Pembina Pipeline Corp. (PBA) vs Venture Global, Inc. (VG)

Pembina Pipeline Corp. and Venture Global, Inc. are both Oil & Gas Midstream companies. Venture Global, Inc. is the larger, with a market value of $31.3B against $28.0B — 1.1× the size. Venture Global, Inc. trades at the lower P/E: 9.4× against 24.4×. Venture Global, Inc. grew revenue faster over the last twelve months: 100.7% against 2.50%. Pembina Pipeline Corp. has the higher net margin (20.1% vs 19.7%) and the lower return on invested capital (6.10% vs 7.86%). Across the 19 metrics below, Venture Global, Inc. leads on 14 and Pembina Pipeline Corp. on 5.

Valuation

Metric PBA VG Oil & Gas Midstream median
P/E 24.44 9.35 12.77
P/S 4.92 1.87 2.36
P/B 2.63 2.62 2.09
Price to free cash flow 18.36 n/m 9.71
EV/EBITDA 13.68 9.57 8.30
EV/Sales 6.51 4.15 3.88
Earnings yield 4.09% 10.69% 7.15%
Free cash flow yield 5.45% (22.08%) 6.86%

Profitability

Metric PBA VG Oil & Gas Midstream median
Gross margin 40.97% 53.48% 56.58%
Operating margin 35.83% 37.62% 34.18%
Net margin 20.12% 19.65% 22.50%
Free cash flow margin 26.77% (41.24%) 13.70%
Return on equity 10.84% 31.90% 14.65%
Return on assets 4.60% 6.17% 5.00%
Return on invested capital 6.10% 7.86% 6.13%

Growth

Metric PBA VG Oil & Gas Midstream median
Revenue growth (TTM) 2.50% 100.72% 15.60%
EPS growth (last fiscal year) (13.06%) 50.88% (7.86%)
Revenue growth, 5-year CAGR 4.31% — 9.59%
Net income growth, 5-year CAGR 0.00% — 0.00%

Health

Metric PBA VG Oil & Gas Midstream median
Debt to equity 0.77 3.46 0.78
Current ratio 0.62 1.19 1.19
Net debt to EBITDA 3.31 5.19 3.42

Dividend

Metric PBA VG Oil & Gas Midstream median
Dividend yield 4.18% — 4.54%
Payout ratio 1.03 — 0.76

Size

Metric PBA VG Oil & Gas Midstream median
Market cap 28.02b 31.25b 3.73b

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