Financial Contrast: South Bow (SOBO) vs. Its Competitors

South Bow (NYSE:SOBO) is one of 21 publicly-traded companies in the “Pipelines, Except Natural Gas” industry, but how does it weigh in compared to its rivals? We will compare South Bow to related businesses based on the strength of its earnings, analyst recommendations, dividends, valuation, risk, profitability and institutional ownership.

Profitability

This table compares South Bow and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
South Bow	N/A	N/A	N/A
South Bow Competitors	29.09%	23.03%	9.57%

Dividends

South Bow pays an annual dividend of $2.00 per share and has a dividend yield of 8.1%. As a group, “Pipelines, Except Natural Gas” companies pay a dividend yield of 7.3% and pay out 116.5% of their earnings in the form of a dividend.

Insider and Institutional Ownership

50.2% of shares of all “Pipelines, Except Natural Gas” companies are held by institutional investors. 2.6% of shares of all “Pipelines, Except Natural Gas” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares South Bow and its rivals gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
South Bow	N/A	N/A	N/A
South Bow Competitors	$9.76 billion	$805.98 million	15.38

South Bow’s rivals have higher revenue and earnings than South Bow.

Analyst Recommendations

This is a summary of current ratings and target prices for South Bow and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
South Bow	2	4	1	2	2.33
South Bow Competitors	168	1642	1806	172	2.52

South Bow presently has a consensus price target of $25.00, suggesting a potential upside of 0.83%. As a group, “Pipelines, Except Natural Gas” companies have a potential upside of 12.47%. Given South Bow’s rivals stronger consensus rating and higher probable upside, analysts plainly believe South Bow has less favorable growth aspects than its rivals.

Summary

South Bow rivals beat South Bow on 9 of the 12 factors compared.

South Bow Company Profile

South Bow Corp is a strategic liquids pipeline company. It is a new liquids-focused midstream infrastructure company. South Bow Corp is based in Canada.