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 $27.7B against $17.3B — 1.6× the size. Plains All American Pipeline, L.P. trades at the lower P/E: 6.8× against 23.3×. 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 (6.80% vs 4.38%). 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 6.81 23.32 11.68
P/S 0.33 4.69 2.39
P/B 1.42 2.51 1.68
Price to free cash flow 7.11 17.52 8.52
EV/EBITDA 9.46 13.21 9.03
EV/Sales 0.47 6.28 3.43
Earnings yield 14.69% 4.29% 7.78%
Free cash flow yield 14.06% 5.71% 7.11%

Profitability

Metric PAA PBA Oil & Gas Midstream median
Gross margin 5.55% 40.97% 54.87%
Operating margin 3.14% 35.83% 34.73%
Net margin 4.87% 20.12% 20.12%
Free cash flow margin 4.66% 26.77% 14.43%
Return on equity 21.98% 10.84% 11.73%
Return on assets 9.03% 4.60% 4.43%
Return on invested capital 4.74% 6.10% 6.10%

Growth

Metric PAA PBA Oil & Gas Midstream median
Revenue growth (TTM) 13.08% 2.50% 14.88%
EPS growth (last fiscal year) 127.40% (13.06%) (7.78%)
Revenue growth, 5-year CAGR 13.70% 4.31% 10.05%
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 0.77
Current ratio 1.12 0.62 1.19
Net debt to EBITDA 4.58 3.31 3.46

Dividend

Metric PAA PBA Oil & Gas Midstream median
Dividend yield 6.80% 4.38% 4.94%
Payout ratio 0.46 1.03 0.73

Size

Metric PAA PBA Oil & Gas Midstream median
Market cap 17.31b 27.70b 3.56b

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