Golar LNG Limited (GLNG) vs TORM PLC (TRMD)

Golar LNG Limited and TORM PLC are both Oil & Gas Midstream companies. Golar LNG Limited is the larger, with a market value of $4.4B against $3.5B — 1.2× the size. TORM PLC trades at the lower P/E: 5.6× against 27.1×. Golar LNG Limited grew revenue faster over the last twelve months: 59.7% against 33.2%. Golar LNG Limited has the higher net margin (35.7% vs 35.5%) and the lower return on invested capital (3.71% vs 13.2%). Both pay a dividend; TORM PLC yields more (12.8% vs 2.34%). Across the 22 metrics below, TORM PLC leads on 17 and Golar LNG Limited on 5.

Valuation

Metric GLNG TRMD Oil & Gas Midstream median
P/E 27.08 5.59 11.68
P/S 9.56 2.01 2.39
P/B 1.98 1.39 1.68
Price to free cash flow n/m 12.86 8.52
EV/EBITDA 20.49 4.63 9.03
EV/Sales 13.22 2.41 3.43
Earnings yield 3.69% 17.89% 7.78%
Free cash flow yield (10.10%) 7.78% 7.11%

Profitability

Metric GLNG TRMD Oil & Gas Midstream median
Gross margin 65.48% 85.12% 54.87%
Operating margin 50.45% 39.07% 34.73%
Net margin 35.65% 35.48% 20.12%
Free cash flow margin (96.52%) 15.63% 14.43%
Return on equity 7.21% 26.82% 11.73%
Return on assets 3.32% 17.30% 4.43%
Return on invested capital 3.71% 13.19% 6.10%

Growth

Metric GLNG TRMD Oil & Gas Midstream median
Revenue growth (TTM) 59.70% 33.16% 14.88%
EPS growth (last fiscal year) 35.42% (55.19%) (7.78%)
Revenue growth, 5-year CAGR (2.15%) 12.38% 10.05%
Net income growth, 5-year CAGR 0.00% 26.49% 0.00%

Health

Metric GLNG TRMD Oil & Gas Midstream median
Debt to equity 1.22 0.42 0.77
Current ratio 2.34 2.27 1.19
Net debt to EBITDA 9.20 1.52 3.46

Dividend

Metric GLNG TRMD Oil & Gas Midstream median
Dividend yield 2.34% 12.77% 4.94%
Payout ratio 0.63 0.73 0.73

Size

Metric GLNG TRMD Oil & Gas Midstream median
Market cap 4.35b 3.52b 3.56b

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