Sabine Royalty Trust (SBR) vs WhiteHawk Minerals Corp. (WHK)

Sabine Royalty Trust and WhiteHawk Minerals Corp. are both Oil & Gas Midstream companies. Sabine Royalty Trust is the larger, with a market value of $960.2M against $730.7M — 1.3× the size. WhiteHawk Minerals Corp. has negative trailing earnings, so its P/E is not meaningful; Sabine Royalty Trust trades at 13.6×. Sabine Royalty Trust has the higher net margin (94.7% vs −81.9%) and the lower return on invested capital (0.00% vs 0.04%). Across the 14 metrics below, Sabine Royalty Trust leads on 10 and WhiteHawk Minerals Corp. on 4.

Valuation

Metric SBR WHK Oil & Gas Midstream median
P/E 13.58 n/m 11.68
P/S 12.86 5.92 2.39
P/B n/m 1.11 1.68
Price to free cash flow n/m n/m 8.52
EV/EBITDA 13.45 15.79 9.03
EV/Sales 12.74 6.79 3.43
Earnings yield 7.37% (21.24%) 7.78%
Free cash flow yield 0.00% (35.89%) 7.11%

Profitability

Metric SBR WHK Oil & Gas Midstream median
Gross margin 100.00% 100.00% 54.87%
Operating margin 94.71% 0.38% 34.73%
Net margin 94.71% (81.94%) 20.12%
Free cash flow margin 0.00% (212.45%) 14.43%
Return on equity 0.00% 0.00% 11.73%
Return on assets 806.27% 0.00% 4.43%
Return on invested capital 0.00% 0.04% 6.10%

Growth

Metric SBR WHK Oil & Gas Midstream median
Revenue growth (TTM) (2.95%) — 14.88%
EPS growth (last fiscal year) (7.69%) 66.36% (7.78%)
Revenue growth, 5-year CAGR 16.35% — 10.05%
Net income growth, 5-year CAGR 17.13% — 0.00%

Health

Metric SBR WHK Oil & Gas Midstream median
Debt to equity 0.00 0.18 0.77
Current ratio 7.25 1.39 1.19
Net debt to EBITDA (0.10) 4.91 3.46

Dividend

Metric SBR WHK Oil & Gas Midstream median
Dividend yield 6.77% — 4.94%
Payout ratio 0.92 — 0.73

Size

Metric SBR WHK Oil & Gas Midstream median
Market cap 960.20m 730.66m 3.56b

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