Financial Comparison: Dynagas LNG Partners (NYSE:DLNG) versus TFI International (NYSE:TFII)

TFI International (NYSE:TFII) and Dynagas LNG Partners (NYSE:DLNG) are both transportation companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, institutional ownership, profitability, risk, earnings, analyst recommendations and valuation.

Valuation and Earnings

This table compares TFI International and Dynagas LNG Partners”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TFI International	$8.40 billion	1.04	$422.48 million	$3.88	27.30
Dynagas LNG Partners	$156.40 million	0.91	$51.55 million	$1.28	3.01

TFI International has higher revenue and earnings than Dynagas LNG Partners. Dynagas LNG Partners is trading at a lower price-to-earnings ratio than TFI International, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares TFI International and Dynagas LNG Partners’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TFI International	4.06%	14.20%	5.28%
Dynagas LNG Partners	37.92%	15.62%	7.01%

Volatility & Risk

TFI International has a beta of 1.5, meaning that its share price is 50% more volatile than the S&P 500. Comparatively, Dynagas LNG Partners has a beta of 0.72, meaning that its share price is 28% less volatile than the S&P 500.

Dividends

TFI International pays an annual dividend of $1.80 per share and has a dividend yield of 1.7%. Dynagas LNG Partners pays an annual dividend of $0.20 per share and has a dividend yield of 5.2%. TFI International pays out 46.4% of its earnings in the form of a dividend. Dynagas LNG Partners pays out 15.6% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Dynagas LNG Partners is clearly the better dividend stock, given its higher yield and lower payout ratio.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for TFI International and Dynagas LNG Partners, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TFI International	2	7	10	2	2.57
Dynagas LNG Partners	0	1	0	0	2.00

TFI International presently has a consensus price target of $113.40, suggesting a potential upside of 7.06%. Given TFI International’s stronger consensus rating and higher possible upside, analysts plainly believe TFI International is more favorable than Dynagas LNG Partners.

Insider and Institutional Ownership

73.3% of TFI International shares are held by institutional investors. 5.5% of TFI International shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Summary

TFI International beats Dynagas LNG Partners on 12 of the 17 factors compared between the two stocks.

About TFI International

TFI International Inc., together with its subsidiaries, provides transportation and logistics services in the United States and Canada. The company operates through Package and Courier, Less-Than-Truckload (LTL), Truckload (TL), and Logistics segments. The Package and Courier segment engages in the pickup, transport, and delivery of items in North America. The LTL segment is involved in the pickup, consolidation, transportation, and delivery of smaller loads. The TL segment offers expedited transportation, flatbed, tank, container, and dedicated services. This segment also carries full loads directly from the customer to the destination using a closed van or specialized equipment. The Logistics segment provides asset-light logistics services, including brokerage, freight forwarding, and transportation management, as well as small package parcel delivery. As of December 31, 2023, it operates 11,455 trucks, 34,599 trailers, and 7,504 independent contractors. The company was formerly known as TransForce Inc. and changed its name to TFI International Inc. in December 2016. TFI International Inc. was founded in 1957 and is headquartered in Saint-Laurent, Canada.

About Dynagas LNG Partners

Dynagas LNG Partners LP, through its subsidiaries, operates in the seaborne transportation industry in Greece and internationally. The company owns and operates liquefied natural gas (LNG) carriers. Its fleet consists of six LNG carriers with an aggregate carrying capacity of approximately 914,000 cubic meters. Dynagas GP LLC serves as the general partner of Dynagas LNG Partners LP. The company was incorporated in 2013 and is headquartered in Athens, Greece.