EQT Corporation (EQT) vs Diamondback Energy, Inc. (FANG)

EQT Corporation and Diamondback Energy, Inc. are both Oil & Gas E&P companies. Diamondback Energy, Inc. is the larger, with a market value of $52.3B against $32.5B — 1.6× the size. EQT Corporation trades at the lower P/E: 11.7× against 36.4×. EQT Corporation grew revenue faster over the last twelve months: 32.3% against 21.5%. EQT Corporation has the higher net margin (28.4% vs 8.58%) and the higher return on invested capital (7.36% vs 1.20%). Both pay a dividend; Diamondback Energy, Inc. yields more (5.25% vs 1.69%). Across the 22 metrics below, EQT Corporation leads on 14 and Diamondback Energy, Inc. on 8.

Valuation

Metric EQT FANG Oil & Gas E&P median
P/E 11.71 36.39 10.57
P/S 3.34 3.07 1.80
P/B 1.10 1.19 1.27
Price to free cash flow 8.45 5.99 9.99
EV/EBITDA 5.53 10.22 5.08
EV/Sales 3.92 3.78 2.39
Earnings yield 8.54% 2.75% 6.06%
Free cash flow yield 11.84% 16.70% 6.17%

Profitability

Metric EQT FANG Oil & Gas E&P median
Gross margin 79.26% 84.75% 80.41%
Operating margin 42.47% 6.33% 21.39%
Net margin 28.44% 8.58% 14.17%
Free cash flow margin 39.48% 51.26% 9.71%
Return on equity 10.05% 3.38% 10.05%
Return on assets 6.70% 2.06% 5.81%
Return on invested capital 7.36% 1.20% 6.32%

Growth

Metric EQT FANG Oil & Gas E&P median
Revenue growth (TTM) 32.32% 21.45% 9.94%
EPS growth (last fiscal year) 635.56% (63.10%) —
Revenue growth, 5-year CAGR 23.09% 39.81% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric EQT FANG Oil & Gas E&P median
Debt to equity 0.20 0.29 0.28
Current ratio 0.67 0.47 0.96
Net debt to EBITDA 1.31 2.28 0.91

Dividend

Metric EQT FANG Oil & Gas E&P median
Dividend yield 1.69% 5.25% 4.93%
Payout ratio 0.07 0.47 0.07

Size

Metric EQT FANG Oil & Gas E&P median
Market cap 32.45b 52.34b 923.59m

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