Freehold Royalties (FRU) Competitors

Strathcona Resources (TSE:SCR) and Freehold Royalties (TSE:FRU) are both mid-cap energy companies, but which is the superior investment? We will contrast the two businesses based on the strength of their earnings, institutional ownership, profitability, media sentiment, valuation, risk, dividends and analyst recommendations.

Do analysts recommend SCR or FRU?

Strathcona Resources currently has a consensus price target of C$34.86, suggesting a potential downside of 6.80%. Freehold Royalties has a consensus price target of C$15.40, suggesting a potential upside of 14.75%. Given Freehold Royalties' higher possible upside, analysts plainly believe Freehold Royalties is more favorable than Strathcona Resources.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Strathcona Resources	0 Sell rating(s)	6 Hold rating(s)	1 Buy rating(s)	2 Strong Buy rating(s)	2.56
Freehold Royalties	0 Sell rating(s)	5 Hold rating(s)	1 Buy rating(s)	1 Strong Buy rating(s)	2.43

Which has better earnings & valuation, SCR or FRU?

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

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Strathcona Resources	C$2.46B	3.25	C$370.36M	C$1.73	21.57
Freehold Royalties	C$311.95M	6.47	C$132.34M	C$0.88	15.21

Do insiders & institutionals have more ownership in SCR or FRU?

0.4% of Strathcona Resources shares are held by institutional investors. Comparatively, 30.0% of Freehold Royalties shares are held by institutional investors. 91.3% of Strathcona Resources shares are held by insiders. Comparatively, 0.5% of Freehold Royalties shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Is SCR or FRU a better dividend stock?

Strathcona Resources pays an annual dividend of C$1.00 per share and has a dividend yield of 2.7%. Freehold Royalties pays an annual dividend of C$1.08 per share and has a dividend yield of 8.0%. Strathcona Resources pays out 57.7% of its earnings in the form of a dividend. Freehold Royalties pays out 122.4% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Is SCR or FRU more profitable?

Freehold Royalties has a net margin of 42.42% compared to Strathcona Resources' net margin of 15.04%. Freehold Royalties' return on equity of 14.43% beat Strathcona Resources' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Strathcona Resources	15.04%	9.70%	6.81%
Freehold Royalties	42.42%	14.43%	10.42%

Does the media favor SCR or FRU?

In the previous week, Freehold Royalties had 2 more articles in the media than Strathcona Resources. MarketBeat recorded 3 mentions for Freehold Royalties and 1 mentions for Strathcona Resources. Freehold Royalties' average media sentiment score of 0.85 beat Strathcona Resources' score of 0.00 indicating that Freehold Royalties is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Strathcona Resources	0 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
Freehold Royalties	1 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Summary

Freehold Royalties beats Strathcona Resources on 9 of the 17 factors compared between the two stocks.