Antero Midstream Corporation (AM) vs Kinetik Holdings Inc. (KNTK)

Antero Midstream Corporation and Kinetik Holdings Inc. are both Oil & Gas Midstream companies. Antero Midstream Corporation is the larger, with a market value of $10.1B against $8.5B — 1.2× the size. Kinetik Holdings Inc. trades at the lower P/E: 18.4× against 24.9×. Kinetik Holdings Inc. grew revenue faster over the last twelve months: 14.2% against 6.87%. Antero Midstream Corporation has the higher net margin (32.4% vs 10.4%) and the higher return on invested capital (7.39% vs 4.47%). Both pay a dividend; Kinetik Holdings Inc. yields more (9.21% vs 7.56%). Across the 22 metrics below, Antero Midstream Corporation leads on 11 and Kinetik Holdings Inc. on 11.

Valuation

Metric AM KNTK Oil & Gas Midstream median
P/E 24.92 18.35 13.19
P/S 8.06 2.04 2.60
P/B 5.11 n/m 2.08
Price to free cash flow 8.61 31.19 10.14
EV/EBITDA 15.10 12.69 8.11
EV/Sales 10.74 4.14 3.89
Earnings yield 4.01% 5.45% 6.83%
Free cash flow yield 11.61% 3.21% 6.94%

Profitability

Metric AM KNTK Oil & Gas Midstream median
Gross margin 78.34% 40.92% 58.81%
Operating margin 52.83% 10.52% 32.14%
Net margin 32.36% 10.41% 21.16%
Free cash flow margin 93.59% 6.54% 10.15%
Return on equity 19.80% (14.28%) 11.30%
Return on assets 6.60% 2.74% 5.00%
Return on invested capital 7.39% 4.47% 6.13%

Growth

Metric AM KNTK Oil & Gas Midstream median
Revenue growth (TTM) 6.87% 14.15% 15.44%
EPS growth (last fiscal year) 3.61% 157.84% —
Revenue growth, 5-year CAGR 5.70% 33.88% 8.96%
Net income growth, 5-year CAGR 0.00% 126.35% 0.00%

Health

Metric AM KNTK Oil & Gas Midstream median
Debt to equity 1.83 (3.34) 0.78
Current ratio 0.84 0.68 1.19
Net debt to EBITDA 3.46 6.79 3.42

Dividend

Metric AM KNTK Oil & Gas Midstream median
Dividend yield 7.56% 9.21% 7.29%
Payout ratio — 1.79 0.64

Size

Metric AM KNTK Oil & Gas Midstream median
Market cap 10.08b 8.53b 3.61b

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