Reviewing Keyera (OTCMKTS:KEYUF) and Cool (NYSE:CLCO)

Keyera (OTCMKTS:KEYUF) and Cool (NYSE:CLCO) are both energy companies, but which is the better business? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, dividends, earnings and valuation.

Insider and Institutional Ownership

37.0% of Keyera shares are owned by institutional investors. Comparatively, 20.7% of Cool shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of recent ratings and target prices for Keyera and Cool, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Keyera	0	0	1	0	3.00
Cool	0	0	0	0	N/A

Keyera presently has a consensus price target of $35.00, suggesting a potential upside of 16.67%. Given Keyera’s higher probable upside, equities research analysts plainly believe Keyera is more favorable than Cool.

Profitability

This table compares Keyera and Cool’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Keyera	N/A	N/A	N/A
Cool	N/A	N/A	N/A

Valuation and Earnings

This table compares Keyera and Cool’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Keyera	N/A	N/A	N/A	$2.91	10.33
Cool	$343.52 million	1.35	$174.73 million	$1.86	6.25

Cool has higher revenue and earnings than Keyera. Cool is trading at a lower price-to-earnings ratio than Keyera, indicating that it is currently the more affordable of the two stocks.

Dividends

Keyera pays an annual dividend of $2.48 per share and has a dividend yield of 8.3%. Cool pays an annual dividend of $1.64 per share and has a dividend yield of 14.1%. Keyera pays out 85.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Cool pays out 88.2% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Keyera beats Cool on 6 of the 8 factors compared between the two stocks.

About Keyera

Keyera Corp. engages in the gathering and processing of natural gas; and transportation, storage, and marketing of natural gas liquids (NGLs) in Canada and the United States. It operates through three segments: Gathering and Processing, Liquids Infrastructure, and Marketing. The Gathering and Processing segment owns and operates raw gas gathering pipelines and processing plants, which collect and process raw natural gas, remove waste products, and separate the economic components primarily natural gas liquids; and provides gas handling and other ancillary services, such as NGL extraction, NGL handling and loading services, and condensate stabilization services. The Liquids Infrastructure segment owns and operates a network of facilities, including underground NGL storage caverns, above ground storage tanks, NGL fractionation facilities, and NGL and condensate pipelines, as well as rail and truck terminals for the processing, fractionation, storage, and transportation of by-products of natural gas processing comprising ethane, propane, butane, and condensate. This segment also produces iso-octane; and engages in the liquids blending activities. The Marketing segment engages in the marketing of propane, butane, condensate, and iso-octane, as well as natural gas and crude oil. The company was formerly known as Keyera Facilities Income Fund and changed its name to Keyera Corp. in January 2011. Keyera Corp. was founded in 1998 and is headquartered in Calgary, Canada.

About Cool

Cool Company Ltd. engages in the acquisition, ownership, operation, and chartering of liquefied natural gas carriers (LNGCs). As of December 31, 2023, it owned a fleet of eleven LNGCs, including seven modern tri-fuel diesel electric vessels; two modern 2-stroke and two TFDE vessels; and managed 17 LNGCs and floating storage and regasification units for third parties. The company was founded in 1970 and is based in London, the United Kingdom.