Golar LNG Limited (GLNG) vs Scorpio Tankers Inc. (STNG)

Golar LNG Limited and Scorpio Tankers Inc. are both Oil & Gas Midstream companies. Golar LNG Limited and Scorpio Tankers Inc. are of similar size ($4.4B and $4.1B). Scorpio Tankers Inc. trades at the lower P/E: 3.9× against 27.1×. Golar LNG Limited grew revenue faster over the last twelve months: 59.7% against 39.5%. Scorpio Tankers Inc. has the higher net margin (77.1% vs 35.7%) and the higher return on invested capital (27.2% vs 3.71%). Both pay a dividend; Golar LNG Limited yields more (2.34% vs 2.17%). Across the 22 metrics below, Scorpio Tankers Inc. leads on 19 and Golar LNG Limited on 3.

Valuation

Metric GLNG STNG Oil & Gas Midstream median
P/E 27.08 3.94 11.68
P/S 9.56 3.00 2.39
P/B 1.98 0.97 1.68
Price to free cash flow n/m 1.96 8.52
EV/EBITDA 20.49 2.05 9.03
EV/Sales 13.22 1.95 3.43
Earnings yield 3.69% 25.36% 7.78%
Free cash flow yield (10.10%) 51.09% 7.11%

Profitability

Metric GLNG STNG Oil & Gas Midstream median
Gross margin 65.48% 73.92% 54.87%
Operating margin 50.45% 82.21% 34.73%
Net margin 35.65% 77.07% 20.12%
Free cash flow margin (96.52%) 153.45% 14.43%
Return on equity 7.21% 27.58% 11.73%
Return on assets 3.32% 21.92% 4.43%
Return on invested capital 3.71% 27.23% 6.10%

Growth

Metric GLNG STNG Oil & Gas Midstream median
Revenue growth (TTM) 59.70% 39.48% 14.88%
EPS growth (last fiscal year) 35.42% (46.54%) (7.78%)
Revenue growth, 5-year CAGR (2.15%) 0.48% 10.05%
Net income growth, 5-year CAGR 0.00% 29.61% 0.00%

Health

Metric GLNG STNG Oil & Gas Midstream median
Debt to equity 1.22 0.14 0.77
Current ratio 2.34 20.65 1.19
Net debt to EBITDA 9.20 (0.28) 3.46

Dividend

Metric GLNG STNG Oil & Gas Midstream median
Dividend yield 2.34% 2.17% 4.94%
Payout ratio 0.63 0.09 0.73

Size

Metric GLNG STNG Oil & Gas Midstream median
Market cap 4.35b 4.12b 3.56b

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