Cheniere Energy Partners (NYSE: CQP) and World Point Terminals (NYSE:WPT) are both energy companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, risk, profitability, earnings, analyst recommendations, institutional ownership and valuation.

Analyst Ratings

This is a summary of current ratings and price targets for Cheniere Energy Partners and World Point Terminals, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Cheniere Energy Partners 0 4 1 0 2.20
World Point Terminals 0 2 0 0 2.00

Cheniere Energy Partners presently has a consensus target price of $35.00, suggesting a potential upside of 27.18%. World Point Terminals has a consensus target price of $17.00, suggesting a potential downside of 1.68%. Given Cheniere Energy Partners’ stronger consensus rating and higher possible upside, equities research analysts clearly believe Cheniere Energy Partners is more favorable than World Point Terminals.

Profitability

This table compares Cheniere Energy Partners and World Point Terminals’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Cheniere Energy Partners 4.64% 39.76% 1.08%
World Point Terminals 37.15% 19.57% 18.37%

Dividends

World Point Terminals pays an annual dividend of $1.20 per share and has a dividend yield of 6.9%. Cheniere Energy Partners does not pay a dividend. World Point Terminals pays out 116.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Valuation and Earnings

This table compares Cheniere Energy Partners and World Point Terminals’ gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Cheniere Energy Partners $2.77 billion 4.81 $926.06 million N/A N/A
World Point Terminals N/A N/A N/A $1.03 16.79

Cheniere Energy Partners has higher revenue and earnings than World Point Terminals.

Insider and Institutional Ownership

13.2% of World Point Terminals shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

Cheniere Energy Partners beats World Point Terminals on 6 of the 10 factors compared between the two stocks.

Cheniere Energy Partners Company Profile

Cheniere Energy Partners, L.P. (Cheniere Partners) is a limited partnership formed by Cheniere Energy, Inc (Cheniere). The Company operates through liquefaction and regasification operations at the Sabine Pass LNG terminal segment. Through its subsidiary, Sabine Pass Liquefaction, LLC (SPL), it is developing, constructing and operating natural gas liquefaction facilities (the Liquefaction Project) at the Sabine Pass LNG terminal located in Cameron Parish, Louisiana, on the Sabine-Neches Waterway less than four miles from the Gulf Coast. Through its subsidiary, Sabine Pass LNG, L.P., it owns and operates regasification facilities at the Sabine Pass LNG terminal, which includes existing infrastructure of five LNG storage tanks with capacity of approximately 16.9 billion cubic feet equivalent, two marine berths that can accommodate vessels with nominal capacity of up to 266,000 cubic meters and vaporizers with regasification capacity of approximately four billion cubic feet per day.

World Point Terminals Company Profile

World Point Terminals, LP owns, operates, develops and acquires liquid bulk storage terminals and other assets relating to the storage of petroleum products, including light refined products, heavy refined products and crude oil. The Company operates fee-based facilities located along the East Coast, Gulf Coast and Midwest regions of the United States. As of December 31, 2016, through its subsidiary, Center Point Terminal Company, LLC (Center Point), the Company owned and operated 15.6 million barrels of tankage at terminals, which are located in the East Coast, Gulf Coast and Midwest regions of the United States. The Company’s terminal facilities are located on waterways, providing ship or barge access for the movement of petroleum products, and have truck racks with loading logistics. Its terminal facilities also have rail or pipeline access.

Receive News & Stock Ratings for Cheniere Energy Partners LP Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cheniere Energy Partners LP and related stocks with our FREE daily email newsletter.