Comparing New Concept Energy (NYSE:GBR) & Hess Midstream (NYSE:HESM)

Hess Midstream (NYSE:HESM) and New Concept Energy (NYSE:GBR) are both oils/energy companies, but which is the better investment? We will compare the two businesses based on the strength of their dividends, risk, analyst recommendations, institutional ownership, profitability, valuation and earnings.

Insider & Institutional Ownership

92.4% of Hess Midstream shares are held by institutional investors. 2.1% of New Concept Energy shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility & Risk

Hess Midstream has a beta of 1.51, suggesting that its share price is 51% more volatile than the S&P 500. Comparatively, New Concept Energy has a beta of 0.38, suggesting that its share price is 62% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of current recommendations for Hess Midstream and New Concept Energy, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Hess Midstream	0	3	3	0	2.50
New Concept Energy	0	0	0	0	N/A

Hess Midstream currently has a consensus target price of $36.50, indicating a potential upside of 6.57%. Given Hess Midstream’s higher possible upside, analysts plainly believe Hess Midstream is more favorable than New Concept Energy.

Earnings and Valuation

This table compares Hess Midstream and New Concept Energy’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Hess Midstream	$1.40 billion	5.55	$118.60 million	$2.21	15.50
New Concept Energy	$150,000.00	N/A	-$20,000.00	($0.03)	-42.33

Hess Midstream has higher revenue and earnings than New Concept Energy. New Concept Energy is trading at a lower price-to-earnings ratio than Hess Midstream, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Hess Midstream and New Concept Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Hess Midstream	10.18%	34.38%	3.81%
New Concept Energy	-13.82%	-0.46%	-0.45%

Summary

Hess Midstream beats New Concept Energy on 10 of the 11 factors compared between the two stocks.

About Hess Midstream

Hess Midstream LP owns, develops, operates, and acquires midstream assets and provide fee-based services to Hess and third-party customers in the United States. It operates through three segments: Gathering; Processing and Storage; and Terminaling and Export. The Gathering segment owns natural gas gathering and compression systems; crude oil gathering systems; and produced water gathering and disposal facilities. Its gathering systems consists of approximately 1,410 miles of high and low pressure natural gas and natural gas liquids gathering pipelines with capacity of approximately 660 million cubic feet per day; crude oil gathering system comprises approximately 570 miles of crude oil gathering pipelines; and produced water gathering system that includes approximately 300 miles of pipelines in gathering systems. The Processing and Storage segment comprises Tioga Gas Plant, a natural gas processing and fractionation plant located in Tioga, North Dakota; a 50% interest in the Little Missouri 4 gas processing plant located in south of the Missouri River in McKenzie County, North Dakota; and Mentor Storage Terminal, a propane storage cavern and rail, and truck loading and unloading facility located in Mentor, Minnesota. The Terminaling and Export segment owns Ramberg terminal facility; Tioga rail terminal; crude oil rail cars; and other Dakota access pipeline connections, as well as Johnson's Corner Header System, a crude oil pipeline header system. Hess Midstream LP was founded in 2014 and is based in Houston, Texas.

About New Concept Energy

New Concept Energy, Inc. engages in real estate rental business. The company owns approximately 190 acres of land located in Parkersburg West Virginia. It also provides advisory and management services for an independent oil and gas company. The company was formerly known as CabelTel International Corporation and changed its name to New Concept Energy, Inc. in May 2008. New Concept Energy, Inc. is based in Dallas, Texas.