Plains Group Holdings, L.P. (PAGP) vs Viper Energy Inc. (VNOM)

Plains Group Holdings, L.P. and Viper Energy Inc. are both Oil & Gas Midstream companies. Plains Group Holdings, L.P. is the larger, with a market value of $20.7B against $15.7B — 1.3× the size. Plains Group Holdings, L.P. trades at the lower P/E: 9.8× against 322×. Viper Energy Inc. grew revenue faster over the last twelve months: 107.8% against 13.1%. Viper Energy Inc. has the higher net margin (2.89% vs 1.06%) and the lower return on invested capital (1.32% vs 4.51%). Both pay a dividend; Plains Group Holdings, L.P. yields more (7.47% vs 5.44%). Across the 22 metrics below, Plains Group Holdings, L.P. leads on 14 and Viper Energy Inc. on 8.

Valuation

Metric PAGP VNOM Oil & Gas Midstream median
P/E 9.80 321.64 12.77
P/S 0.10 4.27 2.36
P/B 0.35 0.85 2.09
Price to free cash flow 2.23 11.42 9.71
EV/EBITDA 4.91 10.02 8.30
EV/Sales 0.25 5.24 3.88
Earnings yield 10.20% 0.31% 7.15%
Free cash flow yield 44.78% 8.76% 6.86%

Profitability

Metric PAGP VNOM Oil & Gas Midstream median
Gross margin 5.55% 100.00% 56.58%
Operating margin 3.13% 12.30% 34.18%
Net margin 1.06% 2.89% 22.50%
Free cash flow margin 4.65% 37.43% 13.70%
Return on equity 3.77% 0.62% 14.65%
Return on assets 1.90% 0.54% 5.00%
Return on invested capital 4.51% 1.32% 6.13%

Growth

Metric PAGP VNOM Oil & Gas Midstream median
Revenue growth (TTM) 13.08% 107.84% 15.60%
EPS growth (last fiscal year) 150.00% (112.57%) (7.86%)
Revenue growth, 5-year CAGR 13.70% 40.96% 9.59%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric PAGP VNOM Oil & Gas Midstream median
Debt to equity 0.55 0.16 0.78
Current ratio 1.12 6.37 1.19
Net debt to EBITDA 4.59 4.65 3.42

Dividend

Metric PAGP VNOM Oil & Gas Midstream median
Dividend yield 7.47% 5.44% 4.54%
Payout ratio 0.73 18.85 0.76

Size

Metric PAGP VNOM Oil & Gas Midstream median
Market cap 20.70b 15.71b 3.73b

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