COMPARE · Reviewed July 2, 2026
HESM vs RRC
Verdict: Side-by-side breakdown using the Bull Rankings model. HESM scored 65.3, RRC scored 66.9 — RRC ahead by 1.6000000000000085.
HESM
Hess Midstream LP
65.3
$38.16
Score gap
1.6000000000000085
RRC leads
RRC
Range Resources Corporation
66.9
$37.81
The companies
HESMHess Midstream LP
Why now
Oil & Gas Midstream · market cap $7.9b. 14% off the 52-week high of $44.14. 6 sell-side analysts rate this an Underperform with a mean 1-yr target of $36.83 (implying -3% upside).
Moat
Net margin 23% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. Free cash flow runs well ahead of reported net income — non-cash charges (depreciation, intangible amortization) are holding down GAAP earnings while cash generation stays strong.
Risk
Dividend payout 103% of earnings on a 8.0% yield — distribution coverage is thin; one earnings stumble could force a dividend cut. Hedge-book exposure — many commodity producers hedge forward production; if the hedge book is concentrated at prices well below spot, the upside the market expects is already locked away.
RRCRange Resources Corporation
Why now
Oil & Gas E&P · market cap $8.9b. Down 22% from 52-week high of $48.31 — deep drawdown territory. Revenue growing +27% — in hypergrowth territory. 22 sell-side analysts rate this a Hold with a mean 1-yr target of $46.68 (implying +23% upside).
Moat
Net margin 28% sits well above the S&P median (~11%) — suggests structural pricing advantage or cost discipline competitors can't quickly close. ROE 20% sits above Buffett's preferred 15% threshold — the equity base is compounding at a rate the market struggles to discount accurately. FCF converts 162% of net income — earnings translate cleanly into cash, a sign that working capital and capex are well-disciplined.
Risk
Hedge-book exposure — many commodity producers hedge forward production; if the hedge book is concentrated at prices well below spot, the upside the market expects is already locked away.
Base grades (each contributes ~14.3% of base composite)
| HESM | Component | RRC |
|---|---|---|
| C+70 | FCF | C+70 |
| B80 | Rev | A-90 |
| C65 | D/E | A-90 |
| B+85 | P/E or P/S | A-90 |
| C+70 | PEG | B+85 |
| Supplemental signals · feed the score, not on the row card | ||
| A95 | FCF Yield | A95 |
| C65 | ROE | B+85 |
| 76.6 | Base composite | 87.4 |
Adjustments (signed deltas applied on top of base)
HESM
analyst consensus weak (0% buy)-2
yield trap (yield 8.0%, payout 103%)-2
DCF cross-check (avg upside 190%)+2
ROE truncated (buyback-depleted equity)-1
Total-3
RRC
compounder synergy (FCF yield ≥5% + ROE ≥15% + D/E <1)+4
hypergrowth premium (rev +27%)+2
analyst consensus weak (26% buy)-2
insider cluster buying (net +8.6%, 22 txns)+2
DCF cross-check (avg upside 171%)+2
Total+8
DCF cross-check (per-share value vs. live price)
| HESM upside | Horizon | RRC upside |
|---|---|---|
| +159% | 1Y | +152% |
| +184% | 5Y | +168% |
| +227% | 10Y | +193% |
Verdict — model-derived comparison
Generating verdict… typically 5–10 seconds
Not investment advice. The Bull Rankings publishes a quantitative ranking model and accompanying analysis for general informational purposes only. Nothing on this page is a recommendation to buy, sell, or hold any security; nothing is personalized to your circumstances, risk tolerance, or tax situation. Investing carries the risk of loss — invest at your own risk and consider consulting a licensed financial professional before acting on anything you read here. See terms and methodology for full disclosures.