Genesis Energy, L.P. (NYSE: GEL) and QEP Midstream Partners (NASDAQ:QEPM) are both energy companies, but which is the better stock? We will compare the two businesses based on the strength of their earnings, valuation, profitabiliy, analyst recommendations, institutional ownership, risk and dividends.

Analyst Ratings

This is a breakdown of recent recommendations for Genesis Energy, L.P. and QEP Midstream Partners, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Genesis Energy, L.P. 0 6 4 0 2.40
QEP Midstream Partners 0 0 0 0 N/A

Genesis Energy, L.P. presently has a consensus price target of $38.78, indicating a potential upside of 22.21%. Given Genesis Energy, L.P.’s higher possible upside, equities research analysts plainly believe Genesis Energy, L.P. is more favorable than QEP Midstream Partners.

Profitability

This table compares Genesis Energy, L.P. and QEP Midstream Partners’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Genesis Energy, L.P. 6.48% 5.00% 1.90%
QEP Midstream Partners 62.86% 23.46% 13.76%

Institutional & Insider Ownership

74.2% of Genesis Energy, L.P. shares are owned by institutional investors. 0.7% of Genesis Energy, L.P. shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Dividends

Genesis Energy, L.P. pays an annual dividend of $2.88 per share and has a dividend yield of 9.1%. QEP Midstream Partners does not pay a dividend. Genesis Energy, L.P. pays out 313.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. QEP Midstream Partners has raised its dividend for 12 consecutive years.

Earnings and Valuation

This table compares Genesis Energy, L.P. and QEP Midstream Partners’ revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Genesis Energy, L.P. $1.75 billion 2.22 $425.25 million $0.92 34.49
QEP Midstream Partners N/A N/A N/A N/A N/A

Genesis Energy, L.P. has higher revenue and earnings than QEP Midstream Partners.

Summary

Genesis Energy, L.P. beats QEP Midstream Partners on 6 of the 11 factors compared between the two stocks.

About Genesis Energy, L.P.

Genesis Energy L.P. is a limited partnership focused on the midstream segment of the oil and gas industry. The Company operates through four segments: Offshore Pipeline Transportation, Refinery Services, Marine Transportation, and Supply and Logistics. The Offshore Pipeline Transportation segment is engaged in the offshore transportation of crude oil and natural gas in the Gulf of Mexico. The Refinery Services segment is involved in the processing of high sulfur (or sour) gas streams as part of refining operations to remove the sulfur and selling the related by-product, sodium hydrosulfide (NaHS). The Marine Transportation segment provides waterborne transportation of petroleum products and crude oil throughout North America. The Supply and Logistics segment is engaged in terminaling, blending, storing, marketing, and transporting crude oil and petroleum products (fuel oil, asphalt and other heavy refined products) and carbon dioxide.

About QEP Midstream Partners

QEP Midstream Partners, LP (QEP Midstream) is a master limited partnership formed to own, operate, acquire and develop midstream energy assets. The Company’s primary assets consist of ownership interests in four gathering systems and two Federal Energy Regulatory Commission (FERC)-regulated pipelines through which, the Company provides natural gas midstream services, and crude oil gathering and transportation services to producers and users of natural gas and crude oil. The natural gas midstream services include gathering, compression, treating and dehydration, processing, fractionation, natural gas transmission and natural gas liquids (NGL) products transportation. The Company provides crude oil gathering and transportation services in Colorado, North Dakota, Utah and Wyoming.

Receive News & Ratings for Genesis Energy L.P. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Genesis Energy L.P. and related companies with MarketBeat.com's FREE daily email newsletter.