National Fuel Gas Company And Ugi Corporation Head To Head Compare

National Fuel Gas Company versus UGI Corporation Head to Head Compare

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This is a head to head compare of National Fuel Gas Company (NYSE:NFG) and UGI Corporation (NYSE:UGI) . We will compare the two companies on revenue growth, earnings, revenue per employee, operating margins, free cash flow and valuation. The head to head compare assigns 100 points in total.

Before we dive into the analysis, we will look at the stock returns for each company over the last three months, six months and the last year. The stock returns do not impact the head to head compare scores which are focused on the fundamentals of each company, but ultimately stock returns are are still a critical piece to a full analysis and compare.

Stock Returns
Symbol 3-Months 6-Months One-Year Fundamentals
NFG -7.4% +3.2% +3.3%
UGI +7.1% +10.8% +25.8%

UGI Corporation has a higher fundamental rating then National Fuel Gas Company which has an impact on the head-to-head comparison. The CML Star Rating is an objective, quantifiable measure of a company's operating and financial condition. The rating is computed by measuring numerous elements of the company's current financial data and their associated changes over time.

Now, let's dive into the two companies to compare them.

➤ Income Statement
First we turn to the income statement and compare revenue, earnings and revenue per employee for both companies. We note that simple revenue comparisons do not impact the rating.

UGI Corporation has substantially higher revenue in the last year than National Fuel Gas Company. Raw revenue comps do not affect the head to head rating.

UGI is showing a profit while NFG has negative earnings over the last year.

Net Income

NFG generates substantially larger revenue per employee ($698,000) than UGI ($427,000).

Revenue per Employee
($ Millions)

➤ Margins
Next we create some derived metrics to compare the the amount of revenue earned per dollar of expense and the amount of free cash flow earned per dollar of revenue. Margins are one of the fairest ways to compare companies since they remove some of the bias of large versus small numbers.

National Fuel Gas Company generates $1.69 in revenue for every $1 of expense, notably higher than UGI Corporation's $1.39.

Revenue per Dollar of Expense

UGI generates $0.05 in levered free cash flow for every $1 of revenue, massively higher than NFG's $0.01.

Free Cash Flow
per Dollar of Revenue

➤ Growth
Finally we compare the financial metrics related to growth: revenue growth rates and price to sales.

Both companies have shrinking revenue. UGI Corporation revenue is shrinking massively faster than National Fuel Gas Company.

Revenue Growth

For every $1 in revenue, the stock market prices in $3.38 in market cap for NFG and $1.43 in market cap for UGI.

Price to Sales

UGI Corporation (NYSE:UGI)
National Fuel Gas Company (NYSE:NFG) : 51 to 49