Equinor ASA (EQNR) vs Shell PLC Unsponsored ADR (SHEL)

Equinor ASA and Shell PLC Unsponsored ADR are both Oil & Gas Integrated companies. Shell PLC Unsponsored ADR is the larger, with a market value of $294.9B against $107.4B — 2.7× the size. Shell PLC Unsponsored ADR trades at the lower P/E: 11.6× against 12.8×. Shell PLC Unsponsored ADR grew revenue faster over the last twelve months: 10.1% against 5.78%. Shell PLC Unsponsored ADR has the higher net margin (8.55% vs 7.92%) and the lower return on invested capital (13.1% vs 46.6%). Across the 21 metrics below, Shell PLC Unsponsored ADR leads on 13 and Equinor ASA on 8.

Valuation

Metric EQNR SHEL Oil & Gas Integrated median
P/E 12.80 11.64 12.62
P/S 1.00 0.98 1.29
P/B 2.65 1.64 1.62
Price to free cash flow 9.32 9.06 10.23
EV/EBITDA 2.58 4.70 4.86
EV/Sales 1.00 1.09 1.52
Earnings yield 7.81% 8.59% 7.04%
Free cash flow yield 10.73% 11.04% 6.09%

Profitability

Metric EQNR SHEL Oil & Gas Integrated median
Gross margin 51.16% 27.55% 39.18%
Operating margin 28.44% 14.81% 14.90%
Net margin 7.92% 8.55% 8.88%
Free cash flow margin 10.72% 10.81% 9.61%
Return on equity 21.28% 14.24% 12.22%
Return on assets 6.47% 6.76% 6.47%
Return on invested capital 46.59% 13.13% 10.61%

Growth

Metric EQNR SHEL Oil & Gas Integrated median
Revenue growth (TTM) 5.78% 10.06% 5.63%
EPS growth (last fiscal year) (37.62%) 18.58% (14.54%)
Revenue growth, 5-year CAGR 18.37% 8.36% 12.04%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric EQNR SHEL Oil & Gas Integrated median
Debt to equity 0.56 0.40 0.55
Current ratio 1.18 1.43 1.18
Net debt to EBITDA 0.18 0.61 0.80

Dividend

Metric EQNR SHEL Oil & Gas Integrated median
Dividend yield 3.24% — 3.24%
Payout ratio 0.41 — 0.52

Size

Metric EQNR SHEL Oil & Gas Integrated median
Market cap 107.39b 294.92b 58.96b

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