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AROC vs ENB

AROC
Archrock, Inc.
NEUTRAL
Price
$27.85
Market Cap
$4.88B
Sector
Energy
AI Confidence
72%
ENB
Enbridge Inc.
NEUTRAL
Price
$53.30
Market Cap
$116.32B
Sector
Energy
AI Confidence
85%

Valuation

P/E Ratio
AROC
18.44
ENB
22.58
Forward P/E
AROC
14.49
ENB
22.72
P/B Ratio
AROC
3.44
ENB
2.86
P/S Ratio
AROC
3.39
ENB
1.78
EV/EBITDA
AROC
9.71
ENB
13.27

Profitability

Gross Margin
AROC
64.0%
ENB
41.66%
Operating Margin
AROC
38.65%
ENB
17.72%
Profit Margin
AROC
18.43%
ENB
11.49%
ROE
AROC
19.56%
ENB
11.55%
ROA
AROC
7.93%
ENB
3.38%

Growth

Revenue Growth
AROC
30.9%
ENB
5.9%
Earnings Growth
AROC
79.9%
ENB
294.9%

Financial Health

Debt/Equity
AROC
1.81
ENB
1.61
Current Ratio
AROC
1.56
ENB
0.63
Quick Ratio
AROC
0.96
ENB
0.41

Dividends

Dividend Yield
AROC
3.01%
ENB
5.33%
Payout Ratio
AROC
50.66%
ENB
117.08%

AI Verdict

AROC NEUTRAL

AROC's deterministic health score is concerning with a Piotroski F-Score of 4/9, indicating marginal financial stability. Despite strong profitability metrics and robust earnings growth, elevated debt levels and weak technical momentum weigh on overall health. The stock trades above the Graham Number of $16.59 but below the growth-based intrinsic value of $44.55, suggesting a fair valuation given growth expectations. Analysts are bullish with a $31.56 target, though insider selling and a low technical trend score introduce caution.

Strengths
Exceptional operating margin of 38.65%, well above sector average of 9.70%
Strong year-over-year earnings growth of 79.90% and revenue growth of 30.90%
High return on equity (19.56%) compared to sector average (9.04%)
Risks
Piotroski F-Score of 4 indicates weak financial health and potential instability
High debt/equity ratio of 1.81, significantly above sector average of 0.60
Insider selling activity totaling $1.26M in the last 6 months
ENB NEUTRAL

Enbridge presents a conflicted profile with a stable Piotroski F-Score of 4/9, but significant valuation and sustainability concerns. While the intrinsic value estimate is high ($69.62), the Graham Number ($31.45) suggests the stock is trading at a steep premium to its defensive value. The most critical red flag is a payout ratio of 117.08%, indicating that dividends are currently funded by debt or cash reserves rather than earnings. Combined with a bearish technical trend (10/100) and a current price exceeding the analyst target of $51.13, the outlook is cautious.

Strengths
Dominant market position with a $116.32B market cap
Strong gross margins at 41.66%
Consistent long-term price appreciation (95.6% over 5 years)
Risks
Unsustainable dividend payout ratio of 117.08%
Poor short-term liquidity with a current ratio of 0.63
High leverage with a Debt/Equity ratio of 1.61

Compare Another Pair

AROC vs ENB: Head-to-Head Comparison

This page compares Archrock, Inc. (AROC) and Enbridge Inc. (ENB) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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