Tetra Technologies (NYSE:TTI) vs. Kinetik (NYSE:KNTK) Head to Head Review

Tetra Technologies (NYSE:TTI) and Kinetik (NYSE:KNTK) are both energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Volatility and Risk

Tetra Technologies has a beta of 1.39, suggesting that its stock price is 39% more volatile than the S&P 500. Comparatively, Kinetik has a beta of 3.16, suggesting that its stock price is 216% more volatile than the S&P 500.

Profitability

This table compares Tetra Technologies and Kinetik’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Tetra Technologies	18.95%	14.10%	5.78%
Kinetik	8.21%	-6.16%	1.95%

Valuation and Earnings

This table compares Tetra Technologies and Kinetik”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Tetra Technologies	$607.22 million	1.06	$108.28 million	$0.86	5.62
Kinetik	$1.48 billion	4.72	$244.23 million	$0.74	58.43

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

Institutional and Insider Ownership

70.2% of Tetra Technologies shares are held by institutional investors. Comparatively, 21.1% of Kinetik shares are held by institutional investors. 5.7% of Tetra Technologies shares are held by company insiders. Comparatively, 3.8% of Kinetik shares are held by company 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 breakdown of current recommendations and price targets for Tetra Technologies and Kinetik, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Tetra Technologies	0	0	2	1	3.33
Kinetik	0	4	6	0	2.60

Tetra Technologies currently has a consensus target price of $5.75, indicating a potential upside of 19.05%. Kinetik has a consensus target price of $54.67, indicating a potential upside of 26.43%. Given Kinetik’s higher probable upside, analysts clearly believe Kinetik is more favorable than Tetra Technologies.

Summary

Tetra Technologies beats Kinetik on 8 of the 15 factors compared between the two stocks.

About Tetra Technologies

TETRA Technologies, Inc., together with its subsidiaries, operates as an energy services and solutions company. It operates through two segments, Completion Fluids & Products Division and Water & Flowback Services. The Completion Fluids & Products segment manufactures and markets clear brine fluids, additives, and associated products and services to the oil and gas industry for use in well drilling, completion, and workover operations in the United States, as well as in Latin America, Europe, Asia, the Middle East, and Africa. This segment also markets liquid and dry calcium chloride products; and TETRA PureFlow ultra-pure zinc bromide to battery technology companies. The Water & Flowback Services segment provides water management services for onshore oil and gas operators. This segment also offers frac flowback, production well testing, and other associated services in oil and gas producing regions in the United States, as well as in various basins in Latin America, Africa, Europe, and the Middle East. TETRA Technologies, Inc. was incorporated in 1981 and is headquartered in The Woodlands, Texas.

About Kinetik

Kinetik Holdings Inc. operates as a midstream company in the Texas Delaware Basin. It provides gathering, transportation, compression, processing, and treating services for companies that produce natural gas, natural gas liquids, crude oil, and water. The company is headquartered in Midland, Texas.