Kinder Morgan, Inc. (KMI) vs Cheniere Energy, Inc. (LNG)

Kinder Morgan, Inc. and Cheniere Energy, Inc. are both Oil & Gas Midstream companies. Kinder Morgan, Inc. is the larger, with a market value of $73.1B against $57.7B — 1.3× the size. Cheniere Energy, Inc. trades at the lower P/E: 21.4× against 21.9×. Cheniere Energy, Inc. grew revenue faster over the last twelve months: 17.5% against 12.5%. Kinder Morgan, Inc. has the higher net margin (19.3% vs 13.5%) and the lower return on invested capital (5.02% vs 11.8%). Both pay a dividend; Kinder Morgan, Inc. yields more (3.45% vs 0.77%). Across the 23 metrics below, Cheniere Energy, Inc. leads on 16 and Kinder Morgan, Inc. on 7.

Valuation

Metric KMI LNG Oil & Gas Midstream median
P/E 21.92 21.44 12.77
P/S 4.24 2.81 2.36
P/B 2.31 5.26 2.09
Price to free cash flow 28.66 22.31 9.71
EV/EBITDA 14.06 10.50 8.30
EV/Sales 6.03 3.86 3.88
Earnings yield 4.56% 4.66% 7.15%
Free cash flow yield 3.49% 4.48% 6.86%

Profitability

Metric KMI LNG Oil & Gas Midstream median
Gross margin 66.61% 38.53% 56.58%
Operating margin 29.05% 29.89% 34.18%
Net margin 19.31% 13.50% 22.50%
Free cash flow margin 14.78% 12.61% 13.70%
Return on equity 10.67% 25.52% 14.65%
Return on assets 4.74% 6.27% 5.00%
Return on invested capital 5.02% 11.80% 6.13%

Growth

Metric KMI LNG Oil & Gas Midstream median
Revenue growth (TTM) 12.46% 17.54% 15.60%
EPS growth (last fiscal year) 17.09% 69.93% (7.86%)
Revenue growth, 5-year CAGR 7.68% 16.38% 9.59%
Net income growth, 5-year CAGR 91.39% 0.00% 0.00%

Health

Metric KMI LNG Oil & Gas Midstream median
Debt to equity 0.98 2.09 0.78
Current ratio 0.46 0.87 1.19
Net debt to EBITDA 4.44 2.03 3.42

Dividend

Metric KMI LNG Oil & Gas Midstream median
Dividend yield 3.45% 0.77% 4.54%
Payout ratio 0.76 0.17 0.76

Size

Metric KMI LNG Oil & Gas Midstream median
Market cap 73.08b 57.65b 3.73b

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