Icahn Enterprises L.P. (IEP) vs Phillips 66 (PSX)

Icahn Enterprises L.P. and Phillips 66 are both Oil & Gas Refining & Marketing companies. Phillips 66 is the larger, with a market value of $101.3B against $4.9B — 20.5× the size. Icahn Enterprises L.P. has negative trailing earnings, so its P/E is not meaningful; Phillips 66 trades at 14.5×. Phillips 66 grew revenue faster over the last twelve months: 14.4% against 10.6%. Phillips 66 has the higher net margin (4.66% vs −4.86%) and the higher return on invested capital (11.1% vs 1.84%). Both pay a dividend; Icahn Enterprises L.P. yields more (31.1% vs 2.97%). Across the 20 metrics below, Phillips 66 leads on 12 and Icahn Enterprises L.P. on 8.

Valuation

Metric IEP PSX Oil & Gas Refining & Marketing median
P/E n/m 14.51 15.04
P/S 0.44 0.67 0.41
P/B 2.17 3.14 1.87
Price to free cash flow n/m 16.04 8.78
EV/EBITDA 8.91 10.29 7.94
EV/Sales 0.60 0.78 0.59
Earnings yield (10.63%) 6.89% 6.15%
Free cash flow yield (5.39%) 6.24% 10.47%

Profitability

Metric IEP PSX Oil & Gas Refining & Marketing median
Gross margin 14.49% 13.10% 12.22%
Operating margin 1.07% 5.74% 5.35%
Net margin (4.86%) 4.66% 2.08%
Free cash flow margin (2.37%) 4.20% 4.25%
Return on equity (18.50%) 23.13% 11.39%
Return on assets (3.71%) 8.99% 5.22%
Return on invested capital 1.84% 11.10% 11.54%

Growth

Metric IEP PSX Oil & Gas Refining & Marketing median
Revenue growth (TTM) 10.62% 14.44% 13.37%
EPS growth (last fiscal year) 44.68% 116.23% —
Revenue growth, 5-year CAGR 9.54% 15.60% 12.77%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric IEP PSX Oil & Gas Refining & Marketing median
Debt to equity 2.98 0.63 0.44
Current ratio 2.87 1.32 1.32
Net debt to EBITDA 1.12 2.07 2.07

Dividend

Metric IEP PSX Oil & Gas Refining & Marketing median
Dividend yield 31.12% 2.97% 3.64%
Payout ratio — 0.17 0.14

Size

Metric IEP PSX Oil & Gas Refining & Marketing median
Market cap 4.93b 101.31b 4.12b

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