Plains All American Pipeline, L.P. (PAA) vs Venture Global, Inc. (VG)

Plains All American Pipeline, L.P. and Venture Global, Inc. are both Oil & Gas Midstream companies. Venture Global, Inc. is the larger, with a market value of $28.8B against $17.3B — 1.7× the size. Plains All American Pipeline, L.P. trades at the lower P/E: 6.8× against 8.6×. Venture Global, Inc. grew revenue faster over the last twelve months: 100.7% against 13.1%. Venture Global, Inc. has the higher net margin (19.7% vs 4.87%) and the higher return on invested capital (7.86% vs 4.74%). Across the 19 metrics below, Plains All American Pipeline, L.P. leads on 11 and Venture Global, Inc. on 8.

Valuation

Metric PAA VG Oil & Gas Midstream median
P/E 6.81 8.57 11.68
P/S 0.33 1.71 2.39
P/B 1.42 2.40 1.68
Price to free cash flow 7.11 n/m 8.52
EV/EBITDA 9.46 9.21 9.03
EV/Sales 0.47 3.99 3.43
Earnings yield 14.69% 11.67% 7.78%
Free cash flow yield 14.06% (24.11%) 7.11%

Profitability

Metric PAA VG Oil & Gas Midstream median
Gross margin 5.55% 53.48% 54.87%
Operating margin 3.14% 37.62% 34.73%
Net margin 4.87% 19.65% 20.12%
Free cash flow margin 4.66% (41.24%) 14.43%
Return on equity 21.98% 31.90% 11.73%
Return on assets 9.03% 6.17% 4.43%
Return on invested capital 4.74% 7.86% 6.10%

Growth

Metric PAA VG Oil & Gas Midstream median
Revenue growth (TTM) 13.08% 100.72% 14.88%
EPS growth (last fiscal year) 127.40% 50.88% (7.78%)
Revenue growth, 5-year CAGR 13.70% — 10.05%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric PAA VG Oil & Gas Midstream median
Debt to equity 0.59 3.46 0.77
Current ratio 1.12 1.19 1.19
Net debt to EBITDA 4.58 5.19 3.46

Dividend

Metric PAA VG Oil & Gas Midstream median
Dividend yield 6.80% — 4.94%
Payout ratio 0.46 — 0.73

Size

Metric PAA VG Oil & Gas Midstream median
Market cap 17.31b 28.80b 3.56b

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