Head-To-Head Review: ATP Oil & Gas (OTCMKTS:ATPAQ) versus Matador Resources (NYSE:MTDR)

ATP Oil & Gas (OTCMKTS:ATPAQ) and Matador Resources (NYSE:MTDR) are both mining companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, earnings, dividends, institutional ownership and profitability.

Valuation and Earnings

This table compares ATP Oil & Gas and Matador Resources”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ATP Oil & Gas	N/A	N/A	N/A	N/A	N/A
Matador Resources	$3.33 billion	2.21	$846.07 million	$7.55	7.82

Matador Resources has higher revenue and earnings than ATP Oil & Gas.

Analyst Ratings

This is a summary of recent ratings for ATP Oil & Gas and Matador Resources, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ATP Oil & Gas	0	0	0	0	0.00
Matador Resources	0	0	14	0	3.00

Matador Resources has a consensus target price of $74.21, indicating a potential upside of 25.64%. Given Matador Resources’ stronger consensus rating and higher probable upside, analysts clearly believe Matador Resources is more favorable than ATP Oil & Gas.

Profitability

This table compares ATP Oil & Gas and Matador Resources’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ATP Oil & Gas	N/A	N/A	N/A
Matador Resources	27.45%	20.01%	10.67%

Institutional & Insider Ownership

92.0% of Matador Resources shares are owned by institutional investors. 6.1% of Matador Resources shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

Matador Resources beats ATP Oil & Gas on 9 of the 9 factors compared between the two stocks.

About ATP Oil & Gas

ATP Oil & Gas Corporation is engaged in the acquisition, development and production of oil and natural gas properties. As of December 31, 2011, the Company had estimated net proved reserves of 118.9 Million barrels of crude oil equivalent (MMBoe), of which approximately 75.9 MMboe (64%) were in the Gulf of Mexico and 42.9 MMBoe (36%) were in the North Sea. The reserves consisted of 78.6 Million barrels (MMBbls) of oil (66%) and 241.5 billion cubic feet (Bcf) of natural gas (34%). Its proved reserves in the deepwater area of the Gulf of Mexico account for 62% of the Company’s total proved reserves and its proved reserves on the Gulf of Mexico Outer Continental Shelf account for 2% of its total proved reserves. During the year ended December 31, 2011, it acquired three licenses in the Mediterranean Sea covering potential natural gas resources in the deepwater off the coast of Israel (East Mediterranean). On August 17, 2012, ATP Oil And Gas Corp filed for Chapter 11 bankruptcy protection.

About Matador Resources

Matador Resources Company, an independent energy company, engages in the exploration, development, production, and acquisition of oil and natural gas resources in the United States. It operates through two segments, Exploration and Production; and Midstream. The company primarily holds interests in the Wolfcamp and Bone Spring plays in the Delaware Basin in Southeast New Mexico and West Texas. It also operates the Eagle Ford shale play in South Texas; and the Haynesville shale and Cotton Valley plays in Northwest Louisiana. In addition, the company conducts midstream operations in support of its exploration, development, and production operations. Further, it provides natural gas processing and oil transportation services; and oil, natural gas, and produced water gathering services, as well as produced water disposal services to third parties. The company sells natural gas to unaffiliated independent marketing companies and unaffiliated midstream companies. The company was formerly known as Matador Holdco, Inc. and changed its name to Matador Resources Company in August 2011. Matador Resources Company was founded in 2003 and is headquartered in Dallas, Texas.