Phillips 66 (PSX) vs Sunoco LP (SUN)

Phillips 66 and Sunoco LP are both Oil & Gas Refining & Marketing companies. Phillips 66 is the larger, with a market value of $101.3B against $15.5B — 6.5× the size. Phillips 66 trades at the lower P/E: 14.5× against 16.5×. Sunoco LP grew revenue faster over the last twelve months: 83.3% against 14.4%. Phillips 66 has the higher net margin (4.66% vs 1.57%) and the higher return on invested capital (11.1% vs 5.64%). Both pay a dividend; Sunoco LP yields more (5.56% vs 2.97%). Across the 23 metrics below, Phillips 66 leads on 12 and Sunoco LP on 11.

Valuation

Metric PSX SUN Oil & Gas Refining & Marketing median
P/E 14.51 16.50 15.04
P/S 0.67 0.26 0.41
P/B 3.14 1.50 1.87
Price to free cash flow 16.04 6.08 8.78
EV/EBITDA 10.29 7.94 7.94
EV/Sales 0.78 0.58 0.59
Earnings yield 6.89% 6.06% 6.15%
Free cash flow yield 6.24% 16.43% 10.47%

Profitability

Metric PSX SUN Oil & Gas Refining & Marketing median
Gross margin 13.10% 11.93% 12.22%
Operating margin 5.74% 4.76% 5.35%
Net margin 4.66% 1.57% 2.08%
Free cash flow margin 4.20% 4.25% 4.25%
Return on equity 23.13% 11.39% 11.39%
Return on assets 8.99% 2.81% 5.22%
Return on invested capital 11.10% 5.64% 11.54%

Growth

Metric PSX SUN Oil & Gas Refining & Marketing median
Revenue growth (TTM) 14.44% 83.34% 13.37%
EPS growth (last fiscal year) 116.23% (62.00%) —
Revenue growth, 5-year CAGR 15.60% 18.67% 12.77%
Net income growth, 5-year CAGR 0.00% 18.32% 0.00%

Health

Metric PSX SUN Oil & Gas Refining & Marketing median
Debt to equity 0.63 1.59 0.44
Current ratio 1.32 1.29 1.32
Net debt to EBITDA 2.07 7.57 2.07

Dividend

Metric PSX SUN Oil & Gas Refining & Marketing median
Dividend yield 2.97% 5.56% 3.64%
Payout ratio 0.17 — 0.14

Size

Metric PSX SUN Oil & Gas Refining & Marketing median
Market cap 101.31b 15.53b 4.12b

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