Global Partners (NYSE: GLP) and CrossAmerica Partners (NYSE:CAPL) are both small-cap oils/energy companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, profitabiliy, analyst recommendations, valuation, earnings, risk and dividends.
Dividends
Global Partners pays an annual dividend of $1.85 per share and has a dividend yield of 10.3%. CrossAmerica Partners pays an annual dividend of $2.47 per share and has a dividend yield of 8.6%. Global Partners pays out -36.9% of its earnings in the form of a dividend. CrossAmerica Partners pays out 1,235.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Global Partners is clearly the better dividend stock, given its higher yield and lower payout ratio.
Risk and Volatility
Global Partners has a beta of 1.08, indicating that its share price is 8% more volatile than the S&P 500. Comparatively, CrossAmerica Partners has a beta of 1.33, indicating that its share price is 33% more volatile than the S&P 500.
Analyst Recommendations
This is a summary of current ratings and price targets for Global Partners and CrossAmerica Partners, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Global Partners | 1 | 2 | 1 | 0 | 2.00 |
| CrossAmerica Partners | 0 | 1 | 3 | 0 | 2.75 |
Global Partners currently has a consensus price target of $18.25, indicating a potential upside of 1.96%. CrossAmerica Partners has a consensus price target of $29.75, indicating a potential upside of 3.77%. Given CrossAmerica Partners’ stronger consensus rating and higher possible upside, analysts clearly believe CrossAmerica Partners is more favorable than Global Partners.
Valuation and Earnings
This table compares Global Partners and CrossAmerica Partners’ gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | EBITDA | Earnings Per Share | Price/Earnings Ratio | |
| Global Partners | $8.76 billion | 0.07 | $224.50 million | ($5.02) | -3.57 |
| CrossAmerica Partners | $1.89 billion | 0.51 | $72.56 million | $0.20 | 143.36 |
Global Partners has higher revenue and earnings than CrossAmerica Partners. Global Partners is trading at a lower price-to-earnings ratio than CrossAmerica Partners, indicating that it is currently the more affordable of the two stocks.
Institutional & Insider Ownership
47.6% of Global Partners shares are owned by institutional investors. Comparatively, 37.2% of CrossAmerica Partners shares are owned by institutional investors. 41.5% of Global Partners shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.
Profitability
This table compares Global Partners and CrossAmerica Partners’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Global Partners | -1.93% | -1.83% | -0.35% |
| CrossAmerica Partners | 0.44% | 3.91% | 0.95% |
Summary
CrossAmerica Partners beats Global Partners on 9 of the 15 factors compared between the two stocks.
Global Partners Company Profile
Global Partners LP is a midstream logistics and marketing company. It is engaged in the purchasing, selling, storing and logistics of transporting petroleum and related products, including gasoline and gasoline blendstocks, distillates, residual oil, renewable fuels, crude oil, natural gas and propane. Its segments include Wholesale, Gasoline Distribution and Station Operations and Commercial. In Wholesale segment, the Company engages in the logistics of selling, gathering, storage and transportation of refined petroleum products, renewable fuels, crude oil and propane. In Gasoline Distribution and Station Operations segment, gasoline distribution includes sales of branded and unbranded gasoline to gasoline station operators and sub-jobbers. The Commercial segment includes sales and deliveries to end user customers in the public sector and to commercial and industrial end users of unbranded gasoline, home heating oil, diesel, kerosene, residual oil, bunker fuel and natural gas.
CrossAmerica Partners Company Profile
CrossAmerica Partners LP is a limited partnership engaged in the wholesale distribution of motor fuel, and the ownership and leasing of real estate used in the retail distribution of motor fuel. The Company operates in two segments: wholesale and retail. The wholesale segment is engaged in the wholesale distribution of motor fuel to lessee dealers, independent dealers, commission agents, Dunne Manning Stores LLC (DMS), CST Brands, Inc. and subsidiaries (CST) and company operated retail sites. The Retail segment owns or leases and operates retail sites. As of December 31, 2016, it distributed motor fuels to approximately 1,200 sites located in 29 states (Arizona, Arkansas, Colorado, Delaware, Florida, Georgia, Illinois, Indiana, Kentucky, Louisiana, Maine, Maryland, Massachusetts, Michigan, Minnesota, New Hampshire, New Jersey, New Mexico, New York, North Carolina, Ohio, Pennsylvania, Rhode Island, South Dakota, Tennessee, Texas, Virginia, West Virginia and Wisconsin).
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