Financial Comparison: FEC Resources (OTCMKTS:FECOF) vs. Kimbell Royalty Partners (NYSE:KRP)

FEC Resources (OTCMKTS:FECOF) and Kimbell Royalty Partners (NYSE:KRP) are both small-cap oils/energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, profitability, risk, earnings, dividends and valuation.

Volatility and Risk

FEC Resources has a beta of 1.07, indicating that its share price is 7% more volatile than the S&P 500. Comparatively, Kimbell Royalty Partners has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500.

Valuation and Earnings

This table compares FEC Resources and Kimbell Royalty Partners”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FEC Resources	N/A	N/A	-$190,000.00	N/A	N/A
Kimbell Royalty Partners	$294.07 million	5.08	$66.54 million	$0.51	30.68

Kimbell Royalty Partners has higher revenue and earnings than FEC Resources.

Profitability

This table compares FEC Resources and Kimbell Royalty Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FEC Resources	N/A	131.17%	114.19%
Kimbell Royalty Partners	11.33%	5.82%	3.05%

Insider and Institutional Ownership

0.0% of FEC Resources shares are owned by institutional investors. Comparatively, 25.8% of Kimbell Royalty Partners shares are owned by institutional investors. 5.6% of Kimbell Royalty Partners shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for FEC Resources and Kimbell Royalty Partners, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FEC Resources	0	0	0	0	0.00
Kimbell Royalty Partners	1	0	3	1	2.80

Kimbell Royalty Partners has a consensus target price of $21.20, indicating a potential upside of 35.52%. Given Kimbell Royalty Partners’ stronger consensus rating and higher possible upside, analysts clearly believe Kimbell Royalty Partners is more favorable than FEC Resources.

Summary

Kimbell Royalty Partners beats FEC Resources on 10 of the 12 factors compared between the two stocks.

About FEC Resources

FEC Resources Inc. engages in the exploration and development of oil and gas properties in the Philippines. The company, through its 6.8% interest in Forum Energy Limited, primarily owns a 70% interest in the GSEC101 offshore license covering an area of approximately 10,360 square kilometers located to the northwest of the Philippine Island of Palawan. FEC Resources Inc. is headquartered in Vancouver, Canada. FEC Resources Inc. operates as a subsidiary of PXP Energy Corporation.

About Kimbell Royalty Partners

Kimbell Royalty Partners, LP, together with its subsidiaries, engages in acquiring and owning mineral and royalty interests in oil and natural gas properties in the United States. It serves as the general partner of the company. The company was incorporated in 2015 and is based in Fort Worth, Texas.