ARKO Petroleum Corp. (APC) vs Icahn Enterprises L.P. (IEP)

ARKO Petroleum Corp. and Icahn Enterprises L.P. are both Oil & Gas Refining & Marketing companies. Icahn Enterprises L.P. is the larger, with a market value of $3.7B against $714.5M — 5.2× the size. Icahn Enterprises L.P. has negative trailing earnings, so its P/E is not meaningful; ARKO Petroleum Corp. trades at 15.4×. ARKO Petroleum Corp. has the higher net margin (0.65% vs −4.86%) and the higher return on invested capital (163.7% vs 1.84%). Across the 17 metrics below, ARKO Petroleum Corp. leads on 13 and Icahn Enterprises L.P. on 4.

Valuation

Metric APC IEP Oil & Gas Refining & Marketing median
P/E 15.40 n/m 11.95
P/S 0.12 0.32 0.36
P/B 2.78 1.61 1.67
Price to free cash flow 9.09 n/m 8.06
EV/EBITDA 0.69 7.22 6.84
EV/Sales 0.17 0.49 0.55
Earnings yield 6.49% (14.37%) 6.59%
Free cash flow yield 11.00% (7.29%) 11.61%

Profitability

Metric APC IEP Oil & Gas Refining & Marketing median
Gross margin 25.84% 14.49% 14.49%
Operating margin 23.16% 1.07% 7.14%
Net margin 0.65% (4.86%) 2.29%
Free cash flow margin 1.33% (2.37%) 4.55%
Return on equity 0.00% (18.50%) 14.90%
Return on assets 5.55% (3.71%) 5.52%
Return on invested capital 163.72% 1.84% 13.76%

Growth

Metric APC IEP Oil & Gas Refining & Marketing median
Revenue growth (TTM) — 10.62% 19.06%
EPS growth (last fiscal year) (18.20%) 44.68% 37.92%
Revenue growth, 5-year CAGR — 9.54% 13.17%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric APC IEP Oil & Gas Refining & Marketing median
Debt to equity 1.09 2.98 0.48
Current ratio 1.18 2.87 1.32
Net debt to EBITDA 3.47 1.12 2.07

Dividend

Metric APC IEP Oil & Gas Refining & Marketing median
Dividend yield — 38.83% 2.31%
Payout ratio — — 0.35

Size

Metric APC IEP Oil & Gas Refining & Marketing median
Market cap 714.50m 3.69b 4.16b

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