Enterprise Products Partners L.P. (EPD) vs ONEOK, Inc. (OKE)

Enterprise Products Partners L.P. and ONEOK, Inc. are both Oil & Gas Midstream companies. Enterprise Products Partners L.P. is the larger, with a market value of $80.5B against $57.5B — 1.4× the size. Enterprise Products Partners L.P. trades at the lower P/E: 12.8× against 15.3×. ONEOK, Inc. grew revenue faster over the last twelve months: 40.8% against 6.78%. Enterprise Products Partners L.P. has the higher net margin (10.7% vs 9.29%) and the higher return on invested capital (7.68% vs 7.02%). Both pay a dividend; Enterprise Products Partners L.P. yields more (8.06% vs 5.56%). Across the 22 metrics below, Enterprise Products Partners L.P. leads on 14 and ONEOK, Inc. on 8.

Valuation

Metric EPD OKE Oil & Gas Midstream median
P/E 12.76 15.31 13.19
P/S 1.36 1.42 2.60
P/B 2.56 2.43 2.08
Price to free cash flow 19.27 19.28 10.14
EV/EBITDA 10.58 11.44 8.11
EV/Sales 1.92 2.22 3.89
Earnings yield 7.84% 6.53% 6.83%
Free cash flow yield 5.19% 5.19% 6.94%

Profitability

Metric EPD OKE Oil & Gas Midstream median
Gross margin 13.25% 27.21% 58.81%
Operating margin 13.43% 15.52% 32.14%
Net margin 10.68% 9.29% 21.16%
Free cash flow margin 7.06% 7.38% 10.15%
Return on equity 20.48% 16.27% 11.30%
Return on assets 7.84% 5.49% 5.00%
Return on invested capital 7.68% 7.02% 6.13%

Growth

Metric EPD OKE Oil & Gas Midstream median
Revenue growth (TTM) 6.78% 40.83% 15.44%
EPS growth (last fiscal year) (1.12%) 4.84% —
Revenue growth, 5-year CAGR 14.10% 31.53% 8.96%
Net income growth, 5-year CAGR 8.80% 40.87% 0.00%

Health

Metric EPD OKE Oil & Gas Midstream median
Debt to equity 1.07 1.37 0.78
Current ratio 0.93 0.74 1.19
Net debt to EBITDA 3.35 4.40 3.42

Dividend

Metric EPD OKE Oil & Gas Midstream median
Dividend yield 8.06% 5.56% 7.29%
Payout ratio — 0.70 0.64

Size

Metric EPD OKE Oil & Gas Midstream median
Market cap 80.48b 57.48b 3.61b

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