Flex LNG Ltd. (FLNG) vs Navigator Holdings Ltd. (NVGS)

Flex LNG Ltd. and Navigator Holdings Ltd. are both Oil & Gas Midstream companies. Flex LNG Ltd. is the larger, with a market value of $1.4B against $1.2B — 1.2× the size. Navigator Holdings Ltd. trades at the lower P/E: 6.6× against 13.7×. Navigator Holdings Ltd. grew revenue faster over the last twelve months: 6.62% against 1.30%. Navigator Holdings Ltd. has the higher net margin (30.1% vs 28.5%) and the lower return on invested capital (5.28% vs 5.31%). Both pay a dividend; Flex LNG Ltd. yields more (11.5% vs 1.43%). Across the 23 metrics below, Navigator Holdings Ltd. leads on 16 and Flex LNG Ltd. on 7.

Valuation

Metric FLNG NVGS Oil & Gas Midstream median
P/E 13.71 6.55 11.68
P/S 3.90 1.95 2.39
P/B 2.00 0.90 1.68
Price to free cash flow 8.79 3.73 8.52
EV/EBITDA 10.84 5.98 9.03
EV/Sales 7.78 2.75 3.43
Earnings yield 7.30% 15.26% 7.78%
Free cash flow yield 11.38% 26.80% 7.11%

Profitability

Metric FLNG NVGS Oil & Gas Midstream median
Gross margin 73.34% 53.38% 54.87%
Operating margin 49.46% 25.02% 34.73%
Net margin 28.50% 30.06% 20.12%
Free cash flow margin 44.42% 52.18% 14.43%
Return on equity 14.03% 14.27% 11.73%
Return on assets 3.96% 8.17% 4.43%
Return on invested capital 5.31% 5.28% 6.10%

Growth

Metric FLNG NVGS Oil & Gas Midstream median
Revenue growth (TTM) 1.30% 6.62% 14.88%
EPS growth (last fiscal year) (36.70%) 23.53% (7.78%)
Revenue growth, 5-year CAGR 16.15% 12.04% 10.05%
Net income growth, 5-year CAGR 55.97% 0.00% 0.00%

Health

Metric FLNG NVGS Oil & Gas Midstream median
Debt to equity 2.55 0.57 0.77
Current ratio 2.69 1.38 1.19
Net debt to EBITDA 5.50 2.48 3.46

Dividend

Metric FLNG NVGS Oil & Gas Midstream median
Dividend yield 11.52% 1.43% 4.94%
Payout ratio 1.58 0.09 0.73

Size

Metric FLNG NVGS Oil & Gas Midstream median
Market cap 1.38b 1.19b 3.56b

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