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 $32.6B against $18.7B — 1.7× the size. Venture Global, Inc. trades at the lower P/E: 9.3× against 14.3×. Venture Global, Inc. grew revenue faster over the last twelve months: 100.7% against 18.0%. Western Midstream Partners, LP has the higher net margin (29.0% vs 19.7%) and the higher return on invested capital (8.16% vs 7.86%). Across the 19 metrics below, Western Midstream Partners, LP leads on 10 and Venture Global, Inc. on 9.

Valuation

Metric VG WES Oil & Gas Midstream median
P/E 9.28 14.29 13.19
P/S 1.85 4.19 2.60
P/B 2.60 4.12 2.08
Price to free cash flow n/m 15.35 10.14
EV/EBITDA 9.53 10.75 8.11
EV/Sales 4.13 6.26 3.89
Earnings yield 10.78% 7.00% 6.83%
Free cash flow yield (22.25%) 6.51% 6.94%

Profitability

Metric VG WES Oil & Gas Midstream median
Gross margin 53.48% 92.08% 58.81%
Operating margin 37.62% 40.23% 32.14%
Net margin 19.65% 29.00% 21.16%
Free cash flow margin (41.24%) 27.30% 10.15%
Return on equity 31.90% 32.48% 11.30%
Return on assets 6.17% 8.82% 5.00%
Return on invested capital 7.86% 8.16% 6.13%

Growth

Metric VG WES Oil & Gas Midstream median
Revenue growth (TTM) 100.72% 18.00% 15.44%
EPS growth (last fiscal year) 50.88% (25.87%) —
Revenue growth, 5-year CAGR — 6.75% 8.96%
Net income growth, 5-year CAGR — 17.48% 0.00%

Health

Metric VG WES Oil & Gas Midstream median
Debt to equity 3.46 2.06 0.78
Current ratio 1.19 0.91 1.19
Net debt to EBITDA 5.19 3.37 3.42

Dividend

Metric VG WES Oil & Gas Midstream median
Dividend yield — 8.96% 7.29%
Payout ratio — — 0.64

Size

Metric VG WES Oil & Gas Midstream median
Market cap 32.58b 18.74b 3.61b

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