Enterprise Products Partners L.P. (EPD) vs Kinder Morgan, Inc. (KMI)

Enterprise Products Partners L.P. and Kinder Morgan, Inc. are both Oil & Gas Midstream companies. Enterprise Products Partners L.P. is the larger, with a market value of $79.1B against $67.3B — 1.2× the size. Enterprise Products Partners L.P. trades at the lower P/E: 12.2× against 18.5×. Enterprise Products Partners L.P. grew revenue faster over the last twelve months: 21.5% against 11.7%. Kinder Morgan, Inc. has the higher net margin (19.6% vs 10.1%) and the lower return on invested capital (5.11% vs 7.93%). Both pay a dividend; Enterprise Products Partners L.P. yields more (6.01% vs 3.95%). Across the 23 metrics below, Enterprise Products Partners L.P. leads on 15 and Kinder Morgan, Inc. on 8.

Valuation

Metric EPD KMI Oil & Gas Midstream median
P/E 12.20 18.52 11.80
P/S 1.24 3.64 2.38
P/B 2.56 2.04 1.65
Price to free cash flow 14.59 25.24 7.76
EV/EBITDA 10.26 12.66 7.88
EV/Sales 1.75 5.39 3.36
Earnings yield 8.19% 5.40% 7.98%
Free cash flow yield 6.85% 3.96% 7.23%

Profitability

Metric EPD KMI Oil & Gas Midstream median
Gross margin 12.50% 66.38% 55.22%
Operating margin 12.67% 28.97% 35.83%
Net margin 10.14% 19.64% 20.12%
Free cash flow margin 8.49% 14.43% 14.43%
Return on equity 21.33% 11.11% 14.03%
Return on assets 8.09% 4.88% 4.62%
Return on invested capital 7.93% 5.11% 6.10%

Growth

Metric EPD KMI Oil & Gas Midstream median
Revenue growth (TTM) 21.49% 11.74% 15.70%
EPS growth (last fiscal year) (1.12%) 17.09% (7.78%)
Revenue growth, 5-year CAGR 14.10% 7.68% 10.05%
Net income growth, 5-year CAGR 8.80% 91.39% 0.00%

Health

Metric EPD KMI Oil & Gas Midstream median
Debt to equity 1.07 1.01 0.77
Current ratio 0.93 0.67 1.16
Net debt to EBITDA 3.35 4.44 3.46

Dividend

Metric EPD KMI Oil & Gas Midstream median
Dividend yield 6.01% 3.95% 5.03%
Payout ratio 0.73 0.73 0.73

Size

Metric EPD KMI Oil & Gas Midstream median
Market cap 79.08b 67.25b 3.30b

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