Analyzing Excelerate Energy (NYSE:EE) and Mplx (NYSE:MPLX)

Mplx (NYSE:MPLX) and Excelerate Energy (NYSE:EE) are both energy companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, valuation, risk, analyst recommendations, earnings, dividends and profitability.

Earnings & Valuation

This table compares Mplx and Excelerate Energy’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mplx	$10.68 billion	4.06	$3.93 billion	$3.88	10.99
Excelerate Energy	$898.98 million	2.34	$30.41 million	$1.01	19.43

Mplx has higher revenue and earnings than Excelerate Energy. Mplx is trading at a lower price-to-earnings ratio than Excelerate Energy, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

24.3% of Mplx shares are owned by institutional investors. Comparatively, 21.8% of Excelerate Energy shares are owned by institutional investors. 1.7% of Excelerate Energy shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Profitability

This table compares Mplx and Excelerate Energy’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mplx	34.96%	31.70%	11.01%
Excelerate Energy	2.60%	1.66%	1.04%

Dividends

Mplx pays an annual dividend of $3.40 per share and has a dividend yield of 8.0%. Excelerate Energy pays an annual dividend of $0.10 per share and has a dividend yield of 0.5%. Mplx pays out 87.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Excelerate Energy pays out 9.9% of its earnings in the form of a dividend.

Volatility & Risk

Mplx has a beta of 1.37, meaning that its stock price is 37% more volatile than the S&P 500. Comparatively, Excelerate Energy has a beta of 1.31, meaning that its stock price is 31% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and target prices for Mplx and Excelerate Energy, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mplx	0	0	9	0	3.00
Excelerate Energy	0	2	4	0	2.67

Mplx currently has a consensus price target of $46.22, suggesting a potential upside of 8.40%. Excelerate Energy has a consensus price target of $22.17, suggesting a potential upside of 12.98%. Given Excelerate Energy’s higher possible upside, analysts clearly believe Excelerate Energy is more favorable than Mplx.

Summary

Mplx beats Excelerate Energy on 12 of the 16 factors compared between the two stocks.

About Mplx

MPLX LP owns and operates midstream energy infrastructure and logistics assets primarily in the United States. It operates in two segments, Logistics and Storage, and Gathering and Processing. The company is involved in the gathering, processing, and transportation of natural gas; gathering, transportation, fractionation, storage, and marketing of natural gas liquids; gathering, storage, transportation, and distribution of crude oil and refined products, as well as other hydrocarbon-based products and renewables; and sale of residue gas and condensate. It also engages in the inland marine businesses comprising fleet of boats and barges transportation of light products, heavy oils, crude oil, renewable fuels, chemicals, and feedstocks in the Mid-Continent and Gulf Coast regions, as well as a marine repair facility located on the Ohio River; and distribution of fuel, as well as operates refining logistics, terminals, rail facilities, and storage caverns. In addition, the company operates terminal facilities for the receipt, storage, blending, additization, handling, and redelivery of refined petroleum products through the pipeline, rail, marine, and over-the-road modes of transportation. MPLX GP LLC acts as the general partner of MPLX LP. The company was incorporated in 2012 and is headquartered in Findlay, Ohio. MPLX LP operates as a subsidiary of Marathon Petroleum Corporation.

About Excelerate Energy

Excelerate Energy, Inc. provides flexible liquefied natural gas (LNG) solutions worldwide. The company offers regasification services, including floating storage and regasification units (FSRUs), infrastructure development, and LNG and natural gas supply, procurement, and distribution services; LNG terminal services; and natural gas supply to-power projects. Excelerate Energy, Inc. was founded in 2003 and is headquartered in The Woodlands, Texas. Excelerate Energy, Inc. is a subsidiary of Excelerate Energy Holdings, LLC.