denver, Colorado.

About Whiting USA Trust II

Whiting USA Trust II is a statutory trust. The company was founded on December 5, 2011 and is headquartered in Houston, TX.