Critical Contrast: Jutal Offshore Oil Services (OTCMKTS:JUTOY) versus Drilling Tools International (NASDAQ:DTI)

Drilling Tools International (NASDAQ:DTI) and Jutal Offshore Oil Services (OTCMKTS:JUTOY) are both small-cap oils/energy companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, dividends, profitability, valuation, institutional ownership, earnings and analyst recommendations.

Volatility & Risk

Drilling Tools International has a beta of -0.93, indicating that its stock price is 193% less volatile than the S&P 500. Comparatively, Jutal Offshore Oil Services has a beta of 0.16, indicating that its stock price is 84% less volatile than the S&P 500.

Insider & Institutional Ownership

2.8% of Drilling Tools International shares are owned by institutional investors. 14.7% of Drilling Tools International shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares Drilling Tools International and Jutal Offshore Oil Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Drilling Tools International	8.21%	14.88%	9.04%
Jutal Offshore Oil Services	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Drilling Tools International and Jutal Offshore Oil Services, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Drilling Tools International	0	1	1	0	2.50
Jutal Offshore Oil Services	0	0	0	0	N/A

Drilling Tools International currently has a consensus price target of $5.75, suggesting a potential upside of 3.98%. Given Drilling Tools International’s higher possible upside, equities analysts plainly believe Drilling Tools International is more favorable than Jutal Offshore Oil Services.

Earnings and Valuation

This table compares Drilling Tools International and Jutal Offshore Oil Services’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Drilling Tools International	$148.21 million	1.11	$14.75 million	$0.43	12.86
Jutal Offshore Oil Services	$260.21 million	0.69	-$30.94 million	N/A	N/A

Drilling Tools International has higher earnings, but lower revenue than Jutal Offshore Oil Services.

Summary

Drilling Tools International beats Jutal Offshore Oil Services on 9 of the 11 factors compared between the two stocks.

About Drilling Tools International

Drilling Tools International Corporation provides oilfield equipment and services to oil and natural gas sectors in North America, Europe, and the Middle East. It offers downhole tool rentals, machining, and inspection services to support the global drilling and wellbore construction industry. The company also provides products are bottom hole assembly components, such as stabilizers, subs, non-magnetic and steel drill collars, hole openers, and roller reamers, as well as drill pipe and drill pipe accessories; ancillary equipment and handling tools to support its rental platform, including float valves, ring gauges, tool baskets, lift bail, lift subs, mud magnets, elevators, bracket and bail assemblies, slips, tongs, stabbing guides and safety clamps; and blowout preventers, and pressure control accessory equipment. In addition, it offers tool rental services, which consists of rental, inspection, machining, and repair services; rents downhole drilling tools used in horizontal and directional drilling of oil and natural gas; rents kellys, pip joints, work strings; maintains a fleet of rental equipment consisting of drill collars, stabilizers, crossover subs, wellbore conditioning tools, drill pipe, hevi-wate drill pipe, and tubing; rents surface control equipment, such as blowout preventers and handling tools; and provides downhole products for producing wells. Drilling Tools International Corporation is headquartered in Houston, Texas.

About Jutal Offshore Oil Services

Jutal Offshore Oil Services Limited, an investment holding company, engages in the fabrication of facilities and provision of integrated services for oil and gas, new energy, and refining and chemical industries. The company engages in the construction of large-scale modules, such as onshore LNG modules, modular plants, offshore platform upper modules, and FPSO/FLNG modules, as well as shop design, material procurement, structural prefabrication, machining, painting, assembly, machinery and equipment installation, pre-commissioning, load-out and transportation, and other activities; and undertakes projects in oil and gas process modules, petrochemical equipment, and undersea business. It also provides ship construction and repair services, including painting, electrical installation and commissioning, and hull assembly services; construction, renovation, and maintenance services for offshore platforms; natural gas purification and treatment, and oil production water treatment and sludge purification solutions; and hazardous waste collection, storage, utilization, and disposal services. In addition, the company is involved in the new energy equipment construction and other businesses; trades in biofuel products; designs, fabricates, installs, and repairs steel formation structures; and offers technical support services, as well as quayside machineries and chemical engineering facility, and other quayside and warehouse services. It operates in the People's Republic of China, the United States, Switzerland, Norway, Singapore, France, the United Kingdom, the Netherlands, and internationally. The company was founded in 1995 and is headquartered in Shenzhen, the People's Republic of China.