TXO Partners LP (TXO) vs W&T Offshore, Inc. (WTI)

TXO Partners LP and W&T Offshore, Inc. are both Oil & Gas E&P companies. TXO Partners LP is the larger, with a market value of $791.8M against $589.8M — 1.3× the size. TXO Partners LP grew revenue faster over the last twelve months: 22.2% against 13.8%. TXO Partners LP has the higher net margin (−9.23% vs −19.3%) and the lower return on invested capital (−3.33% vs 74.1%). Both pay a dividend; TXO Partners LP yields more (11.0% vs 0.70%). Across the 20 metrics below, W&T Offshore, Inc. leads on 13 and TXO Partners LP on 7.

Valuation

Metric TXO WTI Oil & Gas E&P median
P/E n/m n/m 10.57
P/S 1.96 0.97 1.80
P/B 1.23 n/m 1.27
Price to free cash flow 66.02 14.45 9.99
EV/EBITDA 9.07 4.91 5.08
EV/Sales 2.36 1.33 2.39
Earnings yield (5.16%) (20.00%) 6.06%
Free cash flow yield 1.51% 6.92% 6.17%

Profitability

Metric TXO WTI Oil & Gas E&P median
Gross margin 53.10% 43.34% 80.41%
Operating margin (10.63%) 0.99% 21.39%
Net margin (9.23%) (19.32%) 14.17%
Free cash flow margin 2.96% 6.73% 9.71%
Return on equity (5.35%) 72.64% 10.05%
Return on assets (3.26%) (10.95%) 5.81%
Return on invested capital (3.33%) 74.05% 6.32%

Growth

Metric TXO WTI Oil & Gas E&P median
Revenue growth (TTM) 22.18% 13.75% 9.94%
EPS growth (last fiscal year) (166.15%) (71.19%) —
Revenue growth, 5-year CAGR 29.82% 7.66% 18.67%
Net income growth, 5-year CAGR 0.00% 0.00% 0.00%

Health

Metric TXO WTI Oil & Gas E&P median
Debt to equity 0.42 (1.79) 0.28
Current ratio 1.05 1.17 0.96
Net debt to EBITDA 2.60 2.09 0.91

Dividend

Metric TXO WTI Oil & Gas E&P median
Dividend yield 10.97% 0.70% 4.93%
Payout ratio — 0.00 0.07

Size

Metric TXO WTI Oil & Gas E&P median
Market cap 791.77m 589.76m 923.59m

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