Penntex Midstream Partners (PTXP) and Plains Group Holdings, L.P. (PAGP) Head-To-Head Analysis
Penntex Midstream Partners (NASDAQ: PTXP) and Plains Group Holdings, L.P. (NYSE:PAGP) are both energy companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, institutional ownership, dividends, profitability, valuation, risk and earnings.
Volatility and Risk
Penntex Midstream Partners has a beta of 1, suggesting that its share price has a similar volatility profile to the S&P 500.Comparatively, Plains Group Holdings, L.P. has a beta of 1.51, suggesting that its share price is 51% more volatile than the S&P 500.
This table compares Penntex Midstream Partners and Plains Group Holdings, L.P.’s net margins, return on equity and return on assets.
|Net Margins||Return on Equity||Return on Assets|
|Penntex Midstream Partners||34.54%||11.00%||5.81%|
|Plains Group Holdings, L.P.||0.34%||0.69%||0.30%|
This is a summary of current recommendations and price targets for Penntex Midstream Partners and Plains Group Holdings, L.P., as provided by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|Penntex Midstream Partners||0||6||1||0||2.14|
|Plains Group Holdings, L.P.||0||9||9||0||2.50|
Penntex Midstream Partners currently has a consensus price target of $19.17, suggesting a potential downside of 4.12%. Plains Group Holdings, L.P. has a consensus price target of $27.50, suggesting a potential upside of 21.79%. Given Plains Group Holdings, L.P.’s stronger consensus rating and higher probable upside, analysts clearly believe Plains Group Holdings, L.P. is more favorable than Penntex Midstream Partners.
Insider and Institutional Ownership
55.0% of Penntex Midstream Partners shares are held by institutional investors. Comparatively, 83.2% of Plains Group Holdings, L.P. shares are held by institutional investors. 39.9% of Plains Group Holdings, L.P. shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Valuation and Earnings
This table compares Penntex Midstream Partners and Plains Group Holdings, L.P.’s gross revenue, earnings per share (EPS) and valuation.
|Gross Revenue||Price/Sales Ratio||EBITDA||Earnings Per Share||Price/Earnings Ratio|
|Penntex Midstream Partners||N/A||N/A||N/A||$0.25||79.96|
|Plains Group Holdings, L.P.||$23.87 billion||0.15||$1.92 billion||$0.66||34.23|
Plains Group Holdings, L.P. has higher revenue and earnings than Penntex Midstream Partners. Plains Group Holdings, L.P. is trading at a lower price-to-earnings ratio than Penntex Midstream Partners, indicating that it is currently the more affordable of the two stocks.
Penntex Midstream Partners pays an annual dividend of $1.18 per share and has a dividend yield of 5.9%. Plains Group Holdings, L.P. pays an annual dividend of $2.20 per share and has a dividend yield of 9.7%. Penntex Midstream Partners pays out 472.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Plains Group Holdings, L.P. pays out 333.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Penntex Midstream Partners has raised its dividend for 2 consecutive years. Plains Group Holdings, L.P. is clearly the better dividend stock, given its higher yield and lower payout ratio.
Plains Group Holdings, L.P. beats Penntex Midstream Partners on 10 of the 14 factors compared between the two stocks.
Penntex Midstream Partners Company Profile
PennTex Midstream Partners, LP, focuses on owning, operating, acquiring and developing midstream energy infrastructure assets in North America. The Company owns and operates midstream gathering, processing and transportation assets in northern Louisiana. The Company provides natural gas gathering and processing and residue gas and natural gas liquid (NGL) transportation services to producers focused on the Cotton Valley formation in northern Louisiana. The Company’s assets primarily consisted of natural gas gathering pipeline, two 200 million cubic feet per day (MMcf/d) design-capacity cryogenic natural gas processing plants, and residue gas and NGL transportation pipelines, as of December 31, 2016. In addition to providing midstream services to its primary customer with its existing assets, the Company pursues other opportunities for organic development and growth as producers in its region continue to develop their acreage.
Plains Group Holdings, L.P. Company Profile
Plains GP Holdings, L.P. owns and operates midstream energy infrastructure and provides logistics services for crude oil, natural gas liquids (NGL), natural gas and refined products. The Company operates through three segments: Transportation, Facilities, and Supply and Logistics. Through its three business segments, the Company is engaged in the transportation, storage, terminaling and marketing of crude oil, NGL and natural gas. The Transportation segment operations consist of fee-based activities associated with transporting crude oil and NGL on pipelines, gathering systems, trucks and barges. The Facilities segment operations consist of fee-based activities associated with providing storage, terminaling and throughput services for crude oil, refined products, NGL and natural gas, as well as NGL fractionation and isomerization services and natural gas and condensate processing services. The Supply and Logistics segment operations consist of the merchant-related activities.
Receive News & Ratings for Penntex Midstream Partners LP Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Penntex Midstream Partners LP and related companies with MarketBeat.com's FREE daily email newsletter.