Plains All American Pipeline, L.P. (PAA) vs Pembina Pipeline Corp. (PBA)

Plains All American Pipeline, L.P. and Pembina Pipeline Corp. are both Oil & Gas Midstream companies. Pembina Pipeline Corp. is the larger, with a market value of $28.0B against $17.7B — 1.6× the size. Plains All American Pipeline, L.P. trades at the lower P/E: 7.0× against 24.4×. Plains All American Pipeline, L.P. grew revenue faster over the last twelve months: 13.1% against 2.50%. Pembina Pipeline Corp. has the higher net margin (20.1% vs 4.87%) and the higher return on invested capital (6.10% vs 4.74%). Both pay a dividend; Plains All American Pipeline, L.P. yields more (8.12% vs 4.18%). Across the 22 metrics below, Plains All American Pipeline, L.P. leads on 16 and Pembina Pipeline Corp. on 6.

Valuation

Metric PAA PBA Oil & Gas Midstream median
P/E 6.99 24.44 12.77
P/S 0.34 4.92 2.36
P/B 1.45 2.63 2.09
Price to free cash flow 7.31 18.36 9.71
EV/EBITDA 9.64 13.68 8.30
EV/Sales 0.48 6.51 3.88
Earnings yield 14.30% 4.09% 7.15%
Free cash flow yield 13.68% 5.45% 6.86%

Profitability

Metric PAA PBA Oil & Gas Midstream median
Gross margin 5.55% 40.97% 56.58%
Operating margin 3.14% 35.83% 34.18%
Net margin 4.87% 20.12% 22.50%
Free cash flow margin 4.66% 26.77% 13.70%
Return on equity 21.98% 10.84% 14.65%
Return on assets 9.03% 4.60% 5.00%
Return on invested capital 4.74% 6.10% 6.13%

Growth

Metric PAA PBA Oil & Gas Midstream median
Revenue growth (TTM) 13.08% 2.50% 15.60%
EPS growth (last fiscal year) 127.40% (13.06%) (7.86%)
Revenue growth, 5-year CAGR 13.70% 4.31% 9.59%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PAA PBA Oil & Gas Midstream median
Debt to equity 0.59 0.77 0.78
Current ratio 1.12 0.62 1.19
Net debt to EBITDA 4.58 3.31 3.42

Dividend

Metric PAA PBA Oil & Gas Midstream median
Dividend yield 8.12% 4.18% 4.54%
Payout ratio 0.57 1.03 0.76

Size

Metric PAA PBA Oil & Gas Midstream median
Market cap 17.74b 28.02b 3.73b

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