Dorchester Minerals (NASDAQ:DMLP) vs. Vital Energy (NYSE:VTLE) Financial Contrast

Vital Energy (NYSE:VTLE) and Dorchester Minerals (NASDAQ:DMLP) are both small-cap oils/energy companies, but which is the superior stock? We will compare the two companies based on the strength of their risk, valuation, profitability, earnings, dividends, analyst recommendations and institutional ownership.

Analyst Ratings

This is a breakdown of current recommendations for Vital Energy and Dorchester Minerals, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Vital Energy	2	3	5	0	2.30
Dorchester Minerals	0	0	0	0	N/A

Vital Energy presently has a consensus target price of $59.30, indicating a potential upside of 29.08%. Given Vital Energy’s higher probable upside, analysts clearly believe Vital Energy is more favorable than Dorchester Minerals.

Insider & Institutional Ownership

86.5% of Vital Energy shares are held by institutional investors. Comparatively, 19.2% of Dorchester Minerals shares are held by institutional investors. 1.2% of Vital Energy shares are held by insiders. Comparatively, 7.1% of Dorchester Minerals shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Vital Energy and Dorchester Minerals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Vital Energy	30.34%	14.22%	6.69%
Dorchester Minerals	66.57%	59.35%	57.08%

Valuation & Earnings

This table compares Vital Energy and Dorchester Minerals’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Vital Energy	$1.70 billion	0.99	$695.08 million	$24.13	1.90
Dorchester Minerals	$163.80 million	7.69	$110.39 million	$2.57	12.23

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

Risk & Volatility

Vital Energy has a beta of 3.23, suggesting that its stock price is 223% more volatile than the S&P 500. Comparatively, Dorchester Minerals has a beta of 1.11, suggesting that its stock price is 11% more volatile than the S&P 500.

Summary

Vital Energy beats Dorchester Minerals on 7 of the 13 factors compared between the two stocks.

About Vital Energy

Vital Energy, Inc., an independent energy company, engages in the acquisition, exploration, and development of oil and natural gas properties in the Permian Basin of West Texas, the United States. The company was formerly known as Laredo Petroleum, Inc. and changed its name to Vital Energy, Inc. in January 2023. Vital Energy, Inc. was founded in 2006 and is headquartered in Tulsa, Oklahoma.

About Dorchester Minerals

Dorchester Minerals, L.P. engages in the acquisition, ownership, and administration of royalty properties in the United States. Its royalty properties include producing and nonproducing mineral, royalty, overriding royalty, net profits, and leasehold interests in 593 counties and parishes in 28 states; and net profits interests represent net profits overriding royalty interests in various properties owned by the operating partnership. Dorchester Minerals Management LP serves as the general partner of Dorchester Minerals, L.P. The company was founded in 1982 and is based in Dallas, Texas.