Eni SpA (E) vs Ecopetrol S.A. (EC)

Eni SpA and Ecopetrol S.A. are both Oil & Gas Integrated companies. Eni SpA is the larger, with a market value of $81.2B against $32.0B — 2.5× the size. Ecopetrol S.A. trades at the lower P/E: 8.3× against 8.9×. Eni SpA grew revenue faster over the last twelve months: 9.40% against −76.8%. Ecopetrol S.A. has the higher net margin (11.7% vs 8.58%) and the higher return on invested capital (9.16% vs 3.67%). Both pay a dividend; Eni SpA yields more (4.41% vs 4.16%). Across the 23 metrics below, Ecopetrol S.A. leads on 12 and Eni SpA on 11.

Valuation

Metric E EC Oil & Gas Integrated median
P/E 8.90 8.26 8.84
P/S 0.77 0.99 1.10
P/B 1.21 1.50 1.43
Price to free cash flow 13.60 6.46 8.19
EV/EBITDA 7.68 4.73 4.43
EV/Sales 0.90 1.86 1.48
Earnings yield 11.23% 12.11% 9.76%
Free cash flow yield 7.35% 15.47% 7.35%

Profitability

Metric E EC Oil & Gas Integrated median
Gross margin 19.54% 36.64% 39.93%
Operating margin 4.46% 27.60% 17.07%
Net margin 8.58% 11.72% 10.24%
Free cash flow margin 5.67% 15.34% 11.16%
Return on equity 13.98% 0.00% 14.86%
Return on assets 5.35% 5.27% 7.07%
Return on invested capital 3.67% 9.16% 12.85%

Growth

Metric E EC Oil & Gas Integrated median
Revenue growth (TTM) 9.40% (76.82%) 13.45%
EPS growth (last fiscal year) 2.92% (24.10%) (14.54%)
Revenue growth, 5-year CAGR 13.01% (18.18%) 12.04%
Net income growth, 5-year CAGR 0.00% 0.34% 0.00%

Health

Metric E EC Oil & Gas Integrated median
Debt to equity 0.59 0.96 0.53
Current ratio 1.18 1.51 1.19
Net debt to EBITDA 1.09 2.26 0.80

Dividend

Metric E EC Oil & Gas Integrated median
Dividend yield 4.41% 4.16% 3.83%
Payout ratio 0.40 0.34 0.34

Size

Metric E EC Oil & Gas Integrated median
Market cap 81.17b 31.95b 47.17b

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