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 $2.1B — 1.5× the size. Black Stone Minerals, L.P. trades at the lower P/E: 12.4× against 19.4×. Kimbell Royalty grew revenue faster over the last twelve months: 6.17% against 5.07%. Black Stone Minerals, L.P. has the higher net margin (55.3% vs 23.0%) and the higher return on invested capital (14.1% vs 7.76%). Both pay a dividend; Kimbell Royalty yields more (9.83% vs 8.12%). Across the 22 metrics below, Black Stone Minerals, L.P. leads on 11 and Kimbell Royalty on 11.

Valuation

Metric BSM KRP Oil & Gas E&P median
P/E 12.42 19.38 11.01
P/S 6.95 4.60 1.98
P/B 3.93 2.34 1.30
Price to free cash flow 10.41 8.12 10.68
EV/EBITDA 10.13 7.64 5.09
EV/Sales 7.38 5.87 2.63
Earnings yield 8.05% 5.16% 5.78%
Free cash flow yield 9.61% 12.32% 4.91%

Profitability

Metric BSM KRP Oil & Gas E&P median
Gross margin 100.00% 100.00% 80.41%
Operating margin 64.34% 40.15% 21.39%
Net margin 55.30% 23.03% 14.17%
Free cash flow margin 66.81% 56.63% 8.18%
Return on equity 31.47% 11.97% 10.05%
Return on assets 19.30% 6.02% 5.81%
Return on invested capital 14.13% 7.76% 6.32%

Growth

Metric BSM KRP Oil & Gas E&P median
Revenue growth (TTM) 5.07% 6.17% 9.94%
EPS growth (last fiscal year) 11.30% 616.67% (10.50%)
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 0.72 0.28
Current ratio 3.76 7.30 0.96
Net debt to EBITDA 0.44 1.53 0.89

Dividend

Metric BSM KRP Oil & Gas E&P median
Dividend yield 8.12% 9.83% 3.29%
Payout ratio 1.01 1.90 0.35

Size

Metric BSM KRP Oil & Gas E&P median
Market cap 3.14b 2.05b 1.04b

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