Cheniere Energy, Inc. (LNG) vs Williams Companies, Inc. (The) (WMB)

Cheniere Energy, Inc. and Williams Companies, Inc. (The) are both Oil & Gas Midstream companies. Williams Companies, Inc. (The) is the larger, with a market value of $86.1B against $56.8B — 1.5× the size. Cheniere Energy, Inc. trades at the lower P/E: 19.9× against 27.5×. Cheniere Energy, Inc. grew revenue faster over the last twelve months: 17.5% against 8.72%. Williams Companies, Inc. (The) has the higher net margin (25.2% vs 13.5%) and the lower return on invested capital (6.40% vs 11.8%). Both pay a dividend; Williams Companies, Inc. (The) yields more (5.28% vs 1.04%). Across the 22 metrics below, Cheniere Energy, Inc. leads on 16 and Williams Companies, Inc. (The) on 6.

Valuation

Metric LNG WMB Oil & Gas Midstream median
P/E 19.89 27.48 13.19
P/S 2.61 6.95 2.60
P/B 4.88 5.53 2.08
Price to free cash flow 20.70 n/m 10.14
EV/EBITDA 9.95 16.24 8.11
EV/Sales 3.66 9.41 3.89
Earnings yield 5.03% 3.64% 6.83%
Free cash flow yield 4.83% (0.25%) 6.94%

Profitability

Metric LNG WMB Oil & Gas Midstream median
Gross margin 38.53% 82.83% 58.81%
Operating margin 29.89% 38.18% 32.14%
Net margin 13.50% 25.16% 21.16%
Free cash flow margin 12.61% (1.75%) 10.15%
Return on equity 25.52% 20.40% 11.30%
Return on assets 6.27% 5.26% 5.00%
Return on invested capital 11.80% 6.40% 6.13%

Growth

Metric LNG WMB Oil & Gas Midstream median
Revenue growth (TTM) 17.54% 8.72% 15.44%
EPS growth (last fiscal year) 69.93% 17.58% —
Revenue growth, 5-year CAGR 16.38% 9.13% 8.96%
Net income growth, 5-year CAGR 0.00% 65.91% 0.00%

Health

Metric LNG WMB Oil & Gas Midstream median
Debt to equity 2.09 1.97 0.78
Current ratio 0.87 0.48 1.19
Net debt to EBITDA 2.03 4.31 3.42

Dividend

Metric LNG WMB Oil & Gas Midstream median
Dividend yield 1.04% 5.28% 7.29%
Payout ratio 0.04 0.78 0.64

Size

Metric LNG WMB Oil & Gas Midstream median
Market cap 56.83b 86.11b 3.61b

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