Venture Global, Inc. (VG) vs Western Midstream Partners, LP (WES)

Venture Global, Inc. and Western Midstream Partners, LP are both Oil & Gas Midstream companies. Venture Global, Inc. is the larger, with a market value of $28.8B against $16.5B — 1.7× the size. Venture Global, Inc. trades at the lower P/E: 8.6× against 12.9×. Venture Global, Inc. grew revenue faster over the last twelve months: 100.7% against 22.3%. Venture Global, Inc. has the higher net margin (19.7% vs 0.00%) and the lower return on invested capital (7.86% vs 8.19%). Across the 19 metrics below, Venture Global, Inc. leads on 12 and Western Midstream Partners, LP on 7.

Valuation

Metric VG WES Oil & Gas Midstream median
P/E 8.57 12.86 11.68
P/S 1.71 3.61 2.39
P/B 2.40 3.80 1.68
Price to free cash flow n/m 14.07 8.52
EV/EBITDA 9.21 10.16 9.03
EV/Sales 3.99 5.60 3.43
Earnings yield 11.67% 7.78% 7.78%
Free cash flow yield (24.11%) 7.11% 7.11%

Profitability

Metric VG WES Oil & Gas Midstream median
Gross margin 53.48% 90.96% 54.87%
Operating margin 37.62% 38.54% 34.73%
Net margin 19.65% 0.00% 20.12%
Free cash flow margin (41.24%) 45.63% 14.43%
Return on equity 31.90% 0.00% 11.73%
Return on assets 6.17% 0.00% 4.43%
Return on invested capital 7.86% 8.19% 6.10%

Growth

Metric VG WES Oil & Gas Midstream median
Revenue growth (TTM) 100.72% 22.29% 14.88%
EPS growth (last fiscal year) 50.88% (25.87%) (7.78%)
Revenue growth, 5-year CAGR — 6.75% 10.05%
Net income growth, 5-year CAGR — 17.48% 0.00%

Health

Metric VG WES Oil & Gas Midstream median
Debt to equity 3.46 2.11 0.77
Current ratio 1.19 0.81 1.19
Net debt to EBITDA 5.19 3.37 3.46

Dividend

Metric VG WES Oil & Gas Midstream median
Dividend yield — 9.25% 4.94%
Payout ratio — 1.20 0.73

Size

Metric VG WES Oil & Gas Midstream median
Market cap 28.80b 16.47b 3.56b

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