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 is the larger, with a market value of $4.6B against $4.2B — 1.1× the size. Scorpio Tankers Inc. trades at the lower P/E: 4.6× against 28.6×. Golar LNG Limited grew revenue faster over the last twelve months: 59.7% against 32.7%. Scorpio Tankers Inc. has the higher net margin (67.2% vs 35.7%) and the higher return on invested capital (20.6% vs 3.71%). Both pay a dividend; Golar LNG Limited yields more (2.21% 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 28.65 4.63 12.77
P/S 10.11 3.06 2.36
P/B 2.09 1.02 2.09
Price to free cash flow n/m 2.13 9.71
EV/EBITDA 21.35 2.59 8.30
EV/Sales 13.77 2.15 3.88
Earnings yield 3.49% 21.58% 7.15%
Free cash flow yield (9.55%) 46.99% 6.86%

Profitability

Metric GLNG STNG Oil & Gas Midstream median
Gross margin 65.48% 72.97% 56.58%
Operating margin 50.45% 68.57% 34.18%
Net margin 35.65% 67.16% 22.50%
Free cash flow margin (96.52%) 144.00% 13.70%
Return on equity 7.21% 24.62% 14.65%
Return on assets 3.32% 18.95% 5.00%
Return on invested capital 3.71% 20.59% 6.13%

Growth

Metric GLNG STNG Oil & Gas Midstream median
Revenue growth (TTM) 59.70% 32.68% 15.60%
EPS growth (last fiscal year) 35.42% (46.54%) (7.86%)
Revenue growth, 5-year CAGR (2.15%) 0.48% 9.59%
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 0.20 0.78
Current ratio 2.34 6.93 1.19
Net debt to EBITDA 9.20 (0.28) 3.42

Dividend

Metric GLNG STNG Oil & Gas Midstream median
Dividend yield 2.21% 2.17% 4.54%
Payout ratio 0.63 0.11 0.76

Size

Metric GLNG STNG Oil & Gas Midstream median
Market cap 4.59b 4.15b 3.73b

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