Critical Review: China Petroleum & Chemical (OTCMKTS:SNPMF) versus ENI (NYSE:E)

ENI (NYSE:E) and China Petroleum & Chemical (OTCMKTS:SNPMF) are both energy companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, risk, valuation, institutional ownership, profitability and dividends.

Analyst Recommendations

This is a summary of recent ratings for ENI and China Petroleum & Chemical, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ENI	0	3	3	0	2.50
China Petroleum & Chemical	0	0	0	0	N/A

Profitability

This table compares ENI and China Petroleum & Chemical’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ENI	4.21%	11.84%	4.53%
China Petroleum & Chemical	N/A	N/A	N/A

Earnings & Valuation

This table compares ENI and China Petroleum & Chemical’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ENI	$91.59 billion	0.61	$5.16 billion	$2.32	14.17
China Petroleum & Chemical	N/A	N/A	N/A	$0.56	1.13

ENI has higher revenue and earnings than China Petroleum & Chemical. China Petroleum & Chemical is trading at a lower price-to-earnings ratio than ENI, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

1.2% of ENI shares are owned by institutional investors. Comparatively, 6.4% of China Petroleum & Chemical shares are owned by institutional investors. 0.0% of ENI shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

ENI beats China Petroleum & Chemical on 8 of the 9 factors compared between the two stocks.

About ENI

Eni S.p.A. operates as an integrated energy company worldwide. The company engages in exploration, development, extracting, manufacturing, and marketing crude oil and natural gas, oil-based fuels, chemical products, and gas-fired power, as well as energy products from renewable sources. It operates through Exploration & Production; Global Gas & LNG Portfolio (GGP); Enilive, Refining and Chemicals; Plenitude & Power; and Corporate and Other Activities segments. The company engages in research, development, and production of oil, condensates, and natural gas. It is also involved in the supply and sale of wholesale natural gas through pipeline; and international transport, and purchase and marketing of liquefied natural gas. In addition, the company supplies bio-feedstock and crude oil; and stores, produces, distributes, and markets biofuels, oil products, biomethane, basic chemical and petrochemical products, intermediates, plastics and elastomers, and other chemicals, as well as provides smart mobility solutions and mobility services. Further, it engages in the retail marketing of gas, electricity, and related services; production and wholesale sale of electricity from thermoelectric and renewable plants; and provision of services for E-mobility. The company was founded in 1953 and is headquartered in Rome, Italy.

About China Petroleum & Chemical

China Petroleum & Chemical Corporation, an energy and chemical company, engages in the oil and gas and chemical operations in Mainland China, Singapore, and internationally. It operates through five segments: Exploration and Production, Refining, Marketing and Distribution, Chemicals, and Corporate and Others. The company explores and develops oil fields; produces natural gas; produces, processes, purifies, imports, and trades in crude oil; manufactures, sells, and trades in petroleum products; owns and operates oil depots and service stations; and produces, distributes, and sells refined petroleum products, including gasoline and diesel. It also manufactures, sells, markets, and distributes petrochemicals and derivative petrochemical products, and other chemical products, such as basic organic chemicals, synthetic resins, synthetic fiber monomers and polymers, synthetic fibers, synthetic rubber, and chemical fertilizers, as well as ethylene. In addition, the company explores, produces, and sells petroleum and natural gas; produces, stores, transports, and sells petrochemical and coal chemical products; produces and sells catalyst products, lubricant base oil, polyester chips and fibers, plastics, and petrochemical materials; and offers crude oil pipeline transportation services. Further, it engages in import and export of petroleum, natural gas, petroleum products, petrochemical and chemical products, and other commodities and technologies; research, development, and application of technologies and information; hydrogen energy business and related services, such as hydrogen production, storage, transportation, and sales; and battery charging and swapping, solar energy, wind energy and other new energy business and related services. The company was incorporated in 2000 and is headquartered in Beijing, China. China Petroleum & Chemical Corporation is a subsidiary of China Petrochemical Corporation.