Granite Ridge Resources, Inc. (GRNT) vs Infinity Natural Resources Inc. (INR)

Granite Ridge Resources, Inc. and Infinity Natural Resources Inc. are both Oil & Gas E&P companies. Infinity Natural Resources Inc. is the larger, with a market value of $848.6M against $598.8M — 1.4× the size. Granite Ridge Resources, Inc. has negative trailing earnings, so its P/E is not meaningful; Infinity Natural Resources Inc. trades at 4.4×. Infinity Natural Resources Inc. grew revenue faster over the last twelve months: 75.4% against 14.6%. Infinity Natural Resources Inc. has the higher net margin (9.70% vs −5.56%) and the higher return on invested capital (14.7% vs 2.36%). Across the 17 metrics below, Infinity Natural Resources Inc. leads on 12 and Granite Ridge Resources, Inc. on 5.

Valuation

Metric GRNT INR Oil & Gas E&P median
P/E n/m 4.37 10.57
P/S 1.17 0.47 1.80
P/B 1.03 0.61 1.27
Price to free cash flow n/m n/m 9.99
EV/EBITDA 3.80 2.11 5.08
EV/Sales 2.01 1.45 2.39
Earnings yield (4.73%) 22.89% 6.06%
Free cash flow yield (17.37%) (72.47%) 6.17%

Profitability

Metric GRNT INR Oil & Gas E&P median
Gross margin 100.00% 85.21% 80.41%
Operating margin 7.47% 40.95% 21.39%
Net margin (5.56%) 9.70% 14.17%
Free cash flow margin (20.35%) (33.88%) 9.71%
Return on equity (4.58%) 24.78% 10.05%
Return on assets (2.35%) 3.16% 5.81%
Return on invested capital 2.36% 14.68% 6.32%

Growth

Metric GRNT INR Oil & Gas E&P median
Revenue growth (TTM) 14.60% 75.40% 9.94%
EPS growth (last fiscal year) 28.57% — —
Revenue growth, 5-year CAGR 38.90% — 18.67%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric GRNT INR Oil & Gas E&P median
Debt to equity 0.82 1.35 0.28
Current ratio 1.02 0.87 0.96
Net debt to EBITDA 1.36 0.74 0.91

Dividend

Metric GRNT INR Oil & Gas E&P median
Dividend yield 8.01% — 4.93%
Payout ratio 0.00 — 0.07

Size

Metric GRNT INR Oil & Gas E&P median
Market cap 598.83m 848.59m 923.59m

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