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National Fuel Gas is Among the Companies in the Gas Utilities Industry With the Highest EV/EBITDA Ratio (NFG, NJR, SJI, WGL, CPK)

By Amy Schwartz

Below are the three companies in the Gas Utilities industry with the highest enterprise value to EBITDA (EV/EBITDA) ratios. EV/EBITDA is an important metric used in valuing comparable companies. It is capital structure neutral and generally the lower the ratio, the more undervalued the company is believed to be.

National Fuel Gas ranks highest with a an EV/EBITDA ratio of 23.37. Following is New Jersey Resources with a an EV/EBITDA ratio of 21.63. South Jersey Industries ranks third highest with a an EV/EBITDA ratio of 14.95.

WGL Holdings follows with a an EV/EBITDA ratio of 14.31, and Chesapeake Utilities rounds out the top five with a an EV/EBITDA ratio of 13.30.

SmarTrend recommended that subscribers consider buying shares of Chesapeake Utilities on February 13th, 2017 as our technology indicated a new Uptrend was in progress when shares hit $67.15. Since that recommendation, shares of Chesapeake Utilities have risen 12.6%. We continue to monitor Chesapeake Utilities for any potential shift so investors can protect gains and will alert SmarTrend subscribers immediately.

Keywords: highest ev/ebitda ratio national fuel gas new jersey resources south jersey industries wgl holdings chesapeake utilities