Infinity Natural Resources Inc. (INR) vs TXO Partners LP (TXO)

Infinity Natural Resources Inc. and TXO Partners LP are both Oil & Gas E&P companies. Infinity Natural Resources Inc. and TXO Partners LP are of similar size ($848.6M and $791.8M). TXO Partners LP 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 22.2%. Infinity Natural Resources Inc. has the higher net margin (9.70% vs −9.23%) and the higher return on invested capital (14.7% vs −3.33%). Across the 17 metrics below, Infinity Natural Resources Inc. leads on 13 and TXO Partners LP on 4.

Valuation

Metric INR TXO Oil & Gas E&P median
P/E 4.37 n/m 10.57
P/S 0.47 1.96 1.80
P/B 0.61 1.23 1.27
Price to free cash flow n/m 66.02 9.99
EV/EBITDA 2.11 9.07 5.08
EV/Sales 1.45 2.36 2.39
Earnings yield 22.89% (5.16%) 6.06%
Free cash flow yield (72.47%) 1.51% 6.17%

Profitability

Metric INR TXO Oil & Gas E&P median
Gross margin 85.21% 53.10% 80.41%
Operating margin 40.95% (10.63%) 21.39%
Net margin 9.70% (9.23%) 14.17%
Free cash flow margin (33.88%) 2.96% 9.71%
Return on equity 24.78% (5.35%) 10.05%
Return on assets 3.16% (3.26%) 5.81%
Return on invested capital 14.68% (3.33%) 6.32%

Growth

Metric INR TXO Oil & Gas E&P median
Revenue growth (TTM) 75.40% 22.18% 9.94%
EPS growth (last fiscal year) — (166.15%) —
Revenue growth, 5-year CAGR — 29.82% 18.67%
Net income growth, 5-year CAGR — 0.00% 0.00%

Health

Metric INR TXO Oil & Gas E&P median
Debt to equity 1.35 0.42 0.28
Current ratio 0.87 1.05 0.96
Net debt to EBITDA 0.74 2.60 0.91

Dividend

Metric INR TXO Oil & Gas E&P median
Dividend yield — 10.97% 4.93%
Payout ratio — — 0.07

Size

Metric INR TXO Oil & Gas E&P median
Market cap 848.59m 791.77m 923.59m

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