Icahn Enterprises L.P. (IEP) vs Marathon Petroleum Corporation (MPC)

Icahn Enterprises L.P. and Marathon Petroleum Corporation are both Oil & Gas Refining & Marketing companies. Marathon Petroleum Corporation is the larger, with a market value of $108.5B against $4.9B — 22.0× the size. Icahn Enterprises L.P. has negative trailing earnings, so its P/E is not meaningful; Marathon Petroleum Corporation trades at 13.5×. Marathon Petroleum Corporation grew revenue faster over the last twelve months: 15.0% against 10.6%. Marathon Petroleum Corporation has the higher net margin (5.57% vs −4.86%) and the higher return on invested capital (17.4% vs 1.84%). Both pay a dividend; Icahn Enterprises L.P. yields more (31.1% vs 2.00%). Across the 20 metrics below, Marathon Petroleum Corporation leads on 12 and Icahn Enterprises L.P. on 8.

Valuation

Metric IEP MPC Oil & Gas Refining & Marketing median
P/E n/m 13.51 15.04
P/S 0.44 0.74 0.41
P/B 2.17 4.42 1.87
Price to free cash flow n/m 8.19 8.78
EV/EBITDA 8.91 7.94 7.94
EV/Sales 0.60 0.90 0.59
Earnings yield (10.63%) 7.40% 6.15%
Free cash flow yield (5.39%) 12.22% 10.47%

Profitability

Metric IEP MPC Oil & Gas Refining & Marketing median
Gross margin 14.49% 12.50% 12.22%
Operating margin 1.07% 9.20% 5.35%
Net margin (4.86%) 5.57% 2.08%
Free cash flow margin (2.37%) 9.05% 4.25%
Return on equity (18.50%) 34.93% 11.39%
Return on assets (3.71%) 9.90% 5.22%
Return on invested capital 1.84% 17.40% 11.54%

Growth

Metric IEP MPC Oil & Gas Refining & Marketing median
Revenue growth (TTM) 10.62% 14.99% 13.37%
EPS growth (last fiscal year) 44.68% 31.15% —
Revenue growth, 5-year CAGR 9.54% 13.72% 12.77%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric IEP MPC Oil & Gas Refining & Marketing median
Debt to equity 2.98 1.28 0.44
Current ratio 2.87 1.25 1.32
Net debt to EBITDA 1.12 2.52 2.07

Dividend

Metric IEP MPC Oil & Gas Refining & Marketing median
Dividend yield 31.12% 2.00% 3.64%
Payout ratio — 0.10 0.14

Size

Metric IEP MPC Oil & Gas Refining & Marketing median
Market cap 4.93b 108.48b 4.12b

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