Keyera vs Pembina Pipeline Which Is Stronger?

Keyera Corp and Pembina Pipeline Corporation are two prominent players in the energy sector, both specializing in midstream services and infrastructure. Keyera operates an extensive network of pipelines and facilities for natural gas and crude oil processing, storage, and transportation, while Pembina focuses on transportation and storage services for oil and natural gas liquids. Investors are often comparing the two stocks, analyzing factors such as dividends, growth potential, and market performance to make informed investment decisions.

Keyera or Pembina Pipeline?

When comparing Keyera and Pembina Pipeline, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Keyera and Pembina Pipeline.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Keyera has a dividend yield of 4.71%, while Pembina Pipeline has a dividend yield of 5.13%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Keyera reports a 5-year dividend growth of 1.85% year and a payout ratio of 103.57%. On the other hand, Pembina Pipeline reports a 5-year dividend growth of 3.78% year and a payout ratio of 83.57%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Keyera P/E ratio at 23.00 and Pembina Pipeline's P/E ratio at 16.09. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Keyera P/B ratio is 3.62 while Pembina Pipeline's P/B ratio is 1.88.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Keyera has seen a 5-year revenue growth of 0.43%, while Pembina Pipeline's is 0.06%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Keyera's ROE at 16.05% and Pembina Pipeline's ROE at 12.06%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $31.66 for Keyera and $38.75 for Pembina Pipeline. Over the past year, Keyera's prices ranged from $22.57 to $34.19, with a yearly change of 51.48%. Pembina Pipeline's prices fluctuated between $32.39 and $43.44, with a yearly change of 34.12%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.