Kimbell Royalty (KRP) vs Northern Oil and Gas, Inc. (NOG)

Kimbell Royalty and Northern Oil and Gas, Inc. are both Oil & Gas E&P companies. Northern Oil and Gas, Inc. is the larger, with a market value of $2.5B against $1.9B — 1.3× the size. Northern Oil and Gas, Inc. has negative trailing earnings, so its P/E is not meaningful; Kimbell Royalty trades at 17.3×. Kimbell Royalty grew revenue faster over the last twelve months: 6.17% against −25.6%. Kimbell Royalty has the higher net margin (23.0% vs −25.4%) and the higher return on invested capital (7.76% vs −6.22%). Both pay a dividend; Kimbell Royalty yields more (11.3% vs 4.49%). Across the 20 metrics below, Kimbell Royalty leads on 16 and Northern Oil and Gas, Inc. on 4.

Valuation

Metric KRP NOG Oil & Gas E&P median
P/E 17.35 n/m 10.57
P/S 4.11 1.29 1.80
P/B 2.10 1.24 1.27
Price to free cash flow 7.26 n/m 9.99
EV/EBITDA 7.01 15.25 5.08
EV/Sales 5.39 2.70 2.39
Earnings yield 5.77% (22.03%) 6.06%
Free cash flow yield 13.77% (11.93%) 6.17%

Profitability

Metric KRP NOG Oil & Gas E&P median
Gross margin 100.00% 66.68% 80.41%
Operating margin 40.15% (24.10%) 21.39%
Net margin 23.03% (25.35%) 14.17%
Free cash flow margin 56.63% (15.34%) 9.71%
Return on equity 11.97% (22.05%) 10.05%
Return on assets 6.02% (8.43%) 5.81%
Return on invested capital 7.76% (6.22%) 6.32%

Growth

Metric KRP NOG Oil & Gas E&P median
Revenue growth (TTM) 6.17% (25.62%) 9.94%
EPS growth (last fiscal year) 616.67% (92.41%) —
Revenue growth, 5-year CAGR 29.84% 35.00% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric KRP NOG Oil & Gas E&P median
Debt to equity 0.72 1.37 0.28
Current ratio 7.30 0.80 0.96
Net debt to EBITDA 1.53 2.07 0.91

Dividend

Metric KRP NOG Oil & Gas E&P median
Dividend yield 11.33% 4.49% 4.93%
Payout ratio 1.03 0.09 0.07

Size

Metric KRP NOG Oil & Gas E&P median
Market cap 1.90b 2.51b 923.59m

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