Mesa Royalty Trust (MTR) vs PermRock Royalty Trust (PRT)

Mesa Royalty Trust and PermRock Royalty Trust are both Oil & Gas E&P companies. PermRock Royalty Trust is the larger, with a market value of $24.5M against $4.4M — 5.5× the size. Mesa Royalty Trust trades at the lower P/E: 12.4× against 15.8×. Mesa Royalty Trust grew revenue faster over the last twelve months: −3.01% against −41.7%. PermRock Royalty Trust has the higher net margin (78.4% vs 76.6%) and the lower return on invested capital (6.33% vs 20.9%). Both pay a dividend; Mesa Royalty Trust yields more (13.3% vs 11.0%). Across the 18 metrics below, Mesa Royalty Trust leads on 12 and PermRock Royalty Trust on 6.

Valuation

Metric MTR PRT Oil & Gas E&P median
P/E 12.36 15.80 10.57
P/S 9.50 6.70 1.80
P/B 1.44 0.94 1.27
Price to free cash flow n/m n/m 9.99
EV/EBITDA 5.61 9.23 5.08
EV/Sales 5.17 6.33 2.39
Earnings yield 8.09% 6.33% 6.06%
Free cash flow yield 0.00% 0.00% 6.17%

Profitability

Metric MTR PRT Oil & Gas E&P median
Gross margin 100.00% 100.00% 80.41%
Operating margin 92.05% 68.56% 21.39%
Net margin 76.63% 78.37% 14.17%
Free cash flow margin 0.00% 0.00% 9.71%
Return on equity 11.61% 5.94% 10.05%
Return on assets 11.09% 5.77% 5.81%
Return on invested capital 20.94% 6.33% 6.32%

Growth

Metric MTR PRT Oil & Gas E&P median
Revenue growth (TTM) (3.01%) (41.73%) 9.94%
EPS growth (last fiscal year) (8.00%) (7.14%) —
Revenue growth, 5-year CAGR (6.29%) 11.79% 18.67%
Net income growth, 5-year CAGR (2.02%) 19.79% 0.00%

Health

Metric MTR PRT Oil & Gas E&P median
Debt to equity 0.00 0.00 0.28
Current ratio 17.12 3.70 0.96
Net debt to EBITDA (3.50) (0.26) 0.91

Dividend

Metric MTR PRT Oil & Gas E&P median
Dividend yield 13.28% 11.00% 4.93%
Payout ratio 0.97 1.00 0.07

Size

Metric MTR PRT Oil & Gas E&P median
Market cap 4.44m 24.45m 923.59m

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