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 $32.6B against $26.4B — 1.2× the size. Venture Global, Inc. trades at the lower P/E: 9.3× against 21.8×. 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 13 and Pembina Pipeline Corp. on 6.

Valuation

Metric PBA VG Oil & Gas Midstream median
P/E 21.79 9.28 13.19
P/S 4.38 1.85 2.60
P/B 2.34 2.60 2.08
Price to free cash flow 16.37 n/m 10.14
EV/EBITDA 12.56 9.53 8.11
EV/Sales 5.97 4.13 3.89
Earnings yield 4.59% 10.78% 6.83%
Free cash flow yield 6.11% (22.25%) 6.94%

Profitability

Metric PBA VG Oil & Gas Midstream median
Gross margin 40.97% 53.48% 58.81%
Operating margin 35.83% 37.62% 32.14%
Net margin 20.12% 19.65% 21.16%
Free cash flow margin 26.77% (41.24%) 10.15%
Return on equity 10.84% 31.90% 11.30%
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% 15.44%
EPS growth (last fiscal year) (13.06%) 50.88% —
Revenue growth, 5-year CAGR 4.31% — 8.96%
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 5.87% — 7.29%
Payout ratio 0.54 — 0.64

Size

Metric PBA VG Oil & Gas Midstream median
Market cap 26.43b 32.58b 3.61b

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