Greenfire Resources Ltd. (GFR) vs Kimbell Royalty (KRP)

Greenfire Resources Ltd. and Kimbell Royalty are both Oil & Gas E&P companies. Kimbell Royalty is the larger, with a market value of $1.9B against $1.3B — 1.5× the size. Greenfire Resources Ltd. has negative trailing earnings, so its P/E is not meaningful; Kimbell Royalty trades at 19.6×. Kimbell Royalty grew revenue faster over the last twelve months: 9.03% against −16.5%. Kimbell Royalty has the higher net margin (21.3% vs −6.42%) and the higher return on invested capital (6.79% vs 0.48%). Across the 18 metrics below, Kimbell Royalty leads on 13 and Greenfire Resources Ltd. on 5.

Valuation

Metric GFR KRP Oil & Gas E&P median
P/E n/m 19.61 9.67
P/S 1.64 4.34 1.76
P/B 0.84 1.93 1.19
Price to free cash flow n/m 12.67 8.37
EV/EBITDA 11.01 7.67 4.59
EV/Sales 1.71 5.79 2.27
Earnings yield (5.07%) 5.10% 7.55%
Free cash flow yield (6.27%) 7.89% 3.98%

Profitability

Metric GFR KRP Oil & Gas E&P median
Gross margin 91.87% 100.00% 79.54%
Operating margin 1.54% 40.20% 24.01%
Net margin (6.42%) 21.31% 14.11%
Free cash flow margin (10.30%) 34.30% 7.72%
Return on equity (3.69%) 10.51% 8.99%
Return on assets (2.89%) 5.35% 4.63%
Return on invested capital 0.48% 6.79% 6.33%

Growth

Metric GFR KRP Oil & Gas E&P median
Revenue growth (TTM) (16.46%) 9.03% 13.60%
EPS growth (last fiscal year) (62.10%) 616.67% (10.17%)
Revenue growth, 5-year CAGR — 29.84% 18.67%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric GFR KRP Oil & Gas E&P median
Debt to equity 0.03 0.69 0.29
Current ratio 0.96 3.79 0.92
Net debt to EBITDA (0.21) 1.53 0.93

Dividend

Metric GFR KRP Oil & Gas E&P median
Dividend yield — 10.60% 3.76%
Payout ratio — 2.08 0.33

Size

Metric GFR KRP Oil & Gas E&P median
Market cap 1.32b 1.93b 953.29m

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