ConocoPhillips (COP) vs Texas Pacific Land Corporation (TPL)

ConocoPhillips and Texas Pacific Land Corporation are both Oil & Gas E&P companies. ConocoPhillips is the larger, with a market value of $170.3B against $23.9B — 7.1× the size. ConocoPhillips trades at the lower P/E: 19.4× against 44.7×. Texas Pacific Land Corporation grew revenue faster over the last twelve months: 20.8% against 8.48%. Texas Pacific Land Corporation has the higher net margin (60.3% vs 14.2%) and the higher return on invested capital (29.5% vs 12.2%). Both pay a dividend; ConocoPhillips yields more (2.29% vs 0.67%). Across the 23 metrics below, Texas Pacific Land Corporation leads on 13 and ConocoPhillips on 10.

Valuation

Metric COP TPL Oil & Gas E&P median
P/E 19.38 44.70 11.01
P/S 2.72 26.95 1.98
P/B 2.72 14.47 1.30
Price to free cash flow 14.62 62.82 10.68
EV/EBITDA 6.92 32.34 5.09
EV/Sales 2.96 26.68 2.63
Earnings yield 5.16% 2.24% 5.78%
Free cash flow yield 6.84% 1.59% 4.91%

Profitability

Metric COP TPL Oil & Gas E&P median
Gross margin 62.56% 100.00% 80.41%
Operating margin 24.14% 74.92% 21.39%
Net margin 14.17% 60.32% 14.17%
Free cash flow margin 18.63% 42.90% 8.18%
Return on equity 14.13% 36.57% 10.05%
Return on assets 7.50% 33.17% 5.81%
Return on invested capital 12.17% 29.52% 6.32%

Growth

Metric COP TPL Oil & Gas E&P median
Revenue growth (TTM) 8.48% 20.82% 9.94%
EPS growth (last fiscal year) (18.69%) 6.04% (10.50%)
Revenue growth, 5-year CAGR 26.16% 21.41% 18.67%
Net income growth, 5-year CAGR 0.00% 22.28% 0.00%

Health

Metric COP TPL Oil & Gas E&P median
Debt to equity 0.36 0.00 0.28
Current ratio 1.54 10.86 0.96
Net debt to EBITDA 0.64 (0.22) 0.89

Dividend

Metric COP TPL Oil & Gas E&P median
Dividend yield 2.29% 0.67% 3.29%
Payout ratio 0.44 0.30 0.35

Size

Metric COP TPL Oil & Gas E&P median
Market cap 170.27b 23.90b 1.04b

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