Black Stone Minerals, L.P. (BSM) vs Kimbell Royalty (KRP)

Black Stone Minerals, L.P. and Kimbell Royalty are both Oil & Gas E&P companies. Black Stone Minerals, L.P. is the larger, with a market value of $3.1B against $1.9B — 1.6× the size. Black Stone Minerals, L.P. trades at the lower P/E: 13.6× against 19.6×. Kimbell Royalty grew revenue faster over the last twelve months: 9.03% against −1.88%. Black Stone Minerals, L.P. has the higher net margin (50.3% vs 21.3%) and the higher return on invested capital (12.6% vs 6.79%). Both pay a dividend; Kimbell Royalty yields more (10.6% vs 8.84%). Across the 22 metrics below, Black Stone Minerals, L.P. leads on 13 and Kimbell Royalty on 9.

Valuation

Metric BSM KRP Oil & Gas E&P median
P/E 13.60 19.61 9.67
P/S 7.16 4.34 1.76
P/B 3.86 1.93 1.19
Price to free cash flow 10.10 12.67 8.37
EV/EBITDA 10.93 7.67 4.59
EV/Sales 7.60 5.79 2.27
Earnings yield 7.36% 5.10% 7.55%
Free cash flow yield 9.91% 7.89% 3.98%

Profitability

Metric BSM KRP Oil & Gas E&P median
Gross margin 100.00% 100.00% 79.54%
Operating margin 60.40% 40.20% 24.01%
Net margin 50.32% 21.31% 14.11%
Free cash flow margin 70.90% 34.30% 7.72%
Return on equity 26.56% 10.51% 8.99%
Return on assets 16.24% 5.35% 4.63%
Return on invested capital 12.56% 6.79% 6.33%

Growth

Metric BSM KRP Oil & Gas E&P median
Revenue growth (TTM) (1.88%) 9.03% 13.60%
EPS growth (last fiscal year) 11.30% 616.67% (10.17%)
Revenue growth, 5-year CAGR 6.51% 29.84% 18.67%
Net income growth, 5-year CAGR 21.82% 0.00% 0.00%

Health

Metric BSM KRP Oil & Gas E&P median
Debt to equity 0.18 0.69 0.29
Current ratio 1.78 3.79 0.92
Net debt to EBITDA 0.44 1.53 0.93

Dividend

Metric BSM KRP Oil & Gas E&P median
Dividend yield 8.84% 10.60% 3.76%
Payout ratio 1.20 2.08 0.33

Size

Metric BSM KRP Oil & Gas E&P median
Market cap 3.05b 1.93b 953.29m

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