Frontline PLC (FRO) vs Plains All American Pipeline, L.P. (PAA)

Frontline PLC and Plains All American Pipeline, L.P. are both Oil & Gas Midstream companies. Plains All American Pipeline, L.P. is the larger, with a market value of $17.3B against $10.0B — 1.7× the size. Frontline PLC trades at the lower P/E: 6.7× against 6.8×. Frontline PLC grew revenue faster over the last twelve months: 63.5% against 13.1%. Frontline PLC has the higher net margin (49.4% vs 4.87%) and the higher return on invested capital (19.4% vs 4.74%). Both pay a dividend; Frontline PLC yields more (12.0% vs 6.80%). Across the 23 metrics below, Frontline PLC leads on 16 and Plains All American Pipeline, L.P. on 7.

Valuation

Metric FRO PAA Oil & Gas Midstream median
P/E 6.72 6.81 11.68
P/S 3.32 0.33 2.39
P/B 3.17 1.42 1.68
Price to free cash flow 5.90 7.11 8.52
EV/EBITDA 7.42 9.46 9.03
EV/Sales 4.02 0.47 3.43
Earnings yield 14.87% 14.69% 7.78%
Free cash flow yield 16.94% 14.06% 7.11%

Profitability

Metric FRO PAA Oil & Gas Midstream median
Gross margin 66.67% 5.55% 54.87%
Operating margin 54.14% 3.14% 34.73%
Net margin 49.37% 4.87% 20.12%
Free cash flow margin 56.19% 4.66% 14.43%
Return on equity 53.85% 21.98% 11.73%
Return on assets 24.94% 9.03% 4.43%
Return on invested capital 19.35% 4.74% 6.10%

Growth

Metric FRO PAA Oil & Gas Midstream median
Revenue growth (TTM) 63.48% 13.08% 14.88%
EPS growth (last fiscal year) (23.77%) 127.40% (7.78%)
Revenue growth, 5-year CAGR 10.05% 13.70% 10.05%
Net income growth, 5-year CAGR (1.69%) 0.00% 0.00%

Health

Metric FRO PAA Oil & Gas Midstream median
Debt to equity 0.77 0.59 0.77
Current ratio 1.87 1.12 1.19
Net debt to EBITDA 3.03 4.58 3.46

Dividend

Metric FRO PAA Oil & Gas Midstream median
Dividend yield 12.00% 6.80% 4.94%
Payout ratio 0.81 0.46 0.73

Size

Metric FRO PAA Oil & Gas Midstream median
Market cap 9.95b 17.31b 3.56b

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