California Resources Corporation (CRC) vs Magnolia Oil & Gas Corp (MGY)

California Resources Corporation and Magnolia Oil & Gas Corp are both Oil & Gas E&P companies. Magnolia Oil & Gas Corp is the larger, with a market value of $6.6B against $4.7B — 1.4× the size. California Resources Corporation has negative trailing earnings, so its P/E is not meaningful; Magnolia Oil & Gas Corp trades at 11.1×. Magnolia Oil & Gas Corp grew revenue faster over the last twelve months: 11.4% against −22.5%. Magnolia Oil & Gas Corp has the higher net margin (28.8% vs −3.79%) and the higher return on invested capital (15.7% vs −0.74%). Both pay a dividend; California Resources Corporation yields more (2.98% vs 2.60%). Across the 22 metrics below, Magnolia Oil & Gas Corp leads on 17 and California Resources Corporation on 5.

Valuation

Metric CRC MGY Oil & Gas E&P median
P/E n/m 11.12 11.01
P/S 1.51 3.16 1.98
P/B 1.42 2.18 1.30
Price to free cash flow 12.53 8.39 10.68
EV/EBITDA 13.39 4.68 5.09
EV/Sales 1.93 3.23 2.63
Earnings yield (2.45%) 8.99% 5.78%
Free cash flow yield 7.98% 11.92% 4.91%

Profitability

Metric CRC MGY Oil & Gas E&P median
Gross margin 52.43% 95.20% 80.41%
Operating margin (1.72%) 38.03% 21.39%
Net margin (3.79%) 28.77% 14.17%
Free cash flow margin 12.05% 37.68% 8.18%
Return on equity (3.55%) 20.54% 10.05%
Return on assets (1.75%) 14.19% 5.81%
Return on invested capital (0.74%) 15.67% 6.32%

Growth

Metric CRC MGY Oil & Gas E&P median
Revenue growth (TTM) (22.45%) 11.35% 9.94%
EPS growth (last fiscal year) (10.17%) (10.82%) (10.50%)
Revenue growth, 5-year CAGR 18.67% 19.37% 18.67%
Net income growth, 5-year CAGR (27.12%) 0.00% 0.00%

Health

Metric CRC MGY Oil & Gas E&P median
Debt to equity 0.38 0.18 0.28
Current ratio 0.66 1.58 0.96
Net debt to EBITDA 1.04 0.14 0.89

Dividend

Metric CRC MGY Oil & Gas E&P median
Dividend yield 2.98% 2.60% 3.29%
Payout ratio — 0.29 0.35

Size

Metric CRC MGY Oil & Gas E&P median
Market cap 4.72b 6.57b 1.04b

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