Golar LNG Limited (GLNG) vs Hess Midstream Partners LP (HESM)

Golar LNG Limited and Hess Midstream Partners LP are both Oil & Gas Midstream companies. Hess Midstream Partners LP is the larger, with a market value of $6.3B against $4.6B — 1.4× the size. Hess Midstream Partners LP trades at the lower P/E: 10.6× against 28.6×. Golar LNG Limited grew revenue faster over the last twelve months: 59.7% against 2.78%. Golar LNG Limited has the higher net margin (35.7% vs 23.2%) and the lower return on invested capital (3.71% vs 15.4%). Both pay a dividend; Hess Midstream Partners LP yields more (10.1% vs 2.21%). Across the 22 metrics below, Hess Midstream Partners LP leads on 16 and Golar LNG Limited on 6.

Valuation

Metric GLNG HESM Oil & Gas Midstream median
P/E 28.65 10.57 12.77
P/S 10.11 2.44 2.36
P/B 2.09 10.15 2.09
Price to free cash flow n/m 4.70 9.71
EV/EBITDA 21.35 6.15 8.30
EV/Sales 13.77 4.72 3.88
Earnings yield 3.49% 9.46% 7.15%
Free cash flow yield (9.55%) 21.28% 6.86%

Profitability

Metric GLNG HESM Oil & Gas Midstream median
Gross margin 65.48% 100.00% 56.58%
Operating margin 50.45% 62.06% 34.18%
Net margin 35.65% 23.23% 22.50%
Free cash flow margin (96.52%) 51.90% 13.70%
Return on equity 7.21% 83.74% 14.65%
Return on assets 3.32% 8.64% 5.00%
Return on invested capital 3.71% 15.41% 6.13%

Growth

Metric GLNG HESM Oil & Gas Midstream median
Revenue growth (TTM) 59.70% 2.78% 15.60%
EPS growth (last fiscal year) 35.42% 14.86% (7.86%)
Revenue growth, 5-year CAGR (2.15%) 8.23% 9.59%
Net income growth, 5-year CAGR 0.00% 71.19% 0.00%

Health

Metric GLNG HESM Oil & Gas Midstream median
Debt to equity 1.22 9.48 0.78
Current ratio 2.34 0.77 1.19
Net debt to EBITDA 9.20 3.05 3.42

Dividend

Metric GLNG HESM Oil & Gas Midstream median
Dividend yield 2.21% 10.07% 4.54%
Payout ratio 0.63 1.06 0.76

Size

Metric GLNG HESM Oil & Gas Midstream median
Market cap 4.59b 6.31b 3.73b

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