Reviewing Coloured Ties Capital (OTCMKTS:APEOF) & Magnolia Oil & Gas (NYSE:MGY)

Coloured Ties Capital (OTCMKTS:APEOF) and Magnolia Oil & Gas (NYSE:MGY) are both finance companies, but which is the better stock? We will compare the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Earnings and Valuation

This table compares Coloured Ties Capital and Magnolia Oil & Gas”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Coloured Ties Capital	N/A	N/A	$3.02 million	($0.85)	-0.24
Magnolia Oil & Gas	$1.23 billion	4.43	$388.30 million	$2.02	13.70

Magnolia Oil & Gas has higher revenue and earnings than Coloured Ties Capital. Coloured Ties Capital is trading at a lower price-to-earnings ratio than Magnolia Oil & Gas, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Coloured Ties Capital and Magnolia Oil & Gas’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Coloured Ties Capital	N/A	-156.16%	-129.10%
Magnolia Oil & Gas	28.88%	20.78%	14.19%

Insider and Institutional Ownership

94.7% of Magnolia Oil & Gas shares are owned by institutional investors. 1.4% of Magnolia Oil & Gas shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Volatility & Risk

Coloured Ties Capital has a beta of 11.5, indicating that its share price is 1,050% more volatile than the S&P 500. Comparatively, Magnolia Oil & Gas has a beta of 1.99, indicating that its share price is 99% more volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and target prices for Coloured Ties Capital and Magnolia Oil & Gas, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Coloured Ties Capital	0	0	0	0	0.00
Magnolia Oil & Gas	2	5	6	0	2.31

Magnolia Oil & Gas has a consensus target price of $27.67, suggesting a potential downside of 0.05%. Given Magnolia Oil & Gas’ stronger consensus rating and higher possible upside, analysts plainly believe Magnolia Oil & Gas is more favorable than Coloured Ties Capital.

Summary

Magnolia Oil & Gas beats Coloured Ties Capital on 12 of the 13 factors compared between the two stocks.

About Coloured Ties Capital

Coloured Ties Capital Inc. is a venture capital firm specializing in early stage investments. The firm seeks to invest in equity, debt, and convertible securities in all sectors of the junior capital markets, which may be held for both long-term capital appreciation and shorter-term gains. It invests in companies in the junior resources and breakthrough and disruptive technologies. The firm engages in the acquisition, exploration, and development of mineral properties. It holds 100% interest in the Cadillac-Pontiac Lithium belt comprises 108 claims located southwest of Val-d'Or, Canada. The company was formerly known as GrowMax Resources Corp. and changed its name to Coloured Ties Capital Inc. in November 2021. Coloured Ties Capital Inc. is headquartered in Vancouver, Canada.

About Magnolia Oil & Gas

Magnolia Oil & Gas Corporation, an independent oil and natural gas company, engages in the acquisition, development, exploration, and production of oil, natural gas, and natural gas liquids reserves in the United States. Its properties are located primarily in Karnes County and the Giddings area in South Texas principally comprising the Eagle Ford Shale and the Austin Chalk formation. The company was incorporated in 2017 and is headquartered in Houston, Texas.