WallStSmart

Phillips 66 (PSX)vsStar Gas Partners LP (SGU)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Phillips 66 generates 7133% more annual revenue ($134.49B vs $1.86B). SGU leads profitability with a 5.3% profit margin vs 3.1%. SGU trades at a lower P/E of 4.8x. SGU earns a higher WallStSmart Score of 66/100 (B-).

PSX

Buy

56

out of 100

Grade: C

Growth: 3.3Profit: 5.0Value: 6.0Quality: 6.5
Piotroski: 5/9Altman Z: 3.20

SGU

Strong Buy

66

out of 100

Grade: B-

Growth: 5.3Profit: 7.0Value: 5.7Quality: 5.3
Piotroski: 6/9
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

PSXSignificantly Overvalued (-52.8%)

Margin of Safety

-52.8%

Fair Value

$110.21

Current Price

$171.65

$61.44 premium

UndervaluedFair: $110.21Overvalued
SGUSignificantly Overvalued (-67.4%)

Margin of Safety

-67.4%

Fair Value

$7.67

Current Price

$12.61

$4.94 premium

UndervaluedFair: $7.67Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PSX5 strengths · Avg: 8.6/10
Altman Z-ScoreHealth
3.2010/10

Safe zone — low bankruptcy risk

Market CapQuality
$69.47B9/10

Large-cap with strong market position

PEG RatioValuation
0.988/10

Growing faster than its price suggests

P/E RatioValuation
17.1x8/10

Attractively priced relative to earnings

Price/BookValuation
2.4x8/10

Reasonable price relative to book value

SGU5 strengths · Avg: 9.0/10
P/E RatioValuation
4.8x10/10

Attractively priced relative to earnings

Price/BookValuation
1.0x10/10

Reasonable price relative to book value

Return on EquityProfitability
24.4%9/10

Every $100 of equity generates 24 in profit

Operating MarginProfitability
20.3%8/10

Strong operational efficiency at 20.3%

EPS GrowthGrowth
32.1%8/10

Earnings expanding 32.1% YoY

Areas to Watch

PSX4 concerns · Avg: 2.5/10
Profit MarginProfitability
3.1%3/10

3.1% margin — thin

Operating MarginProfitability
0.6%3/10

Operating margin of 0.6%

EPS GrowthGrowth
-56.8%2/10

Earnings declined 56.8%

Free Cash FlowQuality
$-2.85B2/10

Negative free cash flow — burning cash

SGU4 concerns · Avg: 3.0/10
Revenue GrowthGrowth
3.2%4/10

3.2% revenue growth

Market CapQuality
$405.50M3/10

Smaller company, higher risk/reward

Profit MarginProfitability
5.3%3/10

5.3% margin — thin

Free Cash FlowQuality
$-9.06M2/10

Negative free cash flow — burning cash

Comparative Analysis Report

WallStSmart Research

Bull Case : PSX

The strongest argument for PSX centers on Altman Z-Score, Market Cap, PEG Ratio. PEG of 0.98 suggests the stock is reasonably priced for its growth.

Bull Case : SGU

The strongest argument for SGU centers on P/E Ratio, Price/Book, Return on Equity.

Bear Case : PSX

The primary concerns for PSX are Profit Margin, Operating Margin, EPS Growth. Thin 3.1% margins leave little buffer for downturns.

Bear Case : SGU

The primary concerns for SGU are Revenue Growth, Market Cap, Profit Margin.

Key Dynamics to Monitor

PSX carries more volatility with a beta of 0.67 — expect wider price swings.

PSX is growing revenue faster at 6.9% — sustainability is the question.

SGU generates stronger free cash flow (-9M), providing more financial flexibility.

Monitor OIL & GAS REFINING & MARKETING industry trends, competitive dynamics, and regulatory changes.

Bottom Line

SGU scores higher overall (66/100 vs 56/100). Both earn "Strong 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.

Phillips 66

ENERGY · OIL & GAS REFINING & MARKETING · USA

The Phillips 66 Company is an American multinational energy company headquartered in Westchase, Houston, Texas.

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Star Gas Partners LP

ENERGY · OIL & GAS REFINING & MARKETING · USA

Star Group, LP sells home heating and air conditioning products and services to residential and commercial heating oil and propane customers in the United States. The company is headquartered in Stamford, Connecticut.

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