Saipem (OTCMKTS:SAPMY) and ChampionX (NASDAQ:CHX) Financial Contrast

Saipem (OTCMKTS:SAPMY) and ChampionX (NASDAQ:CHX) are both energy companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, analyst recommendations, institutional ownership, profitability and dividends.

Analyst Ratings

This is a summary of current recommendations and price targets for Saipem and ChampionX, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Saipem	0	0	0	0	N/A
ChampionX	0	2	2	0	2.50

ChampionX has a consensus target price of $39.00, indicating a potential upside of 38.10%. Given ChampionX’s higher probable upside, analysts clearly believe ChampionX is more favorable than Saipem.

Earnings and Valuation

This table compares Saipem and ChampionX”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Saipem	N/A	N/A	N/A	$0.32	1.32
ChampionX	$3.67 billion	1.47	$314.24 million	$1.61	17.54

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

Profitability

This table compares Saipem and ChampionX’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Saipem	N/A	N/A	N/A
ChampionX	8.66%	19.72%	10.17%

Institutional & Insider Ownership

0.0% of Saipem shares are owned by institutional investors. Comparatively, 99.0% of ChampionX shares are owned by institutional investors. 1.4% of ChampionX shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Summary

ChampionX beats Saipem on 10 of the 10 factors compared between the two stocks.

About Saipem

Saipem SpA provides energy and infrastructure solutions worldwide. The company operates through Asset Based Services, Offshore Drilling, and Energy Carriers segments. It offers development of subsea fields and pipelaying; installation and lifting of offshore structures; and engineering, implementation, installation, maintenance, modification, and decommissioning activities. The company also engages in onshore engineering and construction, sustainable infrastructures, and robotics and industrialized solutions; and offshore engineering and construction, and wind activities. In addition, the company provides procurement, construction, project management, and engineering integrated services to the oil and gas, civil and marine infrastructure, and environmental markets. Saipem S.p.A. was founded in 1957 and is headquartered in Milan, Italy.

About ChampionX

ChampionX Corporation provides chemistry solutions, artificial lift systems, and engineered equipment and technologies to oil and gas companies worldwide. The company operates through four segments: Production Chemical Technologies, Production & Automation Technologies, Drilling Technologies, and Reservoir Chemical Technologies. The Production Chemical Technologies segment offers onshore, offshore, and oil sands chemical solutions, such as corrosion inhibitors, scale inhibitors, emulsion breakers, and biocides to oil and natural gas production and midstream markets to manage and control corrosion, oil and water separation, flow assurance, sour gas treatment, and water-related issues. The Production & Automation Technologies segment provides artificial lift equipment, end-to-end digital automation solutions, and other production equipment and emissions monitoring solutions, including electrical submersible pumping systems, gas lift systems, jet pumps, multiplex surface pumps, plunger lift equipment, progressive cavity pumping systems, downhole rod lift systems, methane emissions monitoring solutions, chemical injection systems, flow control valves, and gauges under the Harbison-Fischer, Norris, Alberta Oil Tool, Oil Lift Technology, PCS Ferguson, Pro-Rod, Upco, Unbridled ESP, Norriseal-Wellmark, Quartzdyne, Spirit, Theta, Timberline, and Windrock brands. The Drilling Technologies segment offers polycrystalline diamond cutter inserts, bearings, valves, nozzles, and mining tools used in oil and gas drill bits under the US Synthetic brand; and high-density ceramic roof bolt mining tools for underground mining operations. The Reservoir Chemical Technologies segment provides chemistry-oriented solutions and technologies for well drilling, cementing, fracturing, acidizing, and other well interventions, as well as fracturing, drilling, cementing, acidizing additives. The company was founded in 1882 and is headquartered in The Woodlands, Texas.