WallStSmart

Permian Basin Royalty Trust (PBT)vsTC Energy Corp (TRP)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

TC Energy Corp generates 88158% more annual revenue ($15.24B vs $17.27M). PBT leads profitability with a 88.5% profit margin vs 23.1%. PBT appears more attractively valued with a PEG of 1.12. TRP earns a higher WallStSmart Score of 59/100 (C).

PBT

Buy

51

out of 100

Grade: C-

Growth: 4.7Profit: 8.5Value: 4.7Quality: 5.0
Piotroski: 5/9

TRP

Buy

59

out of 100

Grade: C

Growth: 6.0Profit: 7.5Value: 4.7Quality: 3.0
Piotroski: 4/9Altman Z: 0.48
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PBTSignificantly Overvalued (-755.4%)

Margin of Safety

-755.4%

Fair Value

$2.24

Current Price

$22.02

$19.78 premium

UndervaluedFair: $2.24Overvalued
TRPSignificantly Overvalued (-216.8%)

Margin of Safety

-216.8%

Fair Value

$19.23

Current Price

$64.08

$44.85 premium

UndervaluedFair: $19.23Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PBT3 strengths · Avg: 10.0/10
Return on EquityProfitability
87.8%10/10

Every $100 of equity generates 88 in profit

Profit MarginProfitability
88.5%10/10

Keeps 89 of every $100 in revenue as profit

Operating MarginProfitability
94.3%10/10

Strong operational efficiency at 94.3%

TRP4 strengths · Avg: 9.0/10
Operating MarginProfitability
45.4%10/10

Strong operational efficiency at 45.4%

Market CapQuality
$66.54B9/10

Large-cap with strong market position

Profit MarginProfitability
23.1%9/10

Keeps 23 of every $100 in revenue as profit

Revenue GrowthGrowth
16.5%8/10

16.5% revenue growth

Areas to Watch

PBT4 concerns · Avg: 2.3/10
Market CapQuality
$979.25M3/10

Smaller company, higher risk/reward

P/E RatioValuation
63.7x2/10

Premium valuation, high expectations priced in

Revenue GrowthGrowth
-13.6%2/10

Revenue declined 13.6%

EPS GrowthGrowth
-14.8%2/10

Earnings declined 14.8%

TRP4 concerns · Avg: 3.0/10
P/E RatioValuation
25.3x4/10

Moderate valuation

EPS GrowthGrowth
0.5%4/10

0.5% earnings growth

PEG RatioValuation
4.612/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.482/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : PBT

The strongest argument for PBT centers on Return on Equity, Profit Margin, Operating Margin. Profitability is solid with margins at 88.5% and operating margin at 94.3%. PEG of 1.12 suggests the stock is reasonably priced for its growth.

Bull Case : TRP

The strongest argument for TRP centers on Operating Margin, Market Cap, Profit Margin. Profitability is solid with margins at 23.1% and operating margin at 45.4%. Revenue growth of 16.5% demonstrates continued momentum.

Bear Case : PBT

The primary concerns for PBT are Market Cap, P/E Ratio, Revenue Growth. A P/E of 63.7x leaves little room for execution misses.

Bear Case : TRP

The primary concerns for TRP are P/E Ratio, EPS Growth, PEG Ratio. Debt-to-equity of 2.23 is elevated, increasing financial risk.

Key Dynamics to Monitor

PBT profiles as a declining stock while TRP is a growth play — different risk/reward profiles.

TRP carries more volatility with a beta of 1.00 — expect wider price swings.

TRP is growing revenue faster at 16.5% — sustainability is the question.

TRP generates stronger free cash flow (548M), providing more financial flexibility.

Bottom Line

TRP scores higher overall (59/100 vs 51/100), backed by strong 23.1% margins and 16.5% revenue growth. Both earn "Buy" and "Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Permian Basin Royalty Trust

ENERGY · OIL & GAS MIDSTREAM · USA

The Permian Basin Royalty Trust, an express trust, holds primary royalty interests in various oil and gas properties in the United States. The company is headquartered in Dallas, Texas.

Visit Website →

TC Energy Corp

ENERGY · OIL & GAS MIDSTREAM · USA

TC Energy Corporation is an energy infrastructure company in North America. The company is headquartered in Calgary, Canada.

Want to dig deeper into these stocks?