EQGP (NYSE:EQGP) and Rattler Midstream (NASDAQ:RTLR) are both mid-cap oils/energy companies, but which is the better investment? We will contrast the two companies based on the strength of their institutional ownership, dividends, earnings, risk, analyst recommendations, valuation and profitability.

Dividends

EQGP pays an annual dividend of $1.26 per share. Rattler Midstream does not pay a dividend. EQGP pays out 128.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. EQGP has increased its dividend for 3 consecutive years.

Institutional and Insider Ownership

8.9% of EQGP shares are held by institutional investors. Comparatively, 7.6% of Rattler Midstream shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation & Earnings

This table compares EQGP and Rattler Midstream’s revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
EQGP $834.10 million 0.00 $261.99 million $0.98 N/A
Rattler Midstream N/A N/A N/A N/A N/A

EQGP has higher revenue and earnings than Rattler Midstream.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for EQGP and Rattler Midstream, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
EQGP 0 6 1 0 2.14
Rattler Midstream 0 4 11 0 2.73

EQGP currently has a consensus target price of $20.79, suggesting a potential upside of ∞. Rattler Midstream has a consensus target price of $22.54, suggesting a potential upside of 21.63%. Given EQGP’s higher probable upside, equities analysts clearly believe EQGP is more favorable than Rattler Midstream.

Profitability

This table compares EQGP and Rattler Midstream’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
EQGP 30.96% 10.93% 5.82%
Rattler Midstream N/A N/A N/A

Summary

EQGP beats Rattler Midstream on 7 of the 10 factors compared between the two stocks.

EQGP Company Profile

EQGP Holdings, LP owns, operates, acquires, and develops midstream energy assets in the Appalachian Basin through owning partnership interests in EQT Midstream Partners, LP (EQM). The company operates in two segments, Gathering and Transmission. EQM offers natural gas transmission, storage, and gathering services to various third parties in Pennsylvania, West Virginia, and Ohio. As of December 31, 2017, it owned and operated 300 miles of high pressure gathering lines and 1,500 miles of Federal Energy Regulatory Commission (FERC)-regulated low pressure gathering lines. EQGP Services, LLC serves as a general partner of the company. The company was formerly known as EQT GP Holdings, LP and changed its name to EQGP Holdings, LP in October 2018. The company was founded in 2015 and is headquartered in Pittsburgh, Pennsylvania. EQGP Holdings, LP operates as a subsidiary of Equitrans Midstream Corporation.

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