Dorian LPG Ltd. (LPG) vs Teekay Tankers Ltd. (TNK)

Dorian LPG Ltd. and Teekay Tankers Ltd. are both Oil & Gas Midstream companies. Teekay Tankers Ltd. is the larger, with a market value of $3.3B against $2.3B — 1.4× the size. Teekay Tankers Ltd. trades at the lower P/E: 5.5× against 7.1×. Dorian LPG Ltd. grew revenue faster over the last twelve months: 81.1% against 15.6%. Dorian LPG Ltd. has the higher net margin (55.0% vs 51.4%) and the lower return on invested capital (15.0% vs 29.3%). Both pay a dividend; Dorian LPG Ltd. yields more (9.37% vs 3.70%). Across the 23 metrics below, Teekay Tankers Ltd. leads on 15 and Dorian LPG Ltd. on 8.

Valuation

Metric LPG TNK Oil & Gas Midstream median
P/E 7.06 5.52 13.19
P/S 3.89 2.84 2.60
P/B 1.84 1.38 2.08
Price to free cash flow 9.90 5.03 10.14
EV/EBITDA 5.95 3.35 8.11
EV/Sales 4.17 1.85 3.89
Earnings yield 14.17% 18.11% 6.83%
Free cash flow yield 10.10% 19.90% 6.94%

Profitability

Metric LPG TNK Oil & Gas Midstream median
Gross margin 85.68% 50.33% 58.81%
Operating margin 57.63% 47.65% 32.14%
Net margin 55.00% 51.35% 21.16%
Free cash flow margin 39.23% 56.49% 10.15%
Return on equity 28.34% 28.04% 11.30%
Return on assets 17.63% 25.45% 5.00%
Return on invested capital 15.04% 29.30% 6.13%

Growth

Metric LPG TNK Oil & Gas Midstream median
Revenue growth (TTM) 81.06% 15.60% 15.44%
EPS growth (last fiscal year) 112.15% (13.16%) —
Revenue growth, 5-year CAGR 8.79% 1.43% 8.96%
Net income growth, 5-year CAGR 15.91% 32.10% 0.00%

Health

Metric LPG TNK Oil & Gas Midstream median
Debt to equity 0.41 0.00 0.78
Current ratio 3.26 9.99 1.19
Net debt to EBITDA 0.82 (2.16) 3.42

Dividend

Metric LPG TNK Oil & Gas Midstream median
Dividend yield 9.37% 3.70% 7.29%
Payout ratio 0.81 0.02 0.64

Size

Metric LPG TNK Oil & Gas Midstream median
Market cap 2.31b 3.26b 3.61b

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