BW LPG Limited (BWLP) vs Scorpio Tankers Inc. (STNG)

BW LPG Limited and Scorpio Tankers Inc. are both Oil & Gas Midstream companies. Scorpio Tankers Inc. is the larger, with a market value of $4.1B against $3.3B — 1.3× the size. Scorpio Tankers Inc. trades at the lower P/E: 3.9× against 7.4×. Scorpio Tankers Inc. grew revenue faster over the last twelve months: 39.5% against −0.78%. Scorpio Tankers Inc. has the higher net margin (77.1% vs 12.6%) and the higher return on invested capital (27.2% vs 13.9%). Both pay a dividend; BW LPG Limited yields more (11.8% vs 2.17%). Across the 21 metrics below, Scorpio Tankers Inc. leads on 17 and BW LPG Limited on 4.

Valuation

Metric BWLP STNG Oil & Gas Midstream median
P/E 7.38 3.94 11.68
P/S 0.94 3.00 2.39
P/B 1.61 0.97 1.68
Price to free cash flow 4.79 1.96 8.52
EV/EBITDA 4.64 2.05 9.03
EV/Sales 1.08 1.95 3.43
Earnings yield 13.55% 25.36% 7.78%
Free cash flow yield 20.87% 51.09% 7.11%

Profitability

Metric BWLP STNG Oil & Gas Midstream median
Gross margin 25.94% 73.92% 54.87%
Operating margin 16.17% 82.21% 34.73%
Net margin 12.64% 77.07% 20.12%
Free cash flow margin 19.52% 153.45% 14.43%
Return on equity 22.47% 27.58% 11.73%
Return on assets 13.16% 21.92% 4.43%
Return on invested capital 13.88% 27.23% 6.10%

Growth

Metric BWLP STNG Oil & Gas Midstream median
Revenue growth (TTM) (0.78%) 39.48% 14.88%
EPS growth (last fiscal year) (39.39%) (46.54%) (7.78%)
Revenue growth, 5-year CAGR — 0.48% 10.05%
Net income growth, 5-year CAGR — 29.61% 0.00%

Health

Metric BWLP STNG Oil & Gas Midstream median
Debt to equity 0.42 0.14 0.77
Current ratio 1.44 20.65 1.19
Net debt to EBITDA 1.07 (0.28) 3.46

Dividend

Metric BWLP STNG Oil & Gas Midstream median
Dividend yield 11.80% 2.17% 4.94%
Payout ratio 0.87 0.09 0.73

Size

Metric BWLP STNG Oil & Gas Midstream median
Market cap 3.28b 4.12b 3.56b

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