Contrasting South Bow (SOBO) & Its Peers

South Bow (NYSE:SOBO) is one of 9,366 publicly-traded companies in the “” industry, but how does it contrast to its competitors? We will compare South Bow to related businesses based on the strength of its valuation, analyst recommendations, earnings, dividends, profitability, risk and institutional ownership.

Dividends

South Bow pays an annual dividend of $2.00 per share and has a dividend yield of 8.3%. South Bow pays out 108.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “” companies pay a dividend yield of 3.5% and pay out 111.9% of their earnings in the form of a dividend. South Bow is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Analyst Ratings

This is a summary of recent recommendations and price targets for South Bow and its competitors, 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	4121	23115	28926	686	2.46

South Bow currently has a consensus target price of $25.00, suggesting a potential upside of 3.70%. As a group, “” companies have a potential upside of 614.05%. Given South Bow’s competitors stronger consensus rating and higher probable upside, analysts plainly believe South Bow has less favorable growth aspects than its competitors.

Institutional and Insider Ownership

53.4% of shares of all “” companies are held by institutional investors. 16.3% of shares of all “” companies are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Profitability

This table compares South Bow and its competitors’ 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	-1,169.23%	-15.43%	-3.32%

Earnings and Valuation

This table compares South Bow and its competitors gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
South Bow	N/A	N/A	13.03
South Bow Competitors	$7.43 billion	$245.83 million	-62.28

South Bow’s competitors have higher revenue and earnings than South Bow. South Bow is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Summary

South Bow beats its competitors on 7 of the 13 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.